source:
  type: regulation
  id: hud-4000-1-iii-a-2-a
  authority: HUD Handbook 4000.1 III.A.2.a — Mortgages in Delinquency or Default
  description: 'HUD Single-Family Housing Policy Handbook 4000.1, Section III.A.2.a.

    See obligation entries for operative requirements and verbatim

    primary-source citations.

    '
obligations:
- id: hud-4000-1-iii-a-2-a-full
  canonical_id: hud-4000-1-iii-a-2-a-full
  section: HUD Handbook 4000.1 III.A.2.a
  description: "Servicing And Loss Mitigation: The Mortgagee must ensure FHA-insured Mortgages in Delinquency\
    \ or Default are \nserviced in accordance with FHA requirements and applicable laws. \nFor the purpose\
    \ of determining the date of Default and timelines related to Default, HUD \nconsiders all months\
    \ to have 30 Days. \nb. Reporting to Consumer …"
  type: do
  tags:
  - regulator-direct
  - section-complete
  - hud
  - 4000-1
  - curated
  primary_source:
    tier: 1
    authority: HUD Handbook 4000.1 III.A.2.a.ii — Standard
    source_class: hud-handbook-4000-1
    source_url: https://www.hud.gov/hud-partners/single-family-handbook-4000-1
    snapshot_id: 8c03836f77f317e1
    fetched_at: '2026-05-23T00:28:40Z'
    content_hash: sha256:411430f29b13f9b54a2ebb0e6f6e7087ecd2b90d0da22eb0c8c792eaa2d7d0df
    paragraph_quote: "The Mortgagee must ensure FHA-insured Mortgages in Delinquency or Default are \n\
      serviced in accordance with FHA requirements and applicable laws. \nFor the purpose of determining\
      \ the date of Default and timelines related to Default, HUD \nconsiders all months to have 30 Days.\
      \ \nb. Reporting to Consumer Reporting Agencies and the IRS (03/31/2022) \nThe Mortgagee is responsible\
      \ for: \n• complying with applicable law and federal regulations relating to reporting to \nconsumer\
      \ reporting agencies; and \n• ensuring that all reported information is accurate. \nThe Mortgagee\
      \ is also responsible for any required IRS reporting regarding acquisition of \nsecured Property\
      \ or cancellation of mortgage debt, in accordance with the Internal Revenue \nCode (IRC). \nc. Late\
      \ Charges (10/01/2025) \nLate Charges are charges assessed if a Mortgage Payment is received more\
      \ than 15 Days \nafter the due date. \nThe Mortgagee may consider a Borrower’s Mortgage Payment\
      \ late if the payment is \nreceived by the Mortgagee more than 15 Days after the due date, except\
      \ for payments \nreceived from Borrowers in accordance with a Trial Payment Plan Agreement. The\
      \ \nMortgagee may assess a late charge on the 17th Day of the month. \nFor Mortgages assigned a\
      \ case number on or after March 14, 2016, the Mortgagee may \nassess a Late Charge, not to exceed\
      \ 4 percent of the overdue payment of P&I and in \naccordance with applicable state and federal\
      \ laws. \nFor Mortgages assigned a case number before March 14, 2016, the Mortgagee may assess \n\
      a Late Charge calculated based on overdue PITI if permitted under the terms of the \nmortgage Note\
      \ and under applicable state and federal laws. \n(A) Notifying the Borrower of the Late Charge \n\
      Before collecting the Late Charge or returning a Mortgage Payment to the Borrower \nfor failing\
      \ to pay the Late Charge, the Mortgagee must provide the Borrower with an \nadvance written notice\
      \ of the charge."
    drafter_attestation: Verbatim section from snapshot 8c03836f77f317e1; boundary human-curated + substring-verified
      (2026-07-23).
  judgment: false
