Last Updated 02/04/2022
| Non-Retained Servicers Permitting Recasts Guidelines | ||||||||||
| Servicer: | JP Morgan Chase Bank (Serviced by JPMC) | Bayview | Two Harbors/ Flagstar Bank | Loancare | Lakeview/ M&T Bank | Mr. Cooper | Select Portfolio Servicing | TIAA Bank | US Bank | Wells Fargo |
| Loans transfer to the new servicer 45 - 60 days after funding | JP Morgan Mortgage Acquisition Corp loans subserviced by Shellpoint do not permit recasts | |||||||||
| Recast Eligibility Required waiting period before ability to request | After 1st Payment at JPMC | After 1st Payment at Bayview | After 1st Payment at Flagstar Bank | After 1st Payment at Loancare | After 1st Payment at M&T Bank | 45 days after Servicing Transfer | After 1st Payment at Select Portfolio Servicing | After 1st Payment at TIAA Bank | After 1st Payment at US Bank | 90 days after Servicing Transfer |
| Recast Fee | No Fee | $300 | $300 | $300 | $250 | $250 Where Permitted by State* | No Fee | $250 | $250 | No Fee |
| Minimum Curtailment | No Minimum Amount | 10% of Unpaid Principal Balance | $10,000 | 10% of Unpaid Principal Balance | $10,000 | $10,000 | $10,000 | $5,000 | No Minimum Requirement, at least 10% of the unpaid principal balance is suggested | $20,000 |
| Estimated Completion After Recast Process Starts | 6 to 8 Weeks | 8 to 12 Weeks | 6 to 12 Weeks | 8 to 12 Weeks | 6 to 8 Weeks | 12 Weeks | 6 to 8 Weeks | 6 to 8 Weeks | 4 to 8 Weeks | 8 to 12 Weeks |
| Investor/Loan Type Permitting Recasts | Conventional Loans | Conventional Loans | Conventional Fannie Mae Freddie Mac | Conventional Loans | Conventional Fannie Mae Freddie Mac | Conventional Loans | Conventional Loans | Conventional Loans | Conventional Loans | Conventional Loans |
| RECAST INFORMATION AND ADDITIONAL COMMON GUIDELINES | ||||||||||
| *Specific to Mr. Cooper, the $250 Recast Fee is not assessed to customers in these States: Alabama, Arizona, California, Iowa, Kansas, Massachusetts, Mississippi, Montana, North Carolina, Pennsylvania, Texas, Vermont and West Virginia | ||||||||||
| Recasts may only be performed on Conventional loan types if permitted by the servicer/subservicer. Recasts cannot be performed on FHA, RHS or VA loan types. This list includes servicers Fairway transfers loans to who have made us aware of their recast guidelines. There may be other servicers/subservicers who do not permit recasts. Not all Servicers perform recasts, and servicers/subservicers may change their recast guidelines at any time without notifying Fairway. Guidelines and requirements vary by servicer. Customers must contact their current servicer for details. | ||||||||||
| Common Recast Requirements Include: 1. Loan may not have had a previous modification 2. Loan may not be delinquent on monthly payments or in an active bankruptcy status 3. The loan may not be Interest-Only - During the interest-only period it is not necessary to request reamortization 4. Adjustable Rate Mortgages must be greater than 6 months from an interest rate adjustment 5. Servicers may limit the number of recasts permitted during the life of the loan 6. The recast process is a formal modification to the mortgage loan and extended required processing times may apply | ||||||||||
| Recast Processing and Completion Timeframe: The estimated completion time starts after the Recast Eligibility time has passed AND customers successfully request the recast in accordance to servicer guidelines. | ||||||||||
| PMI Removal after a Recast occurs: PMI removal may not be triggered automatically after a recast, and requirements may vary among other servicers based on their interpretation of guidelines. Customer must contact their current servicer for PMI removal details. | ||||||||||
This communication is for internal use to provide you with information to assist your customers. This is not approved to post on social media. | ||||||||||
