U.S. Department of Housing and Urban Development
H O U S I N G
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Special Attention of:
Regional Directors of Housing Notice H 90-71 (HUD)
Directors of Housing
Field Office Managers Issued: 9/20/90
Directors of Housing Management Expires: 9/20/91
Chiefs of Property Disposition ______
Branch Cross References:
Chiefs of Loan Management Branch
Supervisory Single Family Loan
Specialists
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Subject: Maintenance of the Claims Without Conveyance of Title
(CWCOT) Case Files
In line with the Department-wide effort to reduce the number
of files maintained in-house, this is to advise that all CWCOT
case files shall be set up in the same manner as the acquired
property binders in the Property Disposition Branch.
In adopting this set up, if the CWCOT processed property is
subsequently conveyed to HUD, the Property Disposition Branch
will request the CWCOT file from the Loan Management Branch to
maintain while the property is in the Department's inventory of
acquired properties. When the property is sold, the file shall
be disposed of, in accordance with the records disposition
schedule for Single Family Properties acquired by the Secretary
and sold, one (1) year after the sale of the property.
Further disposition of CWCOT case files shall be as follows:
(1) files on properties sold to third parties at the
foreclosure sale shall be transferred to the Federal
Records Center one (1) year after termination of the
mortgage insurance, and
(2) files in which the property has been retained by the
mortgagee or redeemed by the mortgagor shall be
transferred to the Federal Records Center one (1) year from
the termination of mortgage insurance.
The Record Center destroys these records six (6) years after
the sale of the property, termination of the mortgage insurance,
or upon conclusion of any and all disputes (i.e., deficiency
judgment cases), whichever is later as per records disposition
instructions in Handbook 2225.6 REV-1. Language in this section
shall be added to cover the CWCOT files.
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HSISI : Distribution: W-3-1, W-2(H)(OGC)(Z), W-3(A)(H)(ZAOO), W-4(H), R-1,
R-2, R-3, R-3-1(H)(RC), R-3-2, R-3-3, R-6, R-6-1,
R-6-2, R-7, R-7-1, R-7-2, R-8, R-8-1, W-1(H)
Previous Editions Are Obsolete HUD 21B (3-80)
GPO 871 902
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The Loan Management Branch staff must set up future CWCOT
case files in accordance with the acquired property binder files.
Also, Loan Management and Property Disposition Branch staffs must
coordinate the effort to consolidate the existing CWCOT files
with the acquired property binders and dispose of them accordingly.
Very sincerely yours,
Arthur J. Hill
Acting Assistant Secretary for Housing
- Federal Housing Commissioner
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