HUD watchdog: Some servicers are providing wrong information about forbearance

Some of the largest mortgage servicers in the country are providing borrowers with “confusing and, at times, seemingly contradictory” information about forbearance, a federal watchdog said.

Some servicers of loans backed by the Federal Housing Administration were giving information about forbearance that is “incomplete, inconsistent, dated, and unclear,” the Department of Housing and Urban Development’s Office of the Inspector General said in a report Monday, without citing the names of the companies.