If my mortgage company sold my FHA fixed 30-year loan to Bank of America, can this hurt me in any way?

Deal Score0

I just bought my first house. I found my mortgage company, Westar, online through Lendingtree.com. I was pretty happy with them. My first mortgage payment was due 1/1/10, but just to be on the safe side, I set up online bill pay through Bank of America to go out last week, and it cleared my checking account. When I logged into my Bank of America online account today, there was my mortgage showing up with my Bank of America accounts like checking, saving, and credit cards. My statement was on there and it didn’t show the payment I had made to Westar. I chatted with a representative, who said yes, the check cleared, but Bank of America is my servicer, not Westar. I called Westar and they confirmed that they sold my loan to Bank of America. This is the first I heard of it. Westar says they sent me a transfer letter, but I never received it. My rate seems to be the same based on what it says on the Bank of America web site, but I am blocked from accessing my loan documents while they do “research.” I am wondering if there’s anything I need to look out for. I have heard horror stories of people’s loans being sold, but usually those are ARM, not FHA 30 year fixed. Thanks!
David Z: I did not receive a letter from Westar or Bank of America. That’s the problem. I did not know about this until I logged into my Bank of America account this morning. Not the best way to find out.

6 Comments
  1. Reply
    wizjp
    April 30, 2011 at 12:38 am

    Happens al the time. YOu’re fine. part of a financial transaction between banks; your rate and term are set, even if you are sending your payment to a different place

  2. Reply
    sassy25
    April 30, 2011 at 12:43 am

    This is quite common and has no effect on you. My mortgage was sold 6 times in 15 yrs.

  3. Reply
    Othniel
    April 30, 2011 at 1:32 am

    Your loan is a commodity that is sold like anything else of value. There should be no substantive changes in your mortgage agreement. There may be minor changes that have to do with administration and the way that Bank of America handles these accounts. Keep on top of things to be sure that you are credited for that first payment.

    This is very common and normal.

  4. Reply
    David Z
    April 30, 2011 at 2:06 am

    99.9% of loans are sold. This is very common.

    you received a letter indicating this. It gives you the date at which payments should be sent to BOA. Prior to this date payments should go to Westar. They will get it figured out.

  5. Reply
    Realtoratheart
    April 30, 2011 at 3:00 am

    No, there should be no issues. It’s done all the time. Each lender sells packages of loans to the secondary market to gain cash to lend to others.

  6. Reply
    Parker
    April 30, 2011 at 3:51 am

    http://loan-seeker.info/mortgage-loans/ has mortgage requirements, good lenders and mortgage rates, how to get approved for a mortgage, and all other laws and information.

    Leave a reply

    Register New Account
    Reset Password