New Modernized Default Reporting FAQ

We’re transforming how Servicers report default activities to us. Key changes being implemented include:

• Event-based Reporting: We’re streamlining how Servicers report loan-level events. When these changes become effective, Servicers will be required to report loan-level default events to us in near real-time, enhancing transparency and ensuring data alignment. Examples of default events include quality right party contact and payment reminder notice.
• Reporting Frequency for Event-based Reporting: Servicers will be required to report default reporting activities to Freddie Mac the same day as the events are processed in your system, but no later than 3 a.m. ET the next business day. Default events will be processed, and the outcomes will be made available in near real-time.
• Expanded Loan Data: To support the change to event-based reporting, Servicers will be expected to report on an expanded set of data attributes in support of the events. Reporting an expanded set of data attributes will provide better insights into activities and enhance risk management capabilities. The default reporting data attributes will align with Mortgage Industry Standards Maintenance Organization (MISMO^®) data standards wherever possible for greater consistency and standardization in loan data across the mortgage industry.

No. Under the new event-based default reporting, Servicers will report default events and related data in accordance with the Default Reporting Dataset Guidelines.

These changes support proactive delinquency management and improve efficiency and transparency for default reporting. Advantages include:

• Better Updated View of Default Loan State: Same-day reporting will allow us to process default events and provide responses to you in near real-time, enhancing transparency and data alignment, as well as eliminating data discrepancies due to timing.
• Simplified Default Reporting: Eliminating redundant reporting in multiple systems will reduce reconciliations and create operational efficiencies for Servicers.

Default reporting via application programming interface (API) and non-API (file transfer) will be available in production by Q4 2026 and via user interface (UI) by Q1 2027. Review our high-level roadmap for production go-live milestones.

We recognize that some data elements may not be readily available in Servicers' current systems. Phased adoption gives additional time for Servicers to update their systems, modify vendor integrations and implement new procedures to capture the data elements. Phase 1 adoption includes data elements that Servicers typically have readily available in their systems. Phase 2 adoption includes a few additional data elements that may not be readily available. Servicers can voluntarily submit Phase 2 data during Phase 1 if the data elements are available. EDR will be retired after the mandate of Phase 1 Data Requirements.

In advance of this transition, we encourage Servicers and technology providers to review the Default Reporting Dataset Guidelines to begin internal planning to assess changes to your business processes and operations, identify event capture points and evaluate integration approaches. Focus areas include:

• Assessing current default reporting workflows that rely on prior-month aggregation and identify changes needed to support event-triggered reporting.
• Inventory of data sources and event capture points (e.g., collections, loss mitigation, foreclosure and bankruptcy) that will drive event generation and reporting.
• Evaluating integration approaches, e.g. application programming interface (API), non-API (file transfer), user interface (UI) and technology dependencies with vendors, Servicing Agents or other service providers.
• Identifying internal policies and procedures that may need to be updated.

Implementation resources will be made available in the coming weeks. We encourage you to visit the Resolve webpage for updates as we continue to transition to the new default reporting process. These resources will be updated periodically, and additional materials will be added as implementation details are finalized. We encourage you to stay current on resource updates and begin planning and preparing for timely implementation.

Freddie Mac is committed to providing training, webinars and collaborative sessions to ensure change readiness.

The document describes default events and the associated data to be reported. It also provides definitions and, where applicable, enumerations for each data attribute, including any conditional reporting requirements. It provides advance notice of events and supporting data for upcoming reporting changes to default reporting.

Servicers will receive a near real-time response indicating whether each event was accepted or not accepted, along with any applicable error message.

Optional: These attributes can be provided if available in your systems. While not mandatory, Freddie Mac encourages providing these to enhance data insights.

Conditional: These attributes become required when specific conditions are met (e.g., when Contact Result = "Promise to Pay," the Promise to Pay Due Date becomes required).

Required: Always mandatory for successful event reporting.

Yes, you can submit Phase 2 data elements during Phase 1.

Once you begin reporting events through the new default reporting capability (via Resolve^®), you no longer need to report through EDR. EDR will be retired in Q4 2027.

Contact your Servicing Relationship Manager or Customer Service (800-FREDDIE).

Error handling and correction procedures will be detailed in the technical specifications. The near real-time response capability will help identify any errors immediately, allowing for quick corrections.

For events with start and end dates (such as Foreclosure Holds, Military Indulgence, Litigation, etc.), you must report the event when it begins with the start date. When the event ends, you must report the event with the end date populated. This ensures Freddie Mac has a complete timeline of the event lifecycle.

Freddie Mac's vision encompasses both modernization and long-term strategic transformation. In the near term, we’re focused on addressing current pain points with our existing EDR system through comprehensive modernization efforts. In the longer term, we intend to gather insights from industry stakeholders to identify ADR efficiencies and create more streamlined reporting that benefits all participants in the default management ecosystem.