Mortgage transferred - problem!

mdaudioguy

Ok, so doing a little personal financial management work this afternoon and noticed my checking account balance was lower than expected (never a good thing!). Figured out that the mortgage got paid twice this month! :eek: Got a letter last month from my mortgage company saying that the servicing of my mortgage had been transferred. Pretty normal - been there, done that. The letter stated that automatic payments would be discontinued and that my April 1 payment should be made to the new company. So, I sent the new company a check...

My checking account balance shows a withdrawal from the old mortgage company on April 4??? :evil:

Ok, I'm not posting here looking for definitive answers. I tried calling both companies, but it's too late on a Saturday to get a human. I'll be talking with someone first thing Monday morning... Anybody ever dealt with this before?

Polkersince85

Not good. There is a scam going on using just this method. Some that get caught mail their payment to the new company and go delinquent on the real mortgage. Better double check Monday with your real company.

mdaudioguy

Polkersince85 wrote: »

Not good. There is a scam going on using just this method. Some that get caught mail their payment to the new company and go delinquent on the real mortgage. Better double check Monday with your real company.

I thought that, too, but if that's the case, they're real good.... automated phone system and website both indicate that my loan has been transferred. That made me feel a little better!

rromeo923

Could be your bank.

madmax

I'm sure one of them will refund.

PreCd

Can't help much but to say don't give anyone access to your accounts. I know I know, it is a common practice to have drafts nowadays because of our hectic lifestyles. Hell hire a Geisha girl to pay the bills on paper I don't know. I just don't give access to my accounts.

cstmar01

Yeah it probably was an oversight by the bank. Sometimes even if the data batch gets pulled for any ach payments the system can still pull. So if a Guy in it didn't get them memo quick enough to pull the run then it could have still pulled one more time before the loan was transferred to the new owner. It happens but sucks when it does. The old bank should issue you a refund. Otherwise they will just not process the transfer meaning if the item is still pending on the account it will just fall off because they wont go thru with the transaction.

It would be similar to when a hotel puts a hold against a credit card but when its a checking account it works a bit different.

mdaudioguy

So... called Flagstar (old company) this morning and the CS rep claims a "system glitch" caused the payment to be taken... whatever. He assured me that the funds were already transferred to the new company. I was able to register on their (new company's) website tonight and confirmed that they received both payments. Next payment is due June 1, so I'm essentially a month ahead. Lucky for me that my checking balance was high enough to cover two payments this month - it's not always that way...

cincycat13

You should contact the new company or the old company and get a payback. Mortgages have picky nuances regarding payments. I don't think they would start forclosure, but I bet they are expecting a cash flow payment due in May. And they may not apply the extra money as you would expect...they may just toss it in escrow.

Just read your post that shows next payment due June 1 so you are probably good to go...but you may want to check at the end of this month.

Polkersince85

+1^^
Some banks may apply the extra towards the interest on the loan if it was not allocated to principal. Talk to a real person with the new company.

coolsax

agree with poster's above. I'm in the industry.. and one Flagstar is not really known for their competence imo, and most often a 2nd payment is applied to principal so i would call the new company to make sure you are a month ahead.

steveinaz

It happens, call them and get the scoop, they will get you refunded.

sucks2beme

Better check your escrow balance. Likely they screwed that up royally.
Also make sure the local tax authorities know where to send the bill.