12 CFR §1024.33 — Mortgage servicing transfers
Regulation X §1024.33 governs servicing-transfer notice delivery and payment-handling during transfer: transferor notice not less than 15 days before effective date; transferee notice not more than 15 days after; six required content elements; 60-day period during which transferor-received payments cannot be treated as late.
Verbatim regulatory text
Verbatim provisions from 12 CFR §1024.33 — Mortgage servicing transfers — 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.
12 CFR §1024.33(b)(1) — Notice of transfer required
(b) Notices of transfer of loan servicing —(1) Requirement for notice. Except as provided in paragraph (b)(2) of this section, each transferor servicer and transferee servicer of any mortgage loan shall provide to the borrower a notice of transfer for any assignment, sale, or transfer of the servicing of the mortgage loan . The notice must contain the information described in paragraph (b)(4) of this section. Appendix MS-2 of this part contains a model form for the disclosures required under this paragraph (b).
12 CFR §1024.33(b)(3)(i) — 15-day timing for notice of transfer
(3) Time of notice —(i) In general. Except as provided in paragraphs (b)(3)(ii) and (iii) of this section, the transferor servicer shall provide the notice of transfer to the borrower not less than 15 days before the effective date of the transfer of the servicing of the mortgage loan . The transferee servicer shall provide the notice of transfer to the borrower not more than 15 days after the effective date of the transfer. The transferor and transferee servicers may provide a single notice, in which case the notice shall be provided not less than 15 days before the effective date of the transfer of the servicing of the mortgage loan .
12 CFR §1024.33(b)(4) — Required content of notice of transfer
(4) Contents of notice. The notices of transfer shall include the following information:
12 CFR §1024.33(c)(1) — 60-day no-late-treatment rule on servicing transfer
(c) Borrower payments during transfer of servicing —(1) Payments not considered late. During the 60-day period beginning on the effective date of transfer of the servicing of any mortgage loan , if the transferor servicer (rather than the transferee servicer that should properly receive payment on the loan) receives payment on or before the applicable due date (including any grace period allowed under the mortgage loan instruments), a payment may not be treated as late for any purpose.
12 CFR §1024.33(b)(4) — Required content of notice of transfer — enumerated items (chapeau recall fix)
(i) The effective date of the transfer of servicing ; (ii) The name, address, and a collect call or toll-free telephone number for an employee or department of the transferee servicer that can be contacted by the borrower to obtain answers to servicing transfer inquiries; (iii) The name, address, and a collect call or toll-free telephone number for an employee or department of the transferor servicer that can be contacted by the borrower to obtain answers to servicing transfer inquiries; (iv) The date on which the transferor servicer will cease to accept payments relating to the loan and the date on which the transferee servicer will begin to accept such payments. These dates shall either be the same or consecutive days; (v) Whether the transfer will affect the terms or the continued availability of mortgage life or disability insurance, or any other type of optional insurance, and any action the borrower must take to maintain such coverage; and (vi) A statement that the transfer of servicing does not affect any term or condition of the mortgage loan other than terms directly related to the servicing of the loan. (c) Borrower payments during transfer of servicing —(1) Payments not considered late. During the 60-day period beginning on the effective date of transfer of the servicing of any mortgage loan , if the transferor servicer (rather than the transferee servicer that should properly receive payment on the loan) receives payment on or before the applicable due date (including any grace period allowed under the mortgage loan instruments), a payment may not be treated as late for any purpose.