12 CFR §1024.35 — Error resolution procedures
Regulation X §1024.35 sets the procedural framework for servicer response to written borrower notices of error: 5-day acknowledgment, 30-day response (7-day for payoff errors; earlier of pre-sale or 30-day for foreclosure-related errors), 15-day extension for general errors, 60-day adverse-credit-furnishing ban.
Verbatim regulatory text
Verbatim provisions from 12 CFR §1024.35 — Error resolution procedures — 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 §1024.35(a) — Notice of error definition and scope
(a) Notice of error. A servicer shall comply with the requirements of this section for any written notice from the borrower that asserts an error and that includes the name of the borrower, information that enables the servicer to identify the borrower's mortgage loan account, and the error the borrower believes has occurred. A notice on a payment coupon or other payment form supplied by the servicer need not be treated by the servicer as a notice of error. A qualified written request that asserts an error relating to the servicing of a mortgage loan is a notice of error for purposes of this section, and a servicer must comply with all requirements applicable to a notice of error with respect to such qualified written request .
12 CFR §1024.35(d) — Acknowledgment of receipt within 5 business days
(d) Acknowledgment of receipt. Within five days (excluding legal public holi days , Satur days , and Sun days ) of a servicer receiving a notice of error from a borrower, the servicer shall provide to the borrower a written response acknowledging receipt of the notice of error.
12 CFR §1024.35(e)(1)(i) — Response to notice of error: correction or no-error determination
(e) Response to notice of error —(1) Investigation and response requirements —(i) In general. Except as provided in paragraphs (f) and (g) of this section, a servicer must respond to a notice of error by either:
12 CFR §1024.35(e)(3)(i) — Time limits for §1024.35(e)(1) response
(3) Time limits —(i) In general. A servicer must comply with the requirements of paragraph (e)(1) of this section:
12 CFR §1024.35(e)(3)(ii) — 15-day extension of general 30-day response
(ii) Extension of time limit. For asserted errors governed by the time limit set forth in paragraph (e)(3)(i)(C) of this section, a servicer may extend the time period for responding by an additional 15 days (excluding legal public holi days , Satur days , and Sun days ) if, before the end of the 30-day period, the servicer notifies the borrower of the extension and the reasons for the extension in writing. A servicer may not extend the time period for responding to errors asserted under paragraph (b)(6), (9), or (10) of this section.
12 CFR §1024.35(h) — No payment as a condition of responding to a notice of error
(h) Payment requirements prohibited. A servicer shall not charge a fee, or require a borrower to make any payment that may be owed on a borrower's account, as a condition of responding to a notice of error.
12 CFR §1024.35(i)(1) — 60-day prohibition on furnishing adverse credit information
(i) Effect on servicer remedies —(1) Adverse information. After receipt of a notice of error, a servicer may not, for 60 days, furnish adverse information to any consumer reporting agency regarding any payment that is the subject of the notice of error.