Introduction to Mortgage Servicing Training - March 2024

Internal Use Only

Sub-Servicer

• Typically, non-banks • Perform functions for Master Servicer as a third-party vendor • Receive fees on a per loan basis • Master Servicer retains risks & is responsible for funding advances for taxes & insurance

17

Internal Use Only

Interim Servicing • Occurs between when a lender closes a loan & when it is sold into secondary market • Typical holding periods are up to 90 days • Lender may administer loan as needed during this period • Most states exempt interim servicing from licensing

18