HUD Releases Updated HERMIT Software

The Department of Housing and Urban Development released new enhancements to the Home Equity Reverse Mortgage Information Technology (HERMIT) platform that servicers use to collect mortgage insurance premiums, file insurance claims and assign loans to FHA.

Of particular note, HERMIT System Changes – Release 5.4 provides access to Death Master Files (DMF) from the Social Security Administration and updates corresponding HERMIT “death dates,” which helps servicers mitigate debenture interest curtailment risk.

In its release notes, HUD reminded servicers that the DMF file is provided as an additional tool for the industry and is not intended to replace current business processes. It is the responsibility for mortgagees/servicers to obtain documentation of the death of the mortgagor or eligible non-borrowing spouse for foreclosure and claim purposes.