You buy a house, and not-so-long after you get a notice that your mortgage is being sold. What now?
Lenders sell your mortgage to other institutions when they want to free up some cash. When this happens, you should receive a notification of the impending transfer from both institutions (new and old). This is important to ensure it is not a scam.
Read into the notifications to see who will be servicing your loan going forward. If your original lender is servicing it, then nothing changes (original lender will take care of interfacing with the new institution). If the new institution will be servicing it, then the only thing that changes is who you send the money to; you will have to set up an account with them to begin making payments. In both cases, the debt amount and interest rate both remain unchanged.
Make Payments to Correct Servicer
There is a 60-day window in which you have to begin making payments to the new institution (RESPA). If your original lender is still servicing it, then you don’t need to worry about this. If the new institution is servicing the loan, however, then ensure that payments are going to the right place before this window expires.
