![](media/image1.png){width="0.9583333333333334in"
height="0.9166666666666666in"}

**U. S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT**

WASHINGTON, D. C. 20410-8000

November 9,1990

OFFICE OF THE ASSISTANT SECRETARY FOR

HOUSING-FEDERAL HOUSING COMMISSIONER

**MORTGAGEE LETTER 90-39**

TO: ALL APPROVED MORTGAGEES

**SUBJECT:** Disclosure and Verification of Social Security Numbers

(SSNs) for the Section 235 Program

Section 165 of the Housing and Community Development Act of

1987 (Section 165(a), P.L. 100-242), authorizes HUD to require

certain individuals, and members of their households six years of

age and older, to disclose and verify their SSN. The Final Rule

on Disclosure and Verification of the SSN with respect to the

Section 235 Program became effective March 30, 1990 (Published in

the Federal Register at 55 FR 11904). The requirement will

enable HUD to use SSNs to help decrease the incidence of fraud,

waste and abuse in the Section 235 program. The disclosure and

verification of the SSN is an explicit condition of continued

eligibility for Section 235 assistance. Therefore, these

requirements must be met whenever a Recertification of Family

Income and Composition is processed.

In an effort to fully apprise homeowners of the new

requirement, and the importance of disclosing and verifying the

SSN, lenders must advise homeowners in writing of the

requirement. This may be accomplished at the same time the Form

HUD-93101 (Recertification of Family Income and Composition) is

sent to the homeowner.

I. Disclosure and Verification of SSNs

A. All homeowners (and members of their households six

years of age and older) are required to disclose and

verify complete and accurate SSNs. Verification of the

SSN is a one-time requirement. For example, if the

homeowner provides the lender with documentation to

verify the SSN at the time of an annual recertification

(October 1990), it is not necessary to provide the

documentation to verify the SSN for any subsequent

recertifications. However, disclosure of the SSN must

be provided at the time of each recertification.

Lenders must advise homeowners of the one-time

verification requirement in writing.

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

2

II\. Documentation Requirements

A. Documentation is required for each SSN disclosed. To

document the SSN, all individuals should furnish a copy

of a valid Social Security Card (SSC) issued by the

Social Security Administration of the Department of

Health and Human Services. (The SSN has nine digits

separated by hyphens as follows: 000-00-0000.) See

Attachment 1.

B. In those cases where the individual is unable to

provide a copy of a valid SSC, lenders may accept

copies of any two of the following documents which

would contain the SSN and the individual\'s identity:

1\. A drivers license (See Attachment 2).

2\. An identification card issued by a Federal, state

or local agency.

3\. An identification card issued by an employer or

trade union.

4\. Earnings statements or payroll stubs.

5\. Bank statements or personal checks.

6\. Internal Revenue Service (IRS) Form 1099.

7\. Unemployment benefit letter.

8\. Retirement benefit letter.

9\. Life insurance policies.

10\. Court records: such as marriage and divorce

judgments or bankruptcy records.

11\. Other documents that the lender determines

adequate evidence of a valid SSN.

C. Individuals who have applied for legalization under

the Immigration Reform and Control Act of 1986 (IRCA)

are an exception to the documentation requirements

stated above. These individuals have a SSN to disclose

but will not have the copy of the SSC as documentation.

Acceptable documentation from those individuals is a

letter from the Immigration and Naturalization Service

(INS) assigning them the SSN.

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

3

NOTE: IRCA applicants generally applied for a SSC

at the time they applied for amnesty. The

Social Security Administration assigned these

individuals a SSN and issued a SSC. However,

this card was forwarded to INS and was placed in

the applicant\'s file. INS sends a letter to

IRCA applicants informing them that a SSN has

been assigned and they may use it until they are

granted temporary lawful resident status.

D. Unacceptable Documentation

Lenders may not accept documents that:

1\. Are produced or completed by individuals, such as

business cards, self completed wallet

identification cards, or other store purchased cards.

(People often purchase a plastic or metal SSC from

companies or mail order firms.)

2\. Have little or no importance, such as club

membership or library cards.

NOTE: Lenders have the discretion to include

similar documents in this category.

E. Invalid or False Documents

A lender may reject documents that are invalid or

false. To be considered invalid or false, the

document, must fall under one of the following

categories:

1\. Invalid Social Security Numbers - Some individuals

use invalid numbers taken from sample cards put in

new wallets or from similar advertising. These

\"pocketbook\" numbers are invalid and are listed in

Attachment 3.

2\. False Documents - False identification documents

can be either counterfeit, altered, or impostors:

a\. Counterfeit - A forgery of a genuine document

or a copy of a document which may appear

authentic but is not legally issued.

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

4

b\. Altered - A genuine document that has had some

identification changed to match the bearer.

Most often the name, photograph, address or age

and physical description are changed on altered

documents.

c\. Imposter - A genuine document obtained under

false pretenses, or a blank genuine document

stolen from the issuing agency.

F. Procedures for Rejecting SSNs or Documentation

When a lender suspects that it has been given an

invalid or false document to evidence the SSN, it

should notify the homeowner and require an explanation

or additional proof of the SSN. If the additional

documentation is questionable, the lender may require

the SSC be provided, or a duplicate card obtained if

the original is not available. If the additional

documentation does not satisfy the lender that it is

valid or genuine, the following actions must be taken:

1\. The assistance payments contract must be suspended

effective the 1st day of the first month after

receipt of the additional documentation.

2\. The assistance payments contract cannot be

reinstated until the validity of the SSN can be

verified. The lender must advise the homeowner in

writing of the action.

3\. If the validity of the SSN is verified, the

assistance payments contract is to be reinstated

effective the 1st day of the month following

receipt of the documentation.

Certifications

A. If individuals disclose their SSN, but are unable to

meet the verification requirement, a written

certification must be executed by the individual to

this effect. The certification should state the

individual\'s name, SSN, and that he/she is unable to

submit the documentation. The certification must be

signed, and dated by each individual who does not have

the documentation. If the individual is under 18 years

of age, the certification must be executed by his/her

parent or guardian.

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

5

B. The individual then has 60 days from the date of

certification to obtain necessary documentation to

verify the SSN disclosed. If an individual is at least

62 years of age, the lender may at its discretion,

extend the period up to an additional 60 days (or 120

days after certification).

C . The lender may refer the homeowner to the local Social

Security Office so that he/she may complete and submit

Form SS-5,\"Application for Social Security Card,\" to

request a duplicate Social Security Card.

D. If any individual has not been assigned a SSN, a

certification executed by that individual is required.

The certification should state the individual\'s name,

and that he/she has not been assigned a SSN. The

individual should then date and sign the certification.

If the individual is under 18 years of age, the

certification must be executed by his/her parent or

guardian. This certification is required annually. No

further action is needed. A lender cannot require an

individual to apply for a SSN.

IV\. Criminal Violations

A. Since the SSN was considered an administrative tool for

many years, it was not considered necessary to have a

penalty provision covering the fraudulent application

for or use of a SSN. However, as time passed and the

SSN came into broader use, the need to protect it

became more apparent. Penalty provisions were added to

the Social Security Act and are contained in 42 U.S.C.

408(f), (g) or (h). Violations of these statutes

include:

1\. Providing false information to obtain a SSN.

2\. Using a SSN based on false information to get a

federally financed benefit.

3\. Using someone else\'s SSN.

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

6

4\. Misusing a SSN for any reason.

5\. Making, possessing, buying, or selling counterfeit

Social Security cards.

If documentation obtained indicates that the homeowner

knowingly intended to deceive the lender, referral of the

information should be forwarded to the Office of Inspector

General for the Department of Health and Human Services DHHS), or

to local prosecutors as a case of false statements. The Office

of Inspector General (DHHS) may be contacted by toll free

hotline: 1-800-368-5779 or by contacting a Regional Inspector

General for investigation as follows:

Regions States Serviced Telephone No.

I. Boston MA, VT, NH, ME, RI, CT (617) 565-2660

II\. New York NY, NJ, PR, VI (212) 264-1691

III\. Philadelphia PA, MD, DE, WV, VA, DC (215) 596-6796

IV\. Atlanta KY, GA, NC, SC, FL, TN, AL MS (404) 331-2131

V. Chicago IL, MN, WI, MI, IN, OH (312) 353-2740

VI\. Dallas TX, NM, OK, AZ, LA (214) 767-8406

VII\. Kansas City MO, IA, NB, KS

VIII\. Denver CO, UT, WY, MT, ND, SD (303) 844-5621

IX\. San Francisco CA, NV, AZ, HI

X. Seattle WA, OR, ID, AK (415) 556-8880

Questions pertaining to this Mortgagee Letter should be

directed to the Single Family Loan Management Branch of the local

HUD Office.

Sincerely yours,

Arthur J. Hill

Acting Assistant Secretary for

Housing-Federal Housing Commissioner

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

ATTACHMENT 1

MANUAL CHECKS of SOCIAL SECURITY NUMBERS

Fraud perpetrators may not be aware that some social

security number combinations are not authorized and may randomly

select a number that was never issued.

The List below shows the first digits of valid social

security numbers that were issued to each state and territory.

Some states or territories have only one three-digit number.

Most have more than one number, usually one or more series of

numbers in a given range. Some three-digit numbers may be

assigned to more than one state or territory.

Initial digits in the 700 to 729 series were issued by the

Railroad Retirement Agency years ago. Social security numbers in

this range probably belong to older workers.

As of December 1988, the three-digit numbers from 650 to 699

and 730 to 999 were not yet assigned to any state or territory.

The Social Security Administration assigns numbers according

to the location at which a person applies for his or her card.

When the first digits of a social security number do not match

the residence history of an individual, the number may be

invalid. Additional documentation is required including the

actual social security card. Lenders should ask the individual

where he or she applied for the card. If the location is

inconsistent with the listing below, explain to the individual

that the assistance must be suspended and cannot be reinstated

until the validity of the social security number can be verified.

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

ATTACHMENT 1

(cont.)

Valid Social Security Numbers - Initial Three Digits

001-003 New Hampshire 501-502 North Dakota

004-007 Maine 503-504 South Dakota

008-009 Vermont 505-508 Nebraska

010-034 Massachusetts 509-515 Kansas

035-039 Rhode Island 516-517 Montana

040-049 Connecticut 518-519 Idaho

050-134 New York 520 Wyoming

135-158 New Jersey 521-524 Colorado

159-211 Pennsylvania 525 New Mexico

212-220 Maryland 526-527 Arizona

221-222 Delaware 528-529 Utah

223-231 Virginia 530 Nevada

232-236 West Virginia 531-539 Washington

232 North Carolina 540-544 Oregon

237-246 North Carolina 545-573 California

247-251 South Carolina 574 Alaska

252-260 Georgia 575-576 Hawaii

261-267 Florida 577-579 Washington, DC

268-302 Ohio 580 Virgin Islands

303-317 Indiana 580-584 Puerto Rico

318-361 Illinois 535- New Mexico

362-386 Michigan 586 Guam

387-399 Wisconsin 586 American Samoa

400-407 Kentucky 586 Philippine Island

408-415 Tennessee 587-588 Mississippi

416-424 Alabama 589-595 Florida

425-428 Mississippi 596-599 Puerto Rico

429-432 Arkansas 600-601 Arizona

433-439 Louisiana 602-626 California

440-448 Oklahoma 627-645 Texas

449-467 Texas 646-647 Utah

468-477 Minnesota 648-649 New Mexico

478-485 Iowa 700-729 Railroad

486-500 Missouri Retirement

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

1 Number 232, with middle digits 30, has been allocated to North

Carolina from West Virginia

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

ATTACHMENT 2

STATES USE OF SOCIAL SECURITY NUMBERS

FOR DRIVER\'S LICENSES

Of the 16 jurisdictions that require the Social Security

number to be shown, only 5 use it as the driver license number.

In 11 other States, the submittal of the Social Security number

is voluntary, but if it is submitted it is used as the driver

license number in 4 States. A photograph is used on the driver

license in all States except New Jersey, where it is required for

those under 21 and optional for others, and Vermont, where the

photo is optional.

DRIVER

IDs

SOCIAL SECURITY NON-DRIVER

NUMBER IDs

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

Alabama x x

Alaska Optional x

Arizona Optional

Arkansas

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

California

Colorado Optional x

Connecticut

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

Delaware

Dist. of Col. 1/ x 3/

Florida - x

Georgia 2/ x

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

Hawaii 1/ x x

Idaho 2/ x

Illinois Optional Optional

Indiana x x

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

Iowa 2/ 4/

Kansas

Kentucky x x

Louisiana x optional

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

Maine

Maryland

Massachusetts Optional

Michigan

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

Minnesota

Mississippi 1/ x x

Missouri x x

Montana 2/ optional

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

Nebraska

Nevada 1/ x x

New Hampshire Optional x

New Jersey

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

ATTACHMENT 2

(cont.)

New Mexico x x

New York

North Carolina

North Dakota x x

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

Ohio x Optional

Oklahoma

Oregon

Pennsylvania

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

Rhode Island x

South Carolina

South Dakota x

Tennessee

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

Texas

Utah Optional x

Vermont

Virginia 1/ x Optional

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

Washington

West Virginia x x

Wisconsin

Wyoming x x

Puerto Rico None Issued

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

1 The Social Security number is the license or card number.

2 Not mandatory. When supplied, the Social Security number

becomes the license number in Georgia, Idaho, Iowa, and

Montana.

3 Senior Citizens only.

If given, the SSN is the card number.

Source: U. S. Department of Transportation Federal Highway

Administration August 1988 Driver License

Administration Requirements and Fees.

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

ATTACHMENT 3

INVALID SOCIAL SECURITY NUMBERS

1\) \"Pocketbook Numbers\".

SSN 078-05-1120 was the first of many numbers now referred

to as \"pocketbook\" numbers. It first appeared on a sample

Social Security Card contained in wallets sold nationwide

since 1938. Since then, it has been reported thousands of

times on Wage Reporting System matches and taxpayer returns.

People often thought that the number on the card was theirs

and used it as they would a government-issued number. There

are now over twenty (20) different \"pocketbook\" SSNs, each

used by some organizations displaying an actual number in

their advertising. The following are the most common

\"pocketbook\" SSNs:

022-28-1852 141-18-6941 212-09-7694

042-10-3580 165-16-7999 219-09-9998

062-36-0794 165-18-7999 306-30-2348

078-05-1120 165-20-7999 308-12-5070

095-07-3645 165-22-7999 468-28-8779

128-03-6045 165-24-7999 549-24-1889

135-01-6629 189-09-2294 987-65-4320