loancare newrez

Sav Ter devian

2 min read

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30-12-2024

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Navigating the LoanCare/NewRez Landscape: Understanding Your Mortgage Servicing

LoanCare and NewRez are two names frequently encountered in the mortgage industry, often causing confusion among homeowners. Understanding their relationship and what services they provide is crucial for managing your mortgage effectively. This article clarifies the connection between LoanCare and NewRez and provides guidance on navigating their services.

The Connection: LoanCare is a mortgage servicing company, and NewRez is a large mortgage lender and servicer. In many cases, NewRez originates mortgages, and then LoanCare handles the ongoing servicing of those loans. This means that even though your loan might have originated with NewRez, you may interact primarily with LoanCare for tasks like making payments, requesting escrow analysis, or managing your mortgage account.

What LoanCare Does: As a mortgage servicer, LoanCare handles the day-to-day administration of your mortgage after it's originated. Their services typically include:

• Payment Processing: Making your monthly mortgage payments. This often involves online portals, automated payments, or mailing checks.
• Escrow Management: Managing your property taxes and homeowner's insurance payments. LoanCare will collect these funds from your escrow account and pay them on your behalf.
• Customer Service: Answering your questions regarding your mortgage, payment history, and account details.
• Loan Modification: Assisting with loan modifications or forbearance plans if you experience financial hardship.
• Online Account Access: Providing an online portal to view your account details, statements, and make payments.

What NewRez Does: NewRez is a more comprehensive entity. While they sometimes utilize LoanCare for servicing, NewRez's role extends to:

• Mortgage Origination: They originate and issue new mortgages to borrowers.
• Mortgage Servicing (Directly): In some cases, NewRez services loans directly, without involving a third-party servicer like LoanCare.
• Refinancing: They offer refinancing options for existing homeowners looking to lower their interest rates or change loan terms.
• Other Financial Services: NewRez may offer other financial products beyond mortgages.

How to Tell Who Services Your Loan: The easiest way to determine who services your mortgage is to check your monthly mortgage statement. The statement will clearly indicate the name and contact information of the servicing company. If it's LoanCare, then you'll interact with them for all servicing-related matters. If it's NewRez, then you will manage your mortgage directly through them.

Tips for Interacting with LoanCare or NewRez:

• Keep your contact information updated: Ensure your contact information is current in your account to avoid missed communications.
• Utilize online resources: Both LoanCare and NewRez likely offer online portals for account management. Familiarize yourself with these portals for convenient access to your account information.
• Communicate promptly: If you have questions or concerns, contact the appropriate servicing company immediately.
• Review your statements regularly: Regularly review your monthly statements to ensure accuracy and catch any potential discrepancies.

In conclusion, while LoanCare often handles the servicing of NewRez-originated mortgages, it's crucial to understand the specific entity managing your account. By reviewing your statements and utilizing available online resources, you can effectively navigate the process and manage your mortgage with confidence. If you have any uncertainty, contact the company listed on your statement for clarification.