The Department of Housing and Urban Development (HUD) is testing a new process where mortgage lenders can send digital copies of certain documents to HUD instead of physical papers. This will involve lenders sending digital versions of promissory notes and subordinate mortgages to HUD within set timelines, but they must keep the original documents and provide them if HUD asks. The demonstration aims to reduce the cost and hassle of sending and storing paper documents and to prevent documents from getting lost. Public comments on this demonstration are invited until February 3, 2025, after which HUD will decide whether to continue the program.
Simple Explanation
The people in charge of making sure money for houses is handled properly are trying a new way of getting important papers. Instead of sending paper copies, like notes and extra promises, they want to get them by computer. But, just in case, the people must keep the real paper ones safe too.