Get help understanding what happens after mortgage payment suspension

Updated September 1, 2021

If your payment suspension is ending

As payment suspensions are coming to an end, we have started communicating with those customers. If you have received information from us, please read it. We need to hear from you to discuss options to resolve missed payments. Contact us as 1-800-219-9739 to learn about next steps.

About payment suspension

We understand that COVID-19 continues to cause unpredictable hardships. And while we know you want to get back on your feet as quickly as possible, we realize you may not yet be able to repay your suspended mortgage payments in a lump sum or as part of a repayment plan that increases your monthly payments for a period of time.

Deciding to resume making payments, if you can, is a good choice because it:

  • Provides you with the opportunity to apply for new credit or to refinance.
  • Reduces the chance that your escrow account, if you have one, will have a shortage. If you miss payments, your escrow account may not have enough to cover your tax and insurance bills. We’ll continue to pay them, but this could increase your future monthly payments.
  • Reduces the number of suspended payments that you’ll need to repay.

We can help discuss programs that consider your financial situation, including your loan status, type of loan, and whether your payments were current when the COVID-19 emergency was declared in March, 2020.

When you are ready to resume making payments or need to extend relief (if eligible), you need to request this assistance for each account separately.  For home equity accounts, you will need to call us to resume making payments or to request additional assistance.

Described below are the basic programs for federally backed loans. The agencies investing or insuring in these loans are the Federal Housing Administration (FHA), Veterans Affairs (VA), Fannie Mae (FNMA), Freddie Mac (FHLMC), and U.S. Department of Agriculture (USDA).

Programs are subject to change. One way to keep up with those changes is to make sure your phone number and email are up to date with us. You can update your contact information by calling us or you can sign on to Wells Fargo Online® and access Update Contact Information to review your email addresses, phone numbers, and mailing addresses.

Additionally, programs are available for customers with Wells Fargo or other investors not noted above.

How to determine who the investor/insurer is for your loan

The communications you receive from us include loan details and who the investor/insurer is on your loan, as well as available repayment programs. 

You can find out if your loan investor is Fannie Mae or Freddie Mac by visiting these sites or calling us at 1-877-937-9357.

Return to Answers to frequently asked Mortgage and Home Equity Questions.

 

Customers who are active on payment suspension as of 2/28/2021 and are still experiencing a COVID-19 hardship may be eligible to receive up to 18 months of payment suspension and may be eligible to defer up to 18 months of missed payments, providing that they don’t exceed 18 total months of delinquency.

Customers who enter payment suspension after 2/28/2021, may be eligible to receive up to 12 months of payment suspension and may be able to defer up to 12 months of missed payments.

Additional programs exist for customers who cannot qualify to defer their payments, including:

  • A repayment plan where the amount due from the missed payments is divided into manageable amounts and spread out over time. This would increase your regular mortgage payments for a while, but would bring the mortgage up to date.
  • A loan modification where certain terms of your loan are changed — such as the interest rate or the time allowed for repayment — to make payments more manageable. This program is intended for people experiencing long-term financial hardships.

Customers who requested payment suspension prior to 6/30/2020 and are still experiencing a hardship due to COVID-19 may be eligible to receive up to 18 months of payment suspension.

When customers are ready to resume their payments, there may be programs available to resolve missed payments including but not limited to the following:

  • FHA COVID-19 Standalone Partial Claim where you resume making your regular mortgage payment and the amount of missed payments is moved to a second, interest-free loan that is repaid when your home is sold or refinanced, or the mortgage is paid off.
  • A repayment plan where the amount due from the missed payments is divided into manageable amounts and spread out over time. This would increase your regular mortgage payments for a while, but would bring the mortgage up to date.
  • A loan modification where certain terms of the loan are changed – such as the interest rate or time allowed for repayment – to make payments more manageable. This program is intended for people experiencing long-term financial hardships.

Customers who requested payment suspension prior to 6/30/2020 may be eligible to receive up to 18 months of payment suspension if they are still experiencing a financial hardship related to COVID-19.

When customers are ready to resume their payments, the following programs may be available to repay missed payments:

  • A repayment plan where the amount due from the missed payments is divided into manageable amounts and spread out over time. This would increase your regular mortgage payments for a while, but would bring the mortgage up to date.
  • Payment deferral where the amount of the missed payments is added to the end of your loan term. This would extend the loan term by the number of missed payments.
    Please note: You can defer payments missed because of COVID-19 related hardship only once. If you need help with payments in the future, we will need to find another program for you.
  • A loan modification where certain terms of your loan are changed — such as the interest rate or the time allowed for repayment — to make payments more manageable. This program is intended for those experiencing long-term financial hardships.

Customers who are active on payment suspension as of 2/28/2021 and are still experiencing a COVID-19 related hardship may be eligible to receive up to 18 months of payment suspension and may be eligible to defer up to 18 months of missed payments, provided they don’t exceed 18 months of delinquency.

Customers who enter payment suspension after 2/28/2021, may be eligible to receive up to 12 months of payment suspension and may be eligible to defer up to 12 months of missed payments.

If your account is not eligible to have the missed payments moved to the end of the account term, we will work with you to discuss other programs to make up the missed payments. We may need to gather your financial information to review and qualify you.

When customers are ready to resume their payments, the following program may be available to repay missed payments:

  • A loan modification where certain terms of your loan are changed — such as the interest rate or the time allowed for repayment — to make payments more manageable. This program is intended for those experiencing long-term financial hardships.