FAQ
Should I call my Mortgage Lender or Loan Servicer? What's the difference?
If you have missed a payment or are concerned about foreclosure, you should always call your loan servicer. You can find the loan servicer's phone number on your loan statement or payment book. Here is the difference:
- Mortgage Lender - The lender providing funds for a mortgage. Lenders also manage the credit and financial information review, the property and the loan application.
- Loan Servicer - Contracted by mortgage lenders and secondary market loan holders to manage the day to day payment collection and payment processing of escrowed items, such as real estate taxes and homeowners insurance. The servicer is responsible for collecting, monitoring and reporting loan payments. Mortgage lenders often release servicing to another organization (loan servicer) which means that a customer won't necessarily send their mortgage payments to the company that made or originated the loan.
When should I call my loan servicer?
Now. Contact your loan servicer as soon as you know you will have difficulty meeting your mortgage payments. You don’t have to wait until your interest rate re-sets or you are already behind in your payments.
What if I don’t want to call my loan servicer?
Call one of the Housing Counselors from the list on this website. They can guide you through possible options.
When do I actually get foreclosed on?
When the loan is 72 days delinquent and there is no contact with the borrower, the loan is recommended for foreclosure and referred to an attorney to commence foreclosure.
In Virginia, on the day of the foreclosure sale, loans are approximately 117 days (four months) delinquent or 147 days, if the loan is falls under the "Subprime" definition.
What is a repayment plan?
A plan that allows you to become current and catch up on missed payments that are appropriate to your circumstances.
What should I do if I get behind in my mortgage payments?
Call your loan servicer. You'll find a list of loan servicers with the phone number to their mortgage servicing departments on this website.
I saw a sign offering help on a telephone pole in my neighborhood. Should I call the number?
Beware of scams! Solutions that sound too simple or too good to be true usually are. Unfortunately, there are people who may try to take advantage of your financial difficulty. To learn more about avoiding being scammed, check out the foreclosure scams information on this website.
Source: Hope Now
