What to Expect After Closing – Servicing Released
After your closing, the Closing Agent will send your signed loan documents to the Post Closing Department at Member First Mortgage, LLC (MFM). Your loan file will be reviewed to confirm that everything is returned, signed, initialed and notarized correctly. After the Post Closing review, your loan will soon be set up in a Servicing system, so it will be ready to go for your first mortgage payment. The signed Deed of Trust/Mortgage document(s) are typically filed at the County Recorder’s Office by the Closing Agent shortly after your closing.
Yes, your loan may be sold or transferred to a new Investor or Servicer. Selling your loan to another investor is normal and nothing to be alarmed about. This all occurs behind the scenes and does not change the terms of your mortgage.
Once your loan has been sold, you will receive a Welcome letter/packet from either MFM or the new Servicer, depending on the timing of that transfer.
- If your loan has not been transferred to the new Servicer by the 10th of the month, MFM will email or mail you our Welcome letter/packet (check your email junk/spam folders).
- If your loan has been transferred prior to the 10th of the month, you will receive a Goodbye letter from MFM and a Welcome letter/packet from the new Servicer at least 15 days prior to your first payment. Your new loan number, payment options and other account details will be included in the letter.
- Depending on the timing of the transfer, you may receive a welcome letter from MFM and then subsequently receive a Goodbye letter/Welcome letter before even making your first payment
Your first mortgage payment is typically due on the first day of the month after you’ve owned the home for at least 30 days.
- For example, if you close on your mortgage on April 7th, your first payment would be due on June 1st. This is the typical first payment process, however, there may be some exceptions to the general rule. You can always review your closing documents and refer to your ‘First Payment Letter’ for your first payment due date.
- After the first payment, your mortgage payments will always be due on the 1st of every month.
If your loan has been transferred, please refer to your new Servicer’s Welcome letter for payment information and instructions. If you have not received a notice that your loan has been transferred, please make your first payment to MFM.
- If you send your first payment to MFM, but it should have gone to the new Servicer, we will forward this payment on to the new Servicer.
- MFM accepts payment by check, ACH, phone, or online.
- Check – The amount of the check must be at least the amount of your regular monthly payment. Please write your loan number on the check. MFM provides monthly statements with a coupon attached at the bottom. Mail your check to:
Member First Mortgage, LLC
Detroit, MI 48277-1502
Additional principal payments may be made subject to the requirements of your loan. Please send a separate check with your loan number and “Principal Payment” in memo area to:
Member First Mortgage, LLC
616 44th Street SE
Grand Rapids, MI 49548
- Automatic Monthly Payments (ACH) – Fill out the MFM ACH enrollment form from your Welcome Packet and send to firstname.lastname@example.org. When you sign up for ACH, you will receive a letter of confirmation from MFM indicating the date the payments will begin. Until confirmation is received, you will make manual payments.
- Phone Payments (fees may apply) – Make your payment by speaking with our Member Service team or by using the Automatic Phone Payment System. When you call 1.866.636.1052, have the following information available: Loan Number, ABA/Routing Number, Checking or Savings Account Number, Debit Card, and amount of your payment.
- Online Payments – To enroll, visit www.memberfirstmortgage.com and select “My Account” and then “Register and fill out the information on the screen that appears. Once you have completed the sign-up process, MFM will notify you of enrollment by email and you can then begin using this service. To make a payment: Select “My Account”, login and follow the instructions to make your payment.
If you have an escrow account, your monthly mortgage payment will consist of principal, interest, taxes and insurance (P.I.T.I). Using an escrow account, MFM will pay the taxes and insurance on your behalf each month.
- The amount required for your escrow is constantly changing, as tax bills and insurance premiums change and fluctuate. As your Servicer, MFM will analyze your escrow account annually to make sure we are not collecting too much or too little. We will then notify you of any changes or adjustments that need to be made to your escrow account. Your overall tax and insurance payments may then be adjusted depending on the results of the analysis.
- If you don’t have an escrow account, you will be responsible for paying your own property taxes and insurance.
Your new Servicer will prepare your 1098 tax statements each year. Your 1098 statements will be available online and a hard copy will be mailed to the address on file before the end of January, in accordance with IRS guidelines. If you made any payments to your account during the service with MFM, we will prepare a partial 1098 statement.
Yes! Every mortgage is unique to the borrower(s) so it’s impossible to consolidate everything into one list. However, some additional things to be aware of after closing are:
- Interest Rates: Interest rates rise and fall all the time. If they drop down enough, you may be able to refinance your mortgage. Contact your loan officer to see if refinancing is right for you.
- Equity: Keep an eye on equity, especially if you have a Conventional loan and you’re paying private mortgage insurance (PMI). If you have built up at least 20% in equity in your home and have a Conventional loan, you can inquire about eliminating PMI.
- Influx of Mail: Prepare for a lot of mail! Once you are officially recorded as the property owner, your loan becomes part of public record. As a result, your mailbox will start filling up with offers from other Mortgage Companies, other home products or even scams. Your information was not sold; however, the terms and conditions of the loan are now included in public records. Be vigilant! Reach out to your Servicer if you have questions about the validity of a document.
If you have any additional questions, please contact MFM by email at email@example.com or by phone at 866-636-1052 during normal business hours 8:30am to 6:30pm EST, Monday through Friday.
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