source:
  type: guide
  id: fnma-svc-d2-3.2-02
  authority: Fannie Mae Servicing Guide D2-3.2-02 — Repayment Plan
  description: Fannie Mae Servicing Guide D2-3.2-02 — Repayment Plan.
  coverage_tier: operative
obligations:
- id: fnma-svc-d2-3.2-02-full
  canonical_id: fnma-svc-d2-3.2-02-full
  section: Fannie Mae Servicing Guide D2-3.2-02 — Repayment Plan
  type: do
  tags:
  - regulator-direct
  - fnma
  - servicing-guide
  - corpus-expansion
  - tier-operative
  primary_source:
    tier: 1
    authority: Fannie Mae Servicing Guide D2-3.2-02 — Repayment Plan
    source_class: fnma-guide
    source_url: https://singlefamily.fanniemae.com/media/document/pdf/servicing-guide
    snapshot_id: cf63a82bbb4adfba
    fetched_at: '2026-05-22T23:53:19Z'
    content_hash: sha256:89df66c43baad07f8a8dd9d224492fff7d15e8839edba02ad0e74c7e50fe5da3
    paragraph_quote: 'D2-3.2-02, Repayment Plan (08/13/2025) Introduction This topic
      contains the following: Repayment Plan Terms Soliciting the Borrower for a Workout
      Option After a Failed Repayment Plan Handling Late Charges with a Repayment
      Plan Processing a Repayment Plan for Mortgage Loans Subject to a Temporary Interest
      Rate Buydown Plan Published May 13, 2026 327 Repayment Plan Terms The servicer
      is authorized to evaluate the borrower for a repayment plan without receiving
      a complete BRP. However, if the borrower submitted a complete BRP, the servicer
      must evaluate the borrower in accordance with Fannie Mae’s evaluation requirements
      as indicated in D2-2-05, Receiving a Borrower Response Package. The following
      requirements apply to repayment plans: The servicer must consider a repayment
      plan when the delinquency resulted from a temporary hardship that no longer
      appears to be a problem. For an MBS mortgage loan, the servicer must identify
      and distinguish the pool issue date and be familiar with the reclassiﬁcation
      requirements (see A1-3-06, Automatic Reclassiﬁcation of MBS Mortgage Loans for
      additional information). The repayment plan terms must be provided to the borrower
      with an Evaluation Notice. For additional information on the requirements for
      an Evaluation Notice, see Sending a Notice of Decision on a Workout Option in
      D2-2-05, Receiving a Borrower Response Package. When the servicer initially
      oﬀers an arrangement that includes a combination of both forbearance and a repayment
      plan, the combined period must not exceed 36 months. The following table provides
      the requirements for a repayment plan based on the mortgage loan''s delinquency
      status at the time of evaluation and the duration of the repayment plan. If,
      at the time of evaluation, the mortgage loan is … Then… Less than or equal to
      90 days delinquent and the term of the repayment plan does not exceed six months
      • The borrower is not required to submit a complete BRP. • The total monthly
      repayment plan payment must not exceed 150% of the full monthly contractual
      payment. • The borrower must have the ﬁnancial capacity to bring the mortgage
      loan current during the repayment plan; which may be veriﬁed through QRPC if
      the oﬀer is not based on a complete BRP. Published May 13, 2026 328 If, at the
      time of evaluation, the mortgage loan is … Then… Greater than 90 days delinquent
      or the term of the repayment plan exceeds six months. • The borrower is required
      to submit a complete BRP. • The total monthly repayment plan payment must not
      exceed 150% of the full monthly contract payment. • A repayment plan that exceeds
      12 months must be submitted to Fannie Mae for written approval. • The servicer
      may oﬀer the borrower a mortgage loan modiﬁcation as an alternative to a repayment
      plan. Note: The borrower may make a payment that is suﬃcient to bring the arrearage
      within eligible parameters. Soliciting the Borrower for a Workout Option After
      a Failed Repayment Plan If the borrower does not make their total monthly repayment
      plan payment by the end of the month in which it is due and the servicer is
      unable to achieve QRPC, then the servicer must evaluate the borrower for a payment
      deferral and, if eligible, solicit the borrower for a payment deferral in accordance
      with D2-3.2-04, Payment Deferral. If the borrower is ineligible for a payment
      deferral, then the servicer must evaluate the borrower for a Fannie Mae Flex
      Modiﬁcation and, if eligible, solicit the borrower for a Fannie Mae Flex Modiﬁcation
      in accordance with D2-3.2-06, Fannie Mae Flex Modiﬁcation. If a borrower with
      a disaster-related hardship does not make their total monthly repayment plan
      payment by the end of the month in which it is due and the servicer is unable
      to achieve QRPC, then the servicer must evaluate the borrower for a disaster
      payment deferral and, if eligible, solicit the borrower for a disaster payment
      deferral in accordance with D2-3.2-05, Disaster Payment Deferral. If the borrower
      is ineligible for a disaster payment deferral, then the servicer must evaluate
      the borrower for a Fannie Mae Flex Modiﬁcation and, if eligible, solicit the
      borrower for a Fannie Mae Flex Modiﬁcation in accordance with Evaluating or
      Soliciting a Borrower with a Disaster-Related Hardship for a Fannie Mae Flex
      Modiﬁcation in D2-3.2-06, Fannie Mae Flex Modiﬁcation. Handling Late Charges
      with a Repayment Plan The repayment plan may include accrued late charges due
      when the plan is established between the servicer and the borrower. The servicer
      must waive late charges accrued during the repayment plan period as long as
      the terms of the repayment plan are maintained by the borrower. Published May
      13, 2026 329 Processing a Repayment Plan for Mortgage Loans Subject to a Temporary
      Interest Rate Buydown Plan The servicer must not apply buydown funds to reduce
      any delinquent amounts in connection with a repayment plan unless required by
      the terms of the buydown agreement. If as of the day the ﬁrst payment is due
      under a repayment plan the mortgage loan... Then the servicer must determine
      the borrower''s total monthly repayment plan payment amount based on... remains
      subject to a temporary interest rate buydown plan the payment required from
      the borrower in accordance with the buydown plan until the buydown term ends.
      is no longer subject to a temporary interest rate buydown plan the borrower''s
      full monthly contractual payment per the mortgage note. Note: If the buydown
      terms ends during the repayment plan period, the servicer must determine the
      borrower''s remaining total monthly repayment plan payment amount based on the
      borrower''s full contractual monthly payment per the mortgage note. The Evaluation
      Notice must comply with the requirements as speciﬁed in the F-1-16, Processing
      a Repayment Plan. The servicer must make the appropriate changes to the Evaluation
      Notice and must comply with the requirements as speciﬁed in F-1-16, Processing
      a Repayment Plan. The servicer must make the appropriate changes to the Evaluation
      Notice as necessary to disclose the terms of the repayment plan, including monthly
      payment amounts and any scheduled changes to the borrower''s monthly payment
      as speciﬁed in the buydown agreement or resulting from the completion of the
      buydown term. Once the buydown term ends, the servicer must return any funds
      it has held in association with a temporary interest rate buydown plan to Fannie
      Mae in accordance with C-3-01, Responsibilities Related to Remitting P&I Funds
      to Fannie Mae, subject to the terms of the buydown agreement. Recent Related
      Announcements The table below provides references to recently issued Announcements
      that are related to this topic. Announcements Issue Date Announcement SVC-2025-05
      August 13, 2025 Announcement SVC-2023-05 October 11, 2023 Published May 13,
      2026 330'
  judgment: false
