Due to the continuing impact of the COVID-19 Pandemic National Emergency, Ginnie Mae will continue the temporary measure allowing for the electronic execution and transmission of form HUD 11711A (Release of Security Interest) and form HUD 11711B (Certification and Agreement) in order to minimize potential market disruptions, as originally announced in the APM 20-01.
Issuers are reminded that the electronic signature utilized on the 11711A/B must, in all cases, be performed, affixed or reflected as to allow a person reading the form to identify the name, title, and business name of the signor. The electronic signature may not be an audio recording, a video recording, or comprised exclusively of biometric data.
Any forms HUD 11711A and HUD 11711B signed electronically may also be transmitted electronically between interim lenders, Issuers, and Document Custodians provided that they are maintained in PDF format and that the Document Custodian is able to reproduce a printout of those PDF files to be included in the relevant physical pool file or upon Ginnie Mae's request. Issuers must ensure that the Document Custodian is able to receive and reproduce the electronic forms before transmitting them for the Initial Certification review.
As it has been one year since the guidance in APM 20-01 was originally issued, Document Custodians are notified that they may use the electronically signed 11711 forms to complete Final Certification, when the forms meet the standards directed above.
Continuation of this temporary measure does not constitute a revocation of the Document Custody Manual Appendix III-05 of Ginnie Mae's MBS Guide 5500.3 Rev. 1 stipulating that the original form HUD 11711A must include the wet signature and title of individual signing on behalf of interim lender to meet Initial Certification requirements, and that the form HUD 11711B must include the wet signature of an officer of the Issuer authorized under the form HUD 11702 (Appendix I-2). Ginnie Mae continues to reserve the right to require wet signatures for the affected loans, and will provide additional guidance on this topic when the crisis related to COVID-19 has been mitigated or it otherwise deems appropriate.
If you have further questions, please contact your Account Executive in the Office of Issuer and Portfolio Management directly.
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