Example – A borrower who is 60 days delinquent submits an incomplete loss
mitigation application. Within 5 business days, the servicer provides an
acknowledgment notice stating the additional documents and information the borrower
must submit to complete the application. The notice also includes a reasonable date by
which the borrower should submit the documents and information. No documents or
information submitted by the borrower will be considered stale within the next 30 days.
The "reasonable date" can be 30 days from the date the servicer provides the notice
because it will not be later than any milestone. In this scenario, 30 days is before the
date that is the 120th day of the borrower's delinquency (and therefore 90 days and 38
days before a foreclosure sale). If however, the borrower is already 95 days delinquent,
30 days after provision of the notice is not a reasonable date, as it could be after the loan
passed the 120 day milestone. In this case, the servicer might select 15 days as a
reasonable date for return of the needed documents or information.
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Reasonable Date Example
