Office of Housing
September 27, 2006
MORTGAGEE LETTER 06-23
TO: ALL FHA APPROVED MORTGAGEES
ALL HUD-APPROVED HOUSING COUNSELING AGENCIES
SUBJECT: Home Equity Conversion Mortgage (HECM) Program: Elimination of
Photo Identification Evidence
As part of the Federal Housing Administration’s (FHA) on going efforts to streamline its endorsement procedures, FHA will no longer require submission of photo identification as part of the HECM loan file. Effective immediately, mortgagees do not need to provide any form of photo identification evidence for Home Equity Conversion Mortgage (HECM) borrowers when submitting case binders for FHA endorsement. The guidance provided in this Mortgagee Letter replaces current FHA guidance found in the HECM Handbook 4235.1, REV-1, paragraph 4-7 and Mortgagee Letter 2004-39.
Currently, mortgagees submit the borrower’s photo identification as part of the HECM case binder. The types of evidence being submitted range from copies of driver’s licenses to passports to state and federally issued identification cards. In April 2004, FHA modified the FHA Connection to perform social security number validation checks, against the Social Security Administration’s database, to help reduce the occurrence of identity theft and fraud in FHA programs. This validation check, coupled with evidence of the borrower’s age, has proven to be an effective tool to verify the identification of a prospective HECM borrower and eliminates the need for photo identification. As a reminder, it is the responsibility of the mortgagee to ensure the borrower meets program eligibility requirements by verifying each borrower’s age, social security number and identity, and not solely rely on the validation check being performed by the FHA Connection.
In addition, HUD-approved housing counselors should inform prospective HECM borrowers that in some cases a lender may require documents to be notarized and that the notary may require photo identification; however this is not an FHA requirement.
If you should have any questions concerning this Mortgagee Letter, call
1-800-CALL-FHA.
Sincerely,
Brian D. Montgomery
Assistant Secretary for Housing-
Federal Housing Commissioner
................
................
In order to avoid copyright disputes, this page is only a partial summary.
To fulfill the demand for quickly locating and searching documents.
It is intelligent file search solution for home and business.
Related download
- nprm sport pilot federal aviation administration
- contractors in the work place office of the under
- check acceptance procedures cuna
- quality control plan checklist for loan
- guidelines for contractor relationships
- regulations governing the registration of medication aides
- determining veteran status and eligibility for benefits u
- action on objections to eligibles and passover of
- gov
- office of housing
Related searches
- types of housing loans
- different types of housing loans
- nys department of education office of professions
- ministry of housing trinidad vacancies
- office of the registrar of companies jamaica
- department of housing and urban development
- cost of housing in china
- examples of housing discrimination
- types of housing discrimination
- maryland department of housing and community
- types of housing loan
- maryland department of housing and community development