Servicer
The company that collects monthly payments, manages the escrow account, and handles borrower service on a loan after closing.
The originating lender often sells loans shortly after closing, but the loan can be sold and the servicer can change independently. Your servicer is wherever you send your payment, it may or may not be the same company that originated your loan.
Servicers handle escrow analyses, send year-end tax documents, process payoff requests, and field calls about payment changes, escrow shortages, or hardship. Federal regulations control how servicers must handle these interactions, with detailed rules around timely application of payments and required notices.
When your loan is sold, you'll receive notice in advance from both the old and new servicer. You generally have a 60-day grace period after a servicer change to make payments to the old servicer without penalty if you miss the notice.
Related terms
Other terms you'll see alongside Servicer
A temporary pause or reduction of mortgage payments granted by the servicer when a borrower faces hardship.
A permanent change to the terms of an existing mortgage to help a borrower facing long-term hardship stay in the home.
A lender-managed account that holds funds for property taxes and homeowner's insurance, paid in monthly with your mortgage.
Any payment made toward the loan balance beyond the scheduled monthly principal amount.
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