May a qualified lender modify a distressed loan notice when it is being sent to a borrower(s) who has filed bankruptcy?

After conferring with its legal counsel, a qualified lender may modify a notice to the extent necessary to remain in compliance with the local bankruptcy court’s automatic stay. Because the Act and bankruptcy laws are read together in these situations, FCA examination staff will give proper consideration to the legal guidance a qualified lender obtained—if this legal guidance is properly documented in a loan file—when reviewing for compliance with distressed loan notice rules. More.

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