Forbearance of loan payments for borrowers of properties with Federally backed loans in disaster areas

(a) In general With respect to any disaster, a borrower with a covered mortgage loan that is secured by a property located within the disaster area may request a forbearance on the covered mortgage loan during the covered period. (b) Request for forbearance A borrower described in subsection (a) may request a forbearance on a covered mortgage loan, regardless of the delinquency status of the covered mortgage loan, by— (1) submitting a request to the borrower’s servicer in writing, over the phone, online, or through any other notification method determined to be eligible by the servicer; and (2) affirming that the borrower is experiencing a financial hardship. (c) Grant of forbearance (1) In general Upon receiving a request for a forbearance from a borrower described in subsection (a), the borrower’s servicer shall promptly and without unreasonable delay grant a forbearance— (A) for a duration of 180 days; and (B) regardless of the delinquency status of the covered mortgage loan. (2) Extension of forbearance At any time during the forbearance, a borrower may request an extension, of not more than 180 days, of the duration described in paragraph (1)(A). (d) Right To discontinue A borrower described in subsection (a) may request to discontinue a forbearance granted under subsection (c) at any time. (e) Accrual During any forbearance granted under subsection (c), no fees, penalties, or interest (beyond the amounts scheduled or calculated as if the borrower made all contractual payments on time and in full under the terms of the mortgage contract) shall accrue on the borrower’s account. (f) Application This section shall apply to with respect to any disaster declared on or after January 1, 2025.