Common Contracts
1 similar null contracts
What is a Mortgage Servicing Right (MSR)?November 15th, 2022
By definition a Mortgage Servicing Right, herein referred to as MSR(s), is a contractual agreement where the right, or rights, to service an existing mortgage are sold by the original lender to another party who, for a fee, performs the various functions required to service mortgages. As a servicer, firms are responsible for collecting borrower payments including Principal and Interest as well as Taxes and Insurance, and then remitting those payments to investors, insurance companies, and, if applicable, taxing authorities. If a borrower is late with their payments, it is the servicers responsibility to do everything they can to collect payments and, if necessary, late fees from the borrower. If a borrower fails to make their payments after a prolonged period of time, usually 120 days or more, and if all efforts fail to bring the borrowers current in their payments, servicers must initiate foreclosure and ultimately, liquidate the delinquent accounts. Servicers are also responsible for
