Introduction to Mortgage Servicing Examinations Training - March 2023

If the funds received for payoff are not sufficient to satisfy the full indebtedness of the loan, the lender, at its option (and with the borrower's consent if required by applicable law), may take the shortage from the escrow/impound account (if applicable). If the lender elects not to net the escrow/impound account for the shortage, or nets the escrow/impound account for the shortage and the funds are still not sufficient to satisfy the full indebtedness, the payoff funds will be returned. This delay will cost you (the borrower) additional interest, as interest continues to accrue on the indebtedness until the total amount required for payoff is received. Unless your escrow balance is being credited to your payoff balance at the lender's option (and with the borrower's consent if required by applicable law), scheduled tax and insurance disbursements will continue to be made from the escrow/impound account until the date Guaranteed Rate, Inc. receives payoff funds. Any escrow balance or overpayment will be mailed to the borrowers within fifteen (15) business days after the receipt and processing of the funds required to pay the loan in full. If your (the borrower(s)) monthly payments are automatically deducted from a checking or savings account, this automatic drafting will be discontinued at the time the payoff funds are processed to pay your loan in full. However, because of processing time frames for the automatic drafting of monthly payments, an additional payment(s) may be deducted after the date of receipt of the payoff funds. While any such payment(s) deducted after payoff will be refunded, to avoid the possibility of additional automatic drafting occurring after payoff, a written cancellation request must be received by our Automatic Drafting Department thirty (30) days prior to the payoff date . Provide any changes to the borrower(s) mailing address where the executed release/reconveyance documents should be sent. XQ611/@@@