What is an FHA-approved mortgagee's responsibility for reporting to consumer reporting agencies and the IRS?

The Mortgagee is responsible for:
  • complying with applicable law and federal regulations relating to reporting to consumer reporting agencies; and
  • ensuring that all reported information is accurate.

The Mortgagee is also responsible for any required Internal Revenue Service (IRS) reporting regarding acquisition of secured Property or cancellation of mortgage debt, in accordance with the Internal Revenue Code (IRC).

Any questions may be directed to the FHA Resource Center Toll-Free Telephone Number at (800) CALLFHA (225-5342) or by email to answers@hud.gov.  Persons with hearing or speech impairments may reach this number by calling the Federal Relay Service at (800) 877-8339. 

See policy in Handbook 4000.1 Section III.A.2.c. at:  https://www.hud.gov/program_offices/administration/hudclips/handbooks/hsgh

All policy information contained in this knowledge base article is based upon the referenced HUD policy document. Any lending or insuring decisions should adhere to the specific information contained in that underlying policy document.


Topic Number: KA-03918