PennyMac Coronavirus Mortgage Forbearance Information

Servicer Contact Options

Phone: (844) 917-3669
Monday – Friday 7 a.m. to 6:00 p.m. PT

Online Portal:  Request Forbearance Online
Forbearance Request: Call (800) 777-4001 and follow the prompts for our automated system.

From Servicer Website

What is the difference between a forbearance plan and a payment deferral?

A forbearance provides temporary relief by reducing or suspending your payments for a brief period of time, depending on your individual situation. Toward the end of your forbearance period, we will reevaluate your situation to determine the best program to repay those missed payments.

Payment deferral is an agreement to pay the past due amounts at a different time. This may be an option for you at the end of your forbearance period based on your unique circumstances and loan program. However, it may not be the best solution if you need a more permanent payment reduction or have an extended need for forbearance.

Will there be a lump sum immediately due at the end of my forbearance?
While a lump sum payment is certainly an option, it’s not the only option. Once you’re able to resume making full payments, you can opt for a repayment plan and add extra money to your monthly mortgage payments in order to pay off the amount owed from the forbearance period.

Or, you can look into a loan modification, whereby PennyMac rolls the balance back into the mortgage. No matter which option you choose, assistance programs will allow you to repay the missed payments over time.

Since you and PennyMac don’t know exactly when this particular hardship will end, we don’t know which long-term relief option will best fit your situation. Today, you won’t be expected to know how much you’ll be able to pay when your forbearance plan ends, or when you’ll be ready to resume regular payments.

Rest assured, we’ll work with you toward the end of your plan to determine the best program for your situation. The missed payments during the forbearance plan will not be immediately due after your forbearance plan ends if you are unable to repay the full amount of those missed payments.

If you still aren’t ready to resume making monthly payments at the end of your forbearance plan, you can request an extension of your plan for another three months. Extensions will be available through a maximum 12-month forbearance term upon a showing of continued hardship.

For homeowners who require more permanent payment reductions, loan modification programs are available that may extend the term of your loan and/or reduce your interest rate to lower your payments. Modification programs do require proof of reduced income. All assistance programs will allow you to repay the missed payments over time.

Will there be interest or fees charged for the missed payments?
No additional interest beyond your regular principal and interest payment will accrue, and no fees will be charged for our assistance programs.

Are most banks deferring payments to the end of the loan?
Actually, the majority of banks are not saying they will defer payments to the end of the loan. Most mortgage loans serviced in the U.S. are part of programs sponsored or insured by the federal government. These include loans owned by Fannie Mae and Freddie Mac, and loans insured or guaranteed by the FHA, VA or USDA.

Together, these loans make up more than two-thirds of all mortgage loans in the U.S. today. These government-related agencies do have programs that allow missed payments from forbearance plans to be moved “to the end” of the loan; however, they involve either a new note and second lien against the property in the amount of the missed payments, or an extension of the maturity date of the loan.

The programs available are unique to each of these agencies and require a review of individual circumstances to determine which program will best resolve the homeowner’s hardship. For example, many customers require more permanent relief through a loan modification to lower their payments, and others have the ability to make payments through a repayment plan.

Some banks own their own loans, which provides them the ability to solely determine how they address missed payments. However, they also service loans for the federal agencies described above and are limited to offering those agencies’ programs on those loans. We encourage you to work with us. You can feel confident we will offer you the best program available to meet your individual needs.

How is my credit reporting impacted by my forbearance plan?
If your account was current prior to January 31, 2020, PennyMac will continue to report your loan as current to the various credit agencies during the forbearance plan. If your account was delinquent prior to January 31, PennyMac will continue to maintain the delinquent status reporting to the credit bureaus during the forbearance plan unless you bring your account current during the plan period, at which time PennyMac will report your account as current.

Can I make full or partial payments during my forbearance plan period?
Yes, you certainly can. Although you’re not required to make full or partial payments during your forbearance plan period, we appreciate any payment you can afford because it will reduce the amount you’ll be required to repay later.

Will I qualify for a refinance if I enter into a forbearance plan?
You will not be able to qualify for a refinance until your plan is completed and your payments are brought fully current.

If you have forbearance questions and would like to speak to a certified housing counselor, please call the Hope Hotline at


Please ask questions or report your experience with this servicer below. Your feedback will help other homeowners navigate homeownership preservation options. REMEMBER: Ask for everything in writing to protect yourself against surprises.


  1. Elizabeth on July 2, 2020 at 11:51 pm

    Their website is very vague.
    They acted like they were not aware of the new Fannie Mae COVID-19 Payment deferreral program. Would not could not give me an email to send Fannie Mae materials. Told me to call back “in a few weeks”. Told me a forbearance plan & a payment deferral plan are the same thing.

    So predatory

    • Forbearance Report on July 3, 2020 at 2:53 am

      Elizabeth, we understand your frustration. Did you see this page?

      The first step is to determine if your loan is Federally backed. On the home page, you’ll find lookup tools for Fannie Mae and Freddie Mac.

      There are some servicers on this website that have many, many complaints. You’re the first one we’ve seen for PennyMac. That means I would probably give them the benefit of the doubt that they will treat you fairly.

      There’s also a good chance that they’re not ready to start taking people out of forbearance. These companies did not need the number of employees required to handle the over four million homeowners that went into forbearance over a 60 day period because of the CARES Act.

      Now those same homeowners are trying to contact the servicer to negotiate terms of catching up on skipped payments. It’s going to overwhelm some servicers. That’s one of the main reasons we set this site up so that homeowners can help each other navigate any challenges that they may encounter.

      So thank you for your feedback. Please report back if you don’t feel like you’re not being treated fairly?

      • Maya on August 2, 2020 at 11:57 pm

        Perhaps no-one else has left a comment about PennyMac because they are still hopefully waiting for an answer from them, about anything?
        PennyMac has been consistently terrible in communicating with us. They flat out do not answer back when we call them. The matter has been complicated by the fact that both my ex spouse and I share the title, but I have kept the house as per the divorce settlement, and I have been the sole person in charge of taxes, payments, etc. in the past few years. We tried to apply for the interest reduction plan offered to VA loans, and they were unresponsive, took over 90 days to get back to us, and ended up writing the wrong names in the documents when they said they were ready, so we had to return them. It is really hard to not suspect malintent. We are still trying to avoid forbearance, as I dread their retaliatory measures (has anyone READ their fine print on that? It’s terrifying). But I am really at the end of my credit line, with no end in sight.

        • Forbearance Report on August 3, 2020 at 1:53 am

          Thank you for sharing your experience here. We are definitely not making excuses for PennyMac, but servicers were caught as off guard by all of this as everyone else. I think we’re only just now seeing the challenges of millions of homeowners trying to exit forbearance plans.

          VA has released VERY Veteran friendly guidelines, and you DO NOT have to process your IRRRL through PennyMac. If you would like, shoot me an email to and let me know what State you’re in. I can introduce you to a VA mortgage expert that I know and trust for a second opinion.

          Hope this helps?

          • Roger & Imelda Dunlap on October 9, 2020 at 1:17 am

            We did the forbearance or deferment for covid19 for 4 months. We were told that the 4 payments would be moved to the end of our loan when we setup. Two days ago we were told that there will 4 years added our loan if do the program. We are now waiting for these documents to come so we can this Foolishness in writing.I hope this is just a misunderstanding because there’s no freakin way they’re add 4 years to my loan over 4 months payments that they contacted us to “help” us during covid19.

          • Forbearance Report on October 9, 2020 at 1:29 am

            I don’t think 4 years will be added to your loan. The only way this would happen is if you refinanced and extended the term in order to lower the payment. If your mortgage is federally backed, and covered under the CARES Act, then you should be able to add the 4 payments as a lien to be paid if you sell or refinance in the future. Please let us know if you’re offered anything other than that?

  2. wallace smith on July 10, 2020 at 2:11 pm

    My loan is in forbearance. I understand how this works. But, what about escrow for property taxes and insurance that is also not being collected?

    • Forbearance Report on July 10, 2020 at 3:23 pm

      According to the CARES Act, if your taxes and insurance are included in your mortgage payment now and your servicer pays it when it’s due, they should continue to make those payments. If your payments are not included in your payment now, you would still be responsible for paying your taxes and insurance when they are due. It’s important that you verify this. If your insurance is due (annually) call your insurance company and make sure they were paid. Same with your property taxes. You should be able to determine if they were paid or not.

  3. Travis Baldwin on July 14, 2020 at 5:51 pm

    I have a first time home buyers loan with 0% down, 30 yr., Insurance and taxes in escrow, loan w/PennyMac. It states in the CARES ACT that any federal (Fannie Mae or Freddie mac) loan has the option to add the forbearance period to the end of the loan without refinance or modification. When I called under forbearance to extend my forbearance, they acted like I was filing a false forbearance claim.. you only have to SELF ATTEST to hardship… That is the only qualification.. no documentation, not any proof needed, despite what the loan companies say…anyways, what I am asking is if you all would know if I am a federally backed loan? I believe I am, and that I would qualify, as anyone else would, to add the payments to the end of the loan

    • Forbearance Report on July 14, 2020 at 8:02 pm

      Hi Travis, have you tried the Fannie Mae and Freddie Mac lookup tools?
      Fannie Mae Loan Lookup Tool
      Freddie Mac loan Lookup Tool
      You are not wrong about only needing to self attest to being affected by COVID-19, and you’re not wrong about the COVID-19 payment deferment option.

      If your loan is Fannie Mae or Freddie Mac, payment deferment (put payments on end of loan) is one of the options available. It is likely that will ask if you can pay all skipped payments at once (although you don’t have to), then they will look at paying back the skipped payments over the next 3 to 12 payments, making the monthly payments increase for a period of time until caught up, then finally, you may be offered a payment deferment.

      What I can tell you is that PennyMac does not get a lot of complaints. There are servicers on this site that are dropping the ball in a very big way. Pennymac is not one of them. I hope that means that they are doing a good job of helping consumers exit gracefully from forbearance.

      Hope this helps?

      • Debbie Smith on July 16, 2020 at 1:00 pm

        Our loan is a FHA loan that penny mac services which I am told is federally backed. They are asking for proof of hardship and are almost forcing us into a loan modification or refinance even sent a letter stating they could foreclose. Up until covid not one payment missed, we have now skipped 3 under their relief program. I asked to start payments back up and push the others out to the end of the load and they said it isn’t an option.

        • Forbearance Report on July 16, 2020 at 4:00 pm

          Hi Debbie, I know this doesn’t sound like a great answer, but I would call again and speak to another person at PennyMac. What they are telling you is not consistent with the guidelines offered in the CARES Act, or the guidance that FHA has released since. The “deferment” option that adds your skipped payments to the end of the loan is called an FHA Partial Claim. Ask specifically for that option. Hope this helps?

  4. Madeline Montosa on August 10, 2020 at 2:59 pm

    It is my understanding that if I request the full 180 days on my FHA loan that the lender cannot deny me and only approve 90 days to start. In my case I haven’t been able to move forward because PennyMac will only offer me a shortened term of 90 days.

    • Forbearance Report on August 10, 2020 at 4:12 pm

      The CARES Act states that you must be granted “up to” 180 initially, with the ability to extend and additional 180 days if you are still experiencing financial due to COVID-19 hardship. This is commonly misunderstood and even misstated by congresspeople talking about the CARES Act.

      Here is the actual text from the bill, H.R. 748-210 / Section 4022. Foreclosure Moratorium and Consumer right to Request Forbearance

      (2) DURATION OF FORBEARANCE.—Upon a request by a borrower for forbearance under paragraph (1), such forbearance shall be granted for up to 180 days, and shall be extended for an additional period of up to 180 days at the request of the borrower, provided that, at the borrower’s request, either the initial or extended period of forbearance may be shortened

  5. donna Benjamin on August 24, 2020 at 9:52 pm

    Should we take the va administration disaster streamline modification if we intend to buy another house in 5 months? We could afford to pay the missed payments but it would be tight? Will this option ruin our 750 credit scores?

  6. Martin Shak on September 3, 2020 at 1:50 am

    Hi, I have ended my Forbearance Plan, and I am in the middle of the loan modification process. PennyMac has sent me the approval letter under the VA Disaster Streamline Modification, including the instructions of trial payments. Here is my question: Does this type of loan modification hurt my credit?

    • Forbearance Report on September 3, 2020 at 3:19 am

      Hi Martin, under the CARES Act, your VA loan will not report late payments during the forbearance period. Also, the reinstatement is not supposed to affect your credit as long as the scheduled payments are made on-time and your lender does not report any derogatory remarks about the status of your loan.

      • Martin Shak on September 3, 2020 at 3:29 am

        Thanks for replying. I owned a total of 10K on my mortgage during the Forbearance. I do have an option to borrow this money from my parents and pay the amount I owe, so I don’t have to through the loan modification. I heard that doing the loan modification disqualifies me for refinancing in the future or selling my house. Would you recommend to borrow the money and pay the 10K I owe or stick with the loan modification process?

  7. Tam Kinc on September 17, 2020 at 3:20 pm

    My loan is a VA loan through PennyMac. I recently received the modification loan process, make 3 payments on time at the amount set in the letter. I had questions concerning this letter I received about loan payments may go up or down after the 3 payments. I called and was told it won’t go up hundreds of dollars but more likely a few dollars. My husband is concerned that at the end of the 3 payments this will be a refinance and lots of money tacked on the back of the loan. Can you advise if this will be a refinance and if I should be concerned about the amount of money being tacked at the end of the loan?

    • Forbearance Report on September 17, 2020 at 4:16 pm

      Hi Tam, only PennyMac would be able to tell you the terms of the modification. I would be really surprised if that letter doesn’t or the original modification package doesn’t explain the details of what your loan will look like on the other side of the trial period.

      • Tam Kinc on September 17, 2020 at 7:01 pm

        Thank You. The letter doesn’t and the response from PennyMac was once the 3 trial payments are over and all monies are applied I would know more of what my payment would be.

  8. Sandra Otero on October 21, 2020 at 8:10 pm

    My loan is a VA loan through PennyMac. I’m planning on choosing the streamline modification loan process, they said I will be on a trial period and during that time make 3 payments on time and then I will receive my package with the new modified loan terms/rate. If I’m not happy with what they offer can reject the offer, pay lump sum I owe and keep my current term/rate?

    • Forbearance Report on October 21, 2020 at 9:56 pm

      This is a good question, Sandra. You should always have the ability to pay a lump sum and continue to make your payments under your existing loan terms. What you want to be careful of is if you do not like the terms they offer after the trial period, you might owe even more since I assume the trial payments are less than your standard payment before COVID?

      If you are in a position to pay the skipped payments, that’s probably your least expensive option. Interest rates are so low in today’s market that any payment relief they offer you may come in the way of extending the term of the loan. When you do this, you’re extending the interest payments out years as well.

      I hope this helps?

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