Freddie Mac Single-Family Seller/Servicer Guide 8301.1 — Servicer’s responsibilities for MBS, participation certificates, investor accounting and reporting performance standards

Freddie Mac Single-Family Seller/Servicer Guide 8301.1 — Servicer’s responsibilities for MBS, participation certificates, investor accounting and reporting performance standards

Effective 2025-08-13 · Freddie Mac's stamp for this section

This section contains requirements related to: ■ Servicer’s responsibilities in connection with MBS and participation certificates ■ Investor accounting responsibilities ■ Investor reporting performance standards (a) Servicer’s responsibilities in connection with MBS and participation certificates The Servicer’s responsibilities in connection with MBS and participation certificates (i.e., UMBS®, MBS and WAC ARM PCs) backed by Freddie Mac-owned Mortgages include, among other things, collecting and accounting for payments received from Borrowers and passing through principal and interest to Freddie Mac from which Freddie Mac passes through the amount of principal and/or interest due to the UMBS, MBS or WAC ARM PC holders. The accuracy and timeliness of the Servicer’s performance of these responsibilities are vital and are part of the Servicer’s warranties to Freddie Mac and Freddie Mac’s UMBS, MBS and WAC ARM PC holders. (b) Investor accounting responsibilities Once Freddie Mac purchases a Mortgage from a Seller that also services the Mortgage or a Transferee Servicer that assumes the Freddie Mac Servicing Contract and related Servicing Contract Rights (as defined in Section 1101.2(c)), the Servicer must: ■ Maintain accurate Servicing records ■ Deposit all required funds into the appropriate Custodial Accounts ■ Report to Freddie Mac throughout the month and monthly as required ■ Resolve any discrepancies between the Servicer’s and Freddie Mac’s records The Servicer must comply with the requirements in this chapter and Chapters 8302, 8303 and 8304. (i) Cash accounting The Servicer’s responsibilities in administering funds it receives for Freddie Mac-owned Mortgages include: ■ Collecting, processing and depositing Borrowers’ payments to the correct Custodial Accounts ■ Administering the Escrow accounts (ii) Investor reporting and drafting of funds The Servicer’s responsibilities for reporting to Freddie Mac include: ■ Reporting all loan activity and events to Freddie Mac ■ Reporting current information for each Mortgage that accurately reflects the Borrower’s loan activity and loan history ■ Ensuring accounts are adequately funded to allow Freddie Mac to draft principal, interest and compensatory fees due to Freddie Mac by no later than the applicable due dates ■ Reconciling the Servicer’s cash accounting and investor reporting systems with Freddie Mac’s loan-level accounting records (iii) Custodial Accounts management The Servicer’s responsibilities for managing the Custodial Accounts for Freddie Mac’s funds include ensuring that: ■ Custodial Accounts are safeguarded, properly segregated and maintained at an Eligible Depository and that Freddie Mac is authorized to draft funds from the Custodial Accounts ■ The Custodial Accounts are fully funded and reconciled ■ Form 59, Principal and Interest Custodial Account Reconciliation Worksheet, and Form 59E, Escrow Custodial Account Reconciliation Worksheet, are properly prepared by and approved by different individuals reflecting the required segregation of responsibilities (c) Investor reporting performance standards Freddie Mac will measure a Servicer’s investor reporting performance against certain metrics, which may be amended by Freddie Mac from time to time. Note: Refer to the Servicer Success Scorecard for the specific metrics and to Section 3501.2 for additional information about the Servicer Success Scorecard.

Source: Freddie Mac Single-Family Seller/Servicer Guide 8301.1 — Servicer’s responsibilities for MBS, participation certificates, investor accounting and reporting performance standards · source URL · snapshot 4c94f67729042dd6