FAQ

When can I remove private mortgage insurance (PMI) from my loan? | Consumer Financial Protection Bureau

the federal homeowners protection act (hpa) provides rights to eliminate private mortgage insurance (pmi) under certain circumstances. The law generally provides two ways to remove the PMI from your home loan: (1) request cancellation of the PMI or (2) automatic or final termination of the PMI.

request pmi cancellation

Reading: When does mortgage insurance stop

You have the right to request that your servicer cancel PMI when you have reached the date your mortgage principal balance is scheduled to drop to 80 percent of your home’s original value. This date should have been given to you in writing on a PMI disclosure form when you received your mortgage. If you can’t find the disclosure form, contact your administrator.

You can request to cancel pmi sooner if you’ve made additional payments that bring your mortgage principal balance down to 80 percent of your home’s original value. For this purpose, “original value” generally means the lower of the contract sales price or the appraised value of your home at the time you bought it (or, if you’ve refinanced, the appraised value at the time you bought it). in which you refinanced).

There are other important criteria you must meet if you want to cancel the PMI on your loan:

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