Compliance Docutech

Compliance News: FNMA, COVID-19, POAs, & RON

Written by Will Newsom | Mar 31, 2020 7:00:00 AM

Today, FNMA released an updated version of Lender Letter 2020-03, providing clarification and special rules for the handling of certain mortgage loans due to the coronavirus pandemic. These rules include:

  • Eliminating 4506-T requirements confirming “No Transcript Available” for the 2019 tax year, applicable to mortgage loans with an application or disbursement date between April 15 and July 15;
  • Allowing, under certain conditions, persons “connected to the transaction” to act as attorney-in-fact for the borrowers in purchase transactions (as well as limited cash-out refinances); and
  • Permitting remote online notarizations (“RON”) in 43 states (excluding Texas 50[a][6] loans) and outlining the requirements for having an acceptable RON process.

We are currently reviewing this Letter to determine any impact to our document library and/or systems and evaluating any necessary changes. Any modifications we make will be announced on our website (https://compliance.docutech.com/).

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