Loan Mod

Forbearance Confusion Has Gone on Too Long

Despite all the concern about forbearance reporting discrepancies over time, transparency remains an issue.

This is the year that should change.

Regulatory attention is supposed to be laser-focused on servicers right now, especially when it comes to how consistent they are in applying workouts. So regulators should be looking closely at whether loans have forbearance.

It’s getting a little easier to see forbearances in investor reporting, but not as easy as it should be given all the concern voiced about it by investors, regulators, researchers, reporters and ratings agencies like Fitch, Standard & Poor’s and Moody’s in recent years.

“The information has become more expanded and more transparent,” according to Natasha Aikins, a director at Fitch Ratings in New York.

But it’s still not always clear in reporting whether a loan includes forbearance, and that means all stakeholders have a lot more work to do.

Rest here…

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4closureFraud.org