24 CFR §203.500 — Mortgage servicing generally
24 CFR §203.500 establishes the general FHA single-family servicing framework under Part 203 Subpart C.
Verbatim regulatory text
Verbatim provisions from 24 CFR §203.500 — Mortgage servicing generally — each quote is a verified substring of the regulator-published source snapshot, not retyped. Quoted for reference; this is not legal advice. The operational layer (P&P updates, prompts) lives in the regulation update kits.
24 CFR §203.500 — Mandatory compliance with Subpart C servicing practices
This subpart identifies servicing practices of lending institutions that HUD considers acceptable for mortgages insured by HUD. Failure to comply with this subpart shall not be a basis for denial of insurance benefits, but failure to comply will be cause for imposition of a civil money penalty, including a penalty under § 30.35(c)(2) , or withdrawal of HUD's approval of a mortgagee . It is the intent of the Department that no mortgagee shall commence foreclosure or acquire title to a property until the requirements of this subpart have been followed.
24 CFR §203.500 — No foreclosure / title acquisition until Subpart C followed
It is the intent of the Department that no mortgagee shall commence foreclosure or acquire title to a property until the requirements of this subpart have been followed.
24 CFR §203.500 — Consequence of noncompliance: civil money penalty / mortgagee-approval withdrawal
Failure to comply with this subpart shall not be a basis for denial of insurance benefits, but failure to comply will be cause for imposition of a civil money penalty, including a penalty under § 30.35(c)(2) , or withdrawal of HUD's approval of a mortgagee .