An Advance Full Monthly Payment is the payment of an amount larger than the full monthly payment, equaling an additional full monthly payment.
The Mortgagee must apply Partial Prepayments as requested by the Borrower as either:
- advance full monthly payments; or
- additional payments toward reducing principal and future monthly payments.
When the Installment Due Date falls on a non-business day, the Mortgagee must consider a Borrower’s Notice of Intent to Prepay or the receipt of the prepayment amount for a Mortgage closed before January 21, 2015, timely if received on the next business day.
Additional questions may be directed to the HUD National Servicing Center at (877) 622-8525.
For policy information see Handbook 4000.1 III.A.1.e.iv. at https://www.hud.gov/program_offices/administration/hudclips/handbooks/hsgh