Federal regulators on Thursday moved to protect underwater homeowners in the military from financial ruin when they move from one base to another.
New guidance warns mortgage servicers that federal agencies will crack down on unfair, abusive or deceptive practices on military members who have received Permanent Change of Station (PCS) orders.
Among the practices of concern are failing to give service members accurate information on federal mortgage assistance programs, urging them to waive special protections or advising customers to skip payments in order to get help.
In a corresponding move, the Federal Housing Finance Agency announced the service members being transferred will be automatically approved to sell their home at market rates even if it is lower than their mortgage amount – a move called a short sale.
Read more at NBC
Federal regulators on Thursday moved to protect underwater homeowners in the military from financial ruin…
by Tactical-Life / Jun 22, 2012