| Title: | Freddie Mac to Support Moratorium of FHA Risk-Based Premiums |
| Source: | Freddie Mac |
| Date: | 9/25/2008 |
In their September 4 Mortgagee Letter 2008-22, the U.S. Department of Housing and Urban Development (HUD) announced a one-year moratorium on the implementation of the Federal
Housing Administration's (FHA) Risk-Based Premium structure, as of October 1, 2008. As a result of this moratorium, for FHA
Case Numbers issued on or after October 1, FHA will no longer base its insurance premiums on a combination of credit bureau
score and loan-to-value ratio. Version 2.1 of the FHA TOTAL Mortgage Scorecard will include the new premiums (upfront and
annual), as outlined in the September 4 Mortgagee Letter 2008-22 .
Changes to FHA Submissions in Loan Prospector
Based on HUD's September 4 Mortgagee Letter 2008-22 , effective October 1, the FHA TOTAL Mortgage Scorecard will send:
- All FHA initial submissions in Loan Prospector with or without FHA Case Numbers to version 2.1.
- All FHA resubmissions in Loan Prospector with FHA Case Numbers dated on or after October 1, 2008, to version 2.1.
For more information please visit the Freddie Mac website. for the official announcement.