(iv) Timing of conformity transition that is following —
(A) Triggering events for transitioning to modified and unmodified regular statements. A servicer transitions to supplying a regular declaration or voucher book utilizing the alterations established in paragraph (f) of the area or even to supplying a regular statement or voucher book without such customizations whenever certainly one of the after three activities happens:
1. Section 1026.41(f) becomes relevant or ceases to utilize. Section 1026.41(e)(5)(iv) sets forth the timeframe by which a servicer must definitely provide a periodic statement or voucher guide for the first time after home financing loan either becomes topic to what’s needed of § 1026.41(f) or ceases to be susceptible to what’s needed of § 1026.41(f). Home financing loan becomes susceptible to certain requirements of § f that is 1026.41( when, for instance, any customer in the home loan becomes a debtor in bankruptcy or discharges liability that is personal the home loan. Home financing loan may stop to be susceptible to the needs of § f that is 1026.41( whenever, for instance, the customer in bankruptcy reaffirms individual obligation for a home loan or the customer’s bankruptcy situation is closed or dismissed without having the customer having released personal obligation when it comes to home mortgage. See remark 41(f)-6.
2. Servicer ceases to be eligible for a an exemption. Section 1026.41(e)(5)(iv) sets forth the timeframe by which a servicer must make provision for a regular declaration or voucher guide when it comes to very first time after a servicer ceases to be eligible for an exemption pursuant to § 1026.41(e)(5)(i) with regards to a home loan loan. A servicer ceases to be eligible for an exemption pursuant to § 1026.41(e)(5 i this is certainly)( pertaining to a home loan loan whenever, for instance:
I. The consumer’s bankruptcy situation is dismissed or closed with no customer having released liability that is personal the real estate loan;
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Ii. The buyer files an amended bankruptcy statement or plan of intention that delivers, as relevant, for the upkeep of re re payments due underneath the home mortgage as well as the payment of pre-petition arrearage or that the buyer will wthhold the dwelling securing the real estate loan;
Iii. A customer makes a partial or payment that is periodic the real estate loan inspite of the customer in bankruptcy having filed a declaration of intention distinguishing an intent to surrender the dwelling securing the mortgage loan, hence making § 1026.41(e)(5)(i)(B)(4) inapplicable;
Iv. The buyer in bankruptcy reaffirms individual obligation for the home loan; or
V. The buyer submits a written demand pursuant to § 1026.41(e)(ii) that the servicer application supplying a regular declaration or voucher guide.
(1) home financing loan becomes susceptible to what’s needed of paragraph (f) for this area;
(2) a home loan loan ceases become susceptible to certain requirements of paragraph (f) with this part; or
(3) A servicer ceases to qualify for an exemption pursuant to paragraph ( e)(5)(i) for this part with regards to a mortgage loan.
(B) Single-statement exemption. A) of this section occurs, a servicer is exempt from the requirements of this section with respect to the next periodic statement or coupon book that would otherwise be required but thereafter must provide modified or unmodified periodic statements or coupon books that comply with the requirements of this section as of the date on which one of the events listed in paragraph (e)(5)(iv.
1. Timing. The exemption in § 1026.41(e)(5)(iv)(B) relates with regards to just one regular declaration or voucher guide after a conference listed in § 1026.41(e)(5)(iv)(A). Each payment due date is on the first day of the month following its respective billing cycle, and each payment due date has a 15-day courtesy period for example, assume that a mortgage loan has a monthly billing cycle. In this situation:
I. If a meeting listed in § 1026.41(e)(5)(iv)(A) does occur on October 6, prior to the end for the courtesy that is 15-day given to the October 1 payment deadline, while the servicer have not yet supplied a regular declaration or voucher book for the payment period by having a November 1 re re re payment deadline, the servicer is exempt from supplying a regular declaration or voucher guide for the payment period. The servicer is necessary thereafter to resume supplying regular statements or voucher publications that comply with all the requirements of § 1026.41 by giving a modified or unmodified regular declaration or coupon guide for the billing period with a December 1 re payment deadline inside a fairly prompt time after November 1 or perhaps the conclusion associated with 15-day courtesy duration given to the November 1 re re payment date that is due. See § 1026.41(b).
Ii. If a conference listed in § 1026.41(e)(5)(iv)(A) happens on October 20, following the end of this 15-day courtesy duration given to the October 1 re re payment deadline, and also the servicer timely supplied a regular declaration or voucher book for the payment period utilizing the November 1 re re payment deadline, the servicer is not needed to fix the regular declaration or voucher guide currently supplied and it is exempt from supplying the next regular declaration or voucher book, that is one that would otherwise be needed for the payment cycle with a December 1 re payment deadline. The servicer is needed thereafter to resume supplying regular statements or voucher publications that comply with all the requirements of § 1026.41 by giving a modified or unmodified regular declaration or voucher guide for the payment period by having a January 1 re re payment due date in just a fairly prompt time after December 1 or the conclusion associated with 15-day courtesy duration given to the December 1 re payment date that is due. See § 1026.41(b).
2. Duplicate voucher books not necessary. In case a servicer offers a voucher guide rather than a regular declaration under § 1026.41(e)(3), § 1026.41 requires the servicer to give a brand new voucher guide after among the activities listed in § 1026.41(e)(5)(iv)(A) occurs simply to the level the servicer have not formerly supplied the customer having a voucher guide that covers the billing cycle that is upcoming.
3. Subsequent events that are triggering. The single-statement exemption in § 1026.41(e)(5)(iv)(B) might apply more than once over the full lifetime of that loan. For instance, assume the exemption applies starting on April 14 due to the fact customer files for bankruptcy on that date in addition to bankruptcy plan provides that the customer will surrender the dwelling, so that the home mortgage becomes at the mercy of the demands of § 1026.41(f). See § 1026.41(e)(5)(iv)(A)(1). In the event that customer later exits bankruptcy on November 2 and contains perhaps not released individual obligation when it comes to real estate loan pursuant to 11 U.S.C. 727, 1141, 1228, or 1328, so that the home loan ceases become susceptible to certain requirements of § 1026.41(f), the single-statement exemption would use once again starting on November 2. See § 1026.41(e)(5)(iv)(A)(2).