Finance

An Oregon borrower's loan is being 'serviced' by a company different from the original lender. 'Loan servicing' refers to:

AProcessing the original mortgage application
BCollecting monthly payments, managing escrow accounts, and handling borrower communications✓ Correct
CAppraising the property for refinancing purposes
DProviding the title insurance for the loan

Explanation

Loan servicing is the administrative management of a mortgage loan: collecting monthly payments, managing escrow accounts for taxes and insurance, handling payment problems, processing payoffs, and managing delinquencies. Lenders often sell servicing rights to specialized servicers.

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