A Servicer must recommend a charge-off to Freddie Mac instead of proceeding with foreclosure when the debt that is secured by the mortgaged premises is deemed uncollectible and/or any of the situations outlined in the Single Family Seller/Servicer Guide (Guide) Section 9210.1 apply. Servicers can recommend charge-off requests to Freddie Mac through Resolve® .
Resolve's user interface (UI) provides the capability to submit charge-off requests for processing via the exception review path. Charge-off requests are submitted only through the Resolve UI. For application programming interface (API) users, you must access the Resolve UI to perform this functionality.
A charge-off request may be initiated by the Servicer or Freddie Mac:
Important: Servicers will no longer receive a Freddie Mac approval letter. Therefore, you must complete the following charge-off requirements based on the Workout Approval Date in Resolve:
Refer to the following Guide Sections for charge-off requirements:
Guide Section 9210.1 - What is a charge-off?
Guide Section 9210.2 - When a Servicer must recommend a charge-off?
Guide Section 9210.3 - Submitting a recommendation for a charge-off to Freddie Mac
Guide Section 9210.4 - Freddie Mac's decision about a Servicer's charge-off recommendation
Guide Section 9210.5 - Closing, reporting and remittance requirements for charge-offs (e.g., notifying the borrower that the servicer will no longer service the mortgage, lien release requirements, etc.)
Learn more about:
Freddie Mac Initiated Charge-Off Request
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This information is not a replacement or substitute for the requirements in the Freddie Mac Single-Family Seller/Servicer Guide or any other contractual agreements. This information does not constitute an agreement between Freddie Mac and any other party. © 2025 Freddie Mac. |
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