For those clients that have LIBOR Adjustable Rate Mortgages serviced by Cenlar, we have been working hard to prepare for the sunset of the LIBOR index. This includes making adjustments to our systems and processes, drafting and sending borrower communications and agent scripting for handling the incremental calls throughout this process.

This has been no small effort over the past few years as we have been supporting weekly project meetings and work streams in legal, compliance, IT and investor engagement.

Now that we are near the end of this process, we have captured the costs for Cenlar to handle this change in industry practice, and will be assessing a fee reflective of that cost in your upcoming invoice. This fee reflects a reasonable estimate of our costs associated with implementation of the changes described above as well as our hard out-of-pocket costs, such as postage on required letters.

If you have any questions about this assessment, please contact your client management team member.