Servicing rights

Servicing rights refer to the contractual agreement where a lender or a third-party company manages a mortgage loan—handling tasks like collecting monthly payments, managing escrow accounts, and addressing borrower inquiries. These rights specify who is responsible for these services and often involve a fee for providing ongoing support. Servicing rights can be sold or transferred independently from the actual loan, meaning a borrower might make payments to one company even if the loan is owned by another. Understanding servicing rights helps clarify who manages the loan and where to address questions or issues.