The announcement last week by Freddie Mac, Fannie Mae and other agencies that they will provide mortgage loan forbearance arrangements for up to 6 months, subject to an extension of an additional 6 months, directly impacts mortgage servicers in two significant respects. First, mortgage servicers have to quickly pivot from a stable mortgage servicing environment to a servicing environment requiring a huge influx of financial resources and people necessary to service a potentially massive number of borrower's requiring forbearance, loss mitigation and other disaster relief measures. Second, although there is a forbearance arrangement in place with a borrower, the mortgage servicer is still responsible for advancing monthly principal and interest payments to investors, and advancing amounts to pay for property taxes and insurance premiums when they remain unpaid by the borrower.