Oftentimes, once a mortgage loan is closed, the servicing of the loan is sold to a different financial institution. Servicing agents provide account statements, receive the mortgage payments, impose late fees and often pay the property taxes and insurance out of the borrower's escrow fund.

You may have recourse, but it depends on whether you can prove anything. The hardest part about proving that you didn't receive an accurate Good Faith Estimate (GFE) is finding evidence that your lender intentionally withheld information.

There are a few instances when early pay-off is a good investment: if you'll be in the house long-term, if higher interest debts have already been paid off, or if early pay-off will yield a higher return on investment.

Most mortgage lenders don't allow you to actually skip payments. So if you miss a payment, all subsequent payments are considered late or delinquent. Suppose you skip a payment in August. When you make your mortgage payment in September, the mortgage company considers it your August payment, which was never received. Consequently, September's payment is now late. The same thing happens when you make your October payment; it's applied toward September, and now your October payment is considered late. So once you miss a payment, you're a month late every month until that "skipped" amount is paid.

Under Federal law, Private Mortgage Insurance, or PMI, is automatically canceled when your loan balance is 78% of the home.s value. Technically, you don't have to do anything, but we suggest you follow-up with your lender and make sure the PMI has in fact been canceled.

One can hardly listen to a news report today without hearing about a national epidemic of declining property values and adjustable rate mortgages (ARMs) re-setting at alarmingly higher rates. Over 1.26 million Americans went into foreclosure last year, and the number has risen sharply. In the present housing climate, home owners need to be vigilant in protecting themselves against foreclosure on existing mortgages.

One can hardly listen to a news report today without hearing about a national epidemic of declining property values and adjustable rate mortgages (ARMs) re-setting at alarmingly higher rates. Over 1.26 million Americans went into foreclosure last year, and the number has risen sharply. In the present housing climate, home owners need to be vigilant in protecting themselves against foreclosure on existing mortgages.

We believe that most people should lock their rate as soon as possible. Although there are special situations when "floating" (being unlocked) makes sense, it is a risky bet-- generally with more downside than upside.

A rate lock literally locks in your interest rate before you finalize the purchase of your home. The lock, which most mortgage lenders offer as an option, protects you should rates rise before you close on your home. Points are also included in a rate lock.

Unfortunately, mortgage rates can change daily, which makes it difficult to avoid lapsed prices. We can tell you for sure not to depend on rates you read in the newspaper. Newspapers who report mortgage rates on Tuesday morning are reporting Monday.s rates. And by the time the paper hits the stands, the rates have already changed.