Can the loan servicer be changed during the trial period?

[jjbothell]

I have received and sent back my Make Home Affordable package and a check for the first trial month. Then I received a letter from the bank stating that servicing of my loan has been transfer to another institution. And that I should start sending my normal payments to the new servicer starting at the same time as my trial period.

It is obvious that one department does not know what the other department is doing.
My question is; can they do this? It would seem that I have to complete my trial with the original loan servicer, get the modification in place, and then transfer servicing.

Complicating matters is that the original loan company and servicer also has the second mortgage and has stated that it will not get modified until sometime during the trial period.
I see a whole lot of confusion and trouble coming if they follow through with the transfer.

[Moe Bedard]

Originally Posted by jjbothell

It is obvious that one department does not know what the other department is doing.

This has always been the case and I haven't seen it get any better.

My question is; can they do this? It would seem that I have to complete my trial with the original loan servicer, get the modification in place, and then transfer servicing.

Yes. This is 100% voluntary as well as whatever terms they want to bend.

I see a whole lot of confusion and trouble coming if they follow through with the transfer.

They make money and you are most likely right.