Electronic Data Interchange Implementation Guide

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Financial incentives are driving EDI use in both government and industry. EDI was introduced to HUD in the early 1990s, resulting in faster payment of claims and greatly reducing the reporting and paperwork burden shouldered by FHA-approved lenders/servicers. 

Electronic filing of Federal Housing Administration (FHA) single family (SF) mortgage insurance claims, mortgage loan default reporting, and mortgage record changes and terminations became mandatory by December 1997 for all mortgagees. Mortgage insurance premiums for upfront and periodic reporting has not been mandated for EDI. However, HUD is now ready to accept upfront EDI transactions. 

Mortgagees may use the FHA Connection via the Internet to satisfy the EDI mandate for reporting mortgage defaults and mortgage record changes and terminations to HUD. There is no plan currently for SF claims via the Internet. The FHA Connection is also a means of communicating a variety of information to lenders about SF FHA loans, and for mortgagees to report data to HUD. Mortgagees are encouraged to frequently visit the FHA Connection website as new reporting options are constantly being made available. The FHA Connection website at https://entp.hud.gov/clas provides additional information, contact phone numbers and on-line registration. 

The HUD Implementation Guide for Electronic Data Interchange is available as a detailed reference manual for HUD's implementation of the following transaction sets: TS 260, Application for Mortgage Insurance Benefits; TS 264, Mortgage Loan Default Status; TS 266, Mortgage Record Change/Terminations; plus all adjunct transaction sets; and the transaction sets for Upfront Premium Collections, TS 811, 820 and 824. The guide provides an overview of how EDI works, describes VAN communications, Trading Partner technical environment requirements, and implementation procedures. Data maps for main and adjunct transaction sets, communications envelopes, sample transactions, and data format specifications are also included. A brief overview of the Implementation Guide for Electronic Data Interchange can be viewed on screen by going to the table of contents. The entire EDI Implementation Guide is available in PDF format. You can read and print PDF files with Adobe Acrobat Reader, freely available at http://www.hud.gov/assist/acrobat.cfm.

The EDI Implementation Guide underwent a major revision in January 2000 to reflect the necessary changes for Y2K compatible data. We recommend you replace any previous versions. Also, make sure you check regularly for updates.

EDI Implementation Guide as of October 2004

Modifications have been implemented at the HUD EDI gateway which provide trading partners two options for satisfying Y2K requirements. First, mortgagees may continue to use X12 version 003032 through 003050 for each transaction set by modifying the current D6 date designation and implementing mapping changes to comply with the 8-digit dates necessary for Y2K. Second, mortgagees may choose to satisfy Y2K requirements by upgrading to X12 version 004010 which is certified as compliant. This option is preferred since it will also benefit mortgagees in that it includes all the changes and additional codes that have been approved by X12. 

EDI users must notify HUD prior to implementing either of the Y2K modifications. To do this, contact the HUD EDI Help Desk at 1-800-HUD-4EDI (1-800-483-4334) or you can send an e-mail to EDI Help Desk. 

Users of HUD's FHA Connection and Direct Connect (Frame Relay) are advised that no changes are necessary. The FHA Connection website at https://entp.hud.gov/clas provides additional information, contact phone numbers and on-line registration.