Last Friday Freddie Mac (OTCQB: FMCC) announced having taken steps to reduce the time needed for Hurricane Sandy victims to get their insurance proceeds. Those people with Freddie Mac-owned or -guaranteed mortgages will get relief faster and be able to get renovations underway more quickly too.
According to the news release Freddie Mac SVP Tracy Mooney further iterated their commitment to simplify and streamline the process by which home owners get their lives back on track in the wake of Sandy. Accordingly, the following are some new aspects instituted for the process:
- A February 22 Freddie Mac Guide Bulletin allows servicers more leeway in the timing and release of proceeds.
- Servicers now have more authority making it far easier to get funds to eligible borrowers for rebuilding their homes and etc.
- The guide also emphasizes servicers must work quickly to release funds for borrowers who lost contents etc.
- Freddie Mac reminds servicers they can release insurance proceeds up to the greater of $40,000 or 10% of the unpaid principal balance in some instances.
- And Freddie Mac’s disaster relief policies apply to all Freddie Mac borrowers with primary residences, second homes or investment properties within the relief area.
Readers who want more info on this news are encouraged to contact the company where they send their monthly mortgage payments, or call Freddie Mac at 800-FREDDIE.