Posted on: 02nd Sep, 2010 01:59 pm
i am looking to refinance and the company i am dealing with tells me that if i change mortgage companies that
by law the previous lender has to refund all escrow funds paid since beginning of loan.
i this true? i don't understand why they would have to, by law, pay me back all escrow funds since i have lived here. (5 years)
by law the previous lender has to refund all escrow funds paid since beginning of loan.
i this true? i don't understand why they would have to, by law, pay me back all escrow funds since i have lived here. (5 years)
Hi hwayneallen,
The money in the escrow account will go towards paying your property taxes and home insurance premiums. If the money in your account has been used for the same, then the lender won't pay it back to you. However, if there is an excess amount, then it can be refunded to you.
Thanks
The money in the escrow account will go towards paying your property taxes and home insurance premiums. If the money in your account has been used for the same, then the lender won't pay it back to you. However, if there is an excess amount, then it can be refunded to you.
Thanks