- Payments are disbursed before bills become delinquent;
- Early payments are made to take advantage of a discount (whenever it is to the Borrower’s benefit);
- Life Expectancy Set-Aside funds are not held in an escrow account;
- Payments for property charges are added to the mortgage balance when the Mortgagee disburses funds to the taxing authority, insurance carrier, or the Borrower; and
- The Borrower is notified, in writing, within 15 calendar days of the annual analysis when remaining funds are exhausted or are not sufficient to pay the next year’s property charge payments and the Borrower will be responsible for paying the property charges.
- Notify the Borrower, in writing, within 30 days of the Mortgagee receiving notification that a property charge payment is outstanding;
- Recommend the Borrower speak with a HUD-Approved Housing Counselor; and
- Inform HUD within 30 days of the Mortgagee receiving notification that a property charge payment is outstanding.