21 Republican HFSC Members Send Letter To Treasury Urging Action To Address Mortgage Servicer Liquidity
Provided by Structured Finance Association
On April 10, Representative Lee Zeldin (R-NY,1) led a joint letter to Treasury Secretary Steve Mnuchin urging Treasury to use the funds appropriated in the CARES Act to finance the measure’s mortgage forbearance provisions. Members wrote: “Congress has correctly decided that a nationwide, broad scale forbearance program is needed but we need to make sure this is done responsibly to avoid unintended consequences and market uncertainty.” This letter follows a bipartisan letter from members of Senate Banking Committee just a few days ago asking Treasury and the Fed to provide a liquidity vehicle to help single-family and multifamily housing mortgage servicers provide consumers with the economic relief they require.
Representative Zeldin was joined by 21 Republican members of the House Committee on Financial Services in calling on Treasury to act.
SFA shares the concerns raised in the letter and issued a statement on April 4 calling on regulators to provide a source of liquidity to those mortgage servicers that may need additional capacity to support homeowners and renters impacted by COVID-19. SFA will continue to advocate for the creation of a liquidity facility for mortgage servicers and keep its members informed of any developments.