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Advanced Search Board of Governors of the Federal Reserve System The Federal Reserve, the central bank of the United States, provides the nation with a safe, flexible, and stable monetary and financial system. About the Fed News & Events Monetary Policy Supervision & Regulation Payment Systems Home > News & Events > Press Releases Press Release June 21, 2012 Agencies issue guidance concerning mortgage servicing practices that impact servicemembers For immediate release Share The Federal Reserve Board on Thursday joined with four other financial regulatory agencies in issuing guidance concerning mortgage servicing practices that may pose risks to homeowners serving in the military. Specifically, the guidance addresses risks related to military homeowners who have informed their loan servicer that they have received Permanent Change of Station (PCS) orders and who might seek assistance with their mortgage loans. For military homeowners, receiving PCS orders to relocate to a new duty station can present challenges when they are unable to sell their homes to pay off the mortgage debt. The guidance reminds mortgage loan servicers that their employees should be adequately trained about the options available for assisting military homeowners with PCS orders. When homeowners notify their servicers that they have received PCS orders, servicers should provide accurate, clear, and readily understandable information about available options for which the homeowner may qualify based on the information known. Servicers also should communicate decisions on assistance requests in a timely manner. The guidance, which is attached, is consistent with the Servicemembers Civil Relief Act and with guidance and examination procedures previously issued by the Federal Reserve regarding working with Economic Research Data Consumers & Communities homeowners who are financially unable to continue meeting their mortgage payments. Joining in the guidance are the Consumer Financial Protection Bureau, the Federal Deposit Insurance Corporation, the National Credit Union Administration, and the Office of the Comptroller of the Currency. Attachment (PDF) For media inquiries, call 202-452-2955. Last Update: June 21, 2012 BOARD OF GOVERNORS of the FEDERAL RESERVE SYSTEM About the Fed News & Events Monetary Policy Supervision & Regulation Payment Systems Economic Research Data Consumers & Communities Financial Stability TOOLS AND INFORMATION STAY CONNECTED Contact Publications Freedom of Information (FOIA) Office of Inspector General Budget & Performance | Audit No FEAR Act Español Website Policies | Privacy Program Accessibility BOARD OF GOVERNORS of the FEDERAL RESERVE SYSTEM 20th Street and Constitution Avenue N.W., Washington, DC 20551