PennyMac Modification Checklist (“Initial Package”)
If your home is currently in foreclosure and you wish to apply for a loan modification program, we must receive a complete package by no later than the seventh business day before the foreclosure sale.
If PennyMac receives your application less than one month from the scheduled foreclosure date, the application must contain all required documentation for consideration in a refinance, modification, or a foreclosure alternative program. If you cannot provide all required documentation, you must include a written explanation for all missing documentation.
To apply for a modification, you need to complete and provide the following to PennyMac:
- Complete the Mortgage Assistance Application.
- Complete the Tax Authorization Form 4506T-EZ (must be completed by each borrower).
You are required to verify your income to ensure the modified mortgage payments will be affordable for you. The required documentation depends on your source(s) of income. The questions and direction below will tell you what documents are needed to verify your income. Be sure to make copies of your income documentation and keep the originals for your records.
Do you receive a salary or hourly wages?
- Provide a copy of your two most recent pay stubs (showing year-to-date earnings).
- Provide a copy of your most recent W-2.
If you are unemployed, but have an offer letter from a new employer, please provide a copy of that letter.
Are you self-employed?
- Provide a copy of your most recent quarterly or year-to-date profit and loss statement.
- Profit and loss statements are required for each business and each borrower.
Do you receive income from any of the following: Social Security, disability or death benefits, pension, adoption assistance, public assistance, or unemployment?
- Provide a copy of your benefits statement(s) or provide a letter from the source, stating the following: amount of income, frequency, and duration of the benefit.
- Provide a copy of your two most recent bank statements showing receipt of such payments.
Do you receive alimony or child support as income?
- Provide a copy of the following: divorce decree (or other court decree), separation agreement, or other written agreement (filed with the court) stating the benefit amount and the duration of the benefit.
- Provide a copy of your two most recent bank statements indicating receipt of such payment.
You are not required to disclose child support, alimony, or separation maintenance income, unless you choose to have it considered for your loan modification or foreclosure alternative.
Do you receive rental property income?
- Provide a copy of all lease agreements, along with bank statements indicating receipt of such payments.
If you do NOT have an escrow or impound account to pay your taxes and insurance, please provide the following:
- Copy of the property's most recent property tax bill
- Copy of the property's most recent homeowner's insurance policy or insurance bill
If the property belongs to a homeowners or condo association, please provide the following:
- Copy of most recent homeowners association bill
BE AWARE OF FORECLOSURE, GIFT CARD & LOAN SCAMS
- PennyMac does not charge fees for a modification or other loss mitigation plans when you are facing a delinquency.
- PennyMac will work with you to ensure every option possible is explored to retain homeownership. No fees. No strings.
- PennyMac does not accept payments from Money Gram.
- Funds are always payable to PennyMac and not to an individual.
- PennyMac does not accept gift cards as payment and will not call you and ask for a gift card number.
- Anyone who demands payment via gift card is always a scammer. Gift cards work like cash, once you’ve provided the number you will not be able to get your money back.
- Don’t be fooled! To learn more about Gift Card Scams, read the Federal Trade Commission’s article.
PennyMac will work with you to ensure every option possible is explored to retain home ownership. No fees. No strings.