Or. Admin. Code § 813-020-0057

Current through Register Vol. 63, No. 12, December 1, 2024

Section 813-020-0057 - [Effective until 5/2/2025] Program Loan Servicing

(1) A program loan servicer shall service a loan under the Single-Family Mortgage Program in accordance with the servicing agreement and the rules of this division.

(2) A program loan servicer shall charge for loan servicing according to uniform servicing rates established by the Department that are based on the estimated costs of servicing program loans and prevailing rates for similar services.

(3) For the term of a program loan, the borrower shall make monthly escrow payments for real estate property taxes and assessments, hazard insurance premiums and, if necessary, mortgage insurance premiums, except as otherwise provided in the terms of the loan agreement. A program loan servicer may pay interest on program loan escrow reserve accounts at its option.

(4) Upon approval by the Department, a program loan servicer may take one or more actions to protect the Department's security in a residence financed by a program loan. The actions may include but are not limited to the following:

(a) Loan modification;

(b) Property maintenance and repair;

(c) Foreclosure or deed-in-lieu of foreclosure proceedings; and

(d) Representation of the Department's interest in bankruptcy proceedings.

(5) If a program loan servicer fails to comply with the Department's servicing, reporting or remittance requirements, the Department may assess a penalty or may terminate the servicing agreement.

Or. Admin. Code § 813-020-0057

1HD 14, f. & ef. 10-3-77; 1HD 3-1979, f. & ef. 6-29-79; 1HD 9-1984, f. & ef. 9-4-84; HSG 3-1989(Temp), f. & cert. ef. 6-8-89; HSG 10-1989, f. & cert. ef. 11-3-89; HSG 2-1991(Temp), f. & cert. ef. 8-7-91; HSG 8-1991, f. & cert. ef. 12-23-91; HSG 4-1995, f. & cert. ef. 9-28-95; Renumbered from 813-020-0051 by OHCS 8-2011(Temp), f. & cert. ef. 9-30-11 thru 3-27-12; Renumbered from 813-020-0051 by OHCS 1-2012, f. & cert. ef. 3-27-12; OHCS 46-2024, temporary suspend filed 11/04/2024, effective 11/4/2024 through 5/2/2025

Statutory/Other Authority: ORS 456.555

Statutes/Other Implemented: ORS 456.620, 456.625, 456.635 & 456.640