Board of Governors of the Federal Reserve System

The Board of Governors of the Federal Reserve, the Consumer Financial Protection Bureau, the Federal Deposit Insurance Corporation, the National Credit Union Administration, the Office of the Comptroller of the Currency, and state financial regulators (collectively, agencies) have issued the attached joint statement to communicate to mortgage servicers the agencies’ supervisory and enforcement approach as risks associated with the Coronavirus Disease (COVID-19) pandemic continue to change.

On April 3, 2020, the agencies issued the “Joint Statement on Supervisory and Enforcement Practices Regarding the Mortgage Servicing Rules in Response to the COVID-19 Emergency and the CARES Act” (April 2020 Joint Statement¹) to announce that, until further notice, they would not take supervisory or enforcement action against mortgage servicers for failing to meet certain timing requirements under the Regulation X mortgage servicing rules as long as the servicers made good faith efforts to provide those required notices or disclosures and took the related actions within a reasonable period of time.

The attached statement announces that the temporary supervisory and enforcement flexibility described in the April 2020 Joint Statement no longer applies, and the agencies will apply their respective supervisory and enforcement authorities, where appropriate, to address any noncompliance or violations of the Regulation X mortgage servicing rules that occur after the date of issuance of the statement. The agencies will continue to take into account the impact of the COVID-19 pandemic on servicers when considering any supervisory and enforcement actions.

Reserve Banks are asked to distribute this letter to the supervised institutions in their districts and to appropriate supervisory staff. Questions regarding this letter may be sent via the Board’s public website.²

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