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).
 
Additional questions may be directed to the HUD National Servicing Center at (877) 622-8525.

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