What if the borrower does not make all the payments during the trial period?
A borrower must be current at the end of the trial period in order to get a modification under HAMP. “Current” is defined as the borrower having made all required trial period payments no later than 30 days from the date the final payment is due. A borrower could, for example, make the first trial period payment on time, miss the second month’s payment, make two payments in the third month of the trial period and still be considered current. However, if a borrower is not current at the end of the trial period, the borrower will not be eligible for the permanent modification. In the event a borrower does not complete the terms of the trial period, the servicer must evaluate the borrower for any other available loss mitigation alternatives prior to commencing or restarting foreclosure proceedings.
