Resold mortgages

The nature of the mortgage business today, few lender can promise they will never transfer your loan. It is silly to think otherwise, and generally should be of no concern to you what lender collects your payments. You should never make a lender decision based on who may or may not service your loan in the future. In the distant past, it was nice to have a local lender close by whom you could walk over a payment, but in today's internet age, it really makes no difference. Most people will never ever contact or speak to their mortgage lender during the life of the loan, so why be concerned about it? Furthermore, most all "horror" stories about servicing is related to consumers complete misunderstanding on how escrow accounts for taxes and insurance work, or those people in foreclosure - most of which is not really a servicing issue, rather a consumer desperately trying to save a home when they haven't made payments.

In today's world, almost without exception, all mortage lenders sell the underlying paper that your note represents. They may or may not also sell the servicing rights. You should always pick your mortgage lender based on the reputation and pricing of the originating side of the transaction. Who you mail your payment to should not be a deciding factor. As it turns out, generally the lenders who do service loans (the big banks) are not as nimble on their feet when it comes to originating. My company has one of the best reputations in our market, yet we do not service any of the loans we originate. You should be able to mail your payment or set it up for automatic payment regardless who the servicer is.