Many first-time homebuyers don’t realize their loans will likely be sold to another mortgage loan servicing company after closing. In fact, a loan can be sold again and again (and again). Luckily, breaking up doesn’t have to be hard to do: Here’s a quick rundown of what you need to know in the event your mortgage loan is sold.
The company that collects your monthly mortgage payment is known as the servicing company. Sometimes lenders who fund mortgages will keep the loans on their books and function as the mortgage loan servicing company, too. But in many cases, lenders sell off their loans to other companies for servicing.