Choosing a trustworthy loan officer

The process varies by lender. Typically, you can do this through your online mortgage account portal, by phone, or by mailing a check. It is critical to include clear written instructions (e.g., “Apply to principal reduction only”) and to verify the payment was applied correctly on your next statement.

Contact your new servicer immediately if you are incorrectly charged a late fee or see a negative credit report related to the transfer.
Federal law provides protections, and servicers are required to correct errors that occur during a transfer.
Keep records of all your communication in case you need to dispute the issue.

Lenders generally do not charge a separate fee for managing an escrow account. The costs are typically built into the overall servicing of your loan. However, you should review your Loan Estimate and Closing Disclosure documents from when you obtained the mortgage to see if any specific escrow-related fees were charged at closing.

When inflation rises, central banks often raise interest rates to combat it. If you have a fixed-rate mortgage, your rate and payment are locked in and will not increase, even if new mortgage rates soar. You are effectively shielded from the impact of rising interest rates in the broader economy.