A lender or servicer cannot change the terms, balance, or interest rate of the loan from those signed and confirmed at closing. The payment amount should not change, either. And it should have no impact on your credit score.
1. A borrower’s current servicer must notify them no less than 15 days before the effective date of the transfer.
2. Your mortgage is a commodity and so they might be sold to receive short term profits based on the rate you’re paying on the loan. Simply, selling your loan can improve the lenders liquidity.
3. Lenders often sell their mortgages to replace the funds used to make the loan. This allows them to make additional loans to home buyers.
4. In truth, a mortgage can be sold multiple times without changing the servicer and you might never know the loan was sold.
5. If you get a notice from a new servicer, you should also receive notification from your current servicer. If you don’t, assume something is wrong and contact your current servicer to avoid fraud.