As Hurricane Matthew impacts the east coast, Cenlar is taking action to minimize disruption in service to our clients and their borrowers, as events allow and in so far as it is in our control. Cenlar does work with vendors in affected areas, including some mission critical vendors in Florida and South Carolina such as Black Knight Financial Services (BKFS).
We have been in contact with these vendors and understand that some operations have been impacted. BKFS has told us specifically that while they are on alert, currently they do not believe that services will be disrupted. We have also implemented our vendor checklist, which is designed to help guide our response during events such as this. Beyond that, other specific actions are being taken to address the fact that this is a holiday weekend.
We will also be implementing a disaster-recovery plan for borrowers who are in a disaster zone designated by FEMA or other government agencies. Details are as follows:
First Point of Contact Strategy (Channels: Call Center/IVR/Web)
- A dedicated team of employees will be designated to handle calls specifically for borrowers affected by the disaster.
- A specific IVR message will be created for impacted borrowers to route them directly to our Disaster Recovery Team.
- Borrower specific scripts are created and will be implemented to ensure a consistent message to affected borrowers.
- Cenlar’s website (loanadministration.com) will have a message on the main page and when logged in providing specific instructions for borrowers on what to do if affected.
Fees, Credit Reporting and Collection Calls
- Impacted borrowers will not be charged late fees.
- Impacted borrowers will not be reported to the credit bureaus.
- Impacted borrowers will not receive collection calls.
Reports will be provided monthly, via FTP to include:
- Loans impacted
- Investor Type
- Loans in flood zone vs. not
- Loans in forbearance
- Claims Issues
*Based on number of impacted loans
Claims and Release of Checks
- Assurant Specialty Property, who administers the Loss Draft process for Cenlar, will handle all calls that are transferred by Cenlar agents as well as direct calls.
- The Lender Placed Insurance Claim Customer Service will extend hours of operations , as needed, to assist impacted customers in the filing of their claim.
- When a claim is filed, our vendor will walk the borrower through the claims process and begin tracking.
- If there is no flood insurance, our vendor will direct the borrower to Cenlar to discuss options.
- The vendor will set up remote sites (if applicable) that will include field adjusters and loss draft specialists who can assist customers with the claim process and are able to endorse and release checks on the spot based on GSE guidelines.
- If an “Insurance City” is established , our vendor will participate.
- Cenlar will code loans that are impacted by a Presidentially Declared Disaster.
- Cenlar’s default call center will work with borrowers during forbearance to get updates on the status of the property, repairs, as well as borrower’s employment/income status.
- The Disaster Plan is a 90 day SPECIAL FORBEARANCE where payments will be suspended.
- Towards the end of the plan period, the borrowers hardship and financial status will be reassessed to determine eligibility for further workout options which may include an extension of the plan or a loan modification and may have additional eligibility requirements including but not limited to prior disaster occupancy status, property inhabitability, prior disaster delinquency status and current property condition. This is not a deferment of debt.
- The borrower is responsible for all payments.
- Asset Loans will follow Fannie Mae guidelines unless Cenlar is provided in writing, specific disaster forbearance/modification guidelines.
o www.DisasterAssistance.gov – Website dedicated to Disaster Assistance for those affected.
o www.fema.gov/disaster/4277 – FEMA site with specific information for Louisiana Flood victims.
o http://www.freddiemac.com/learn/pdfs/service/dis_prop.pdf – Freddie Mac guide to managing distressed properties.
o http://www.freddiemac.com/singlefamily/service/faq.pdf- Freddie Mac Disaster Relief FAQ.
o https://www.fanniemae.com/singlefamily/disaster-assistance – Fannie Mae Disaster Assistance Summary.
Cenlar is committed to meeting the needs of both our clients and their borrowers during times of natural disasters. We are here to help and provide support. As this weather event unfolds, we will continue to be in contact with you and will alert you to any updates or changes.