SELLER FINANCE SUBSERVICING
LoanCare’s Seller Finance Subservicing product provides loan subservicing and administrative services to both a seller and a buyer in a real estate transaction that does not involve an institutional investor. LoanCare’s ability to service accounting needs, tax reporting and other additional paperwork allows for both the seller and buyer to benefit from a private real estate sale.
Our Seller Finance Subservicing tasks include the delivery of monthly payment statements, collection of monthly payments, maintaining records of payments and balances, managing escrow funds, delinquency follow-up, managing payoffs and lien release and preparation of IRS-required documents.
In addition, LoanCare’s proprietary seller finance servicing system allows for both flexibility and ease of customization to accommodate program modifications.
LOANCARE CAN BETTER MANAGE YOUR SELLER FINANCE SERVICING FUNCTIONS BY:
- Offering computerized accounting, reporting and documentation
- Storing original documents
- Sending monthly and annual statements to all parties via mail
- Preparing and reporting IRS 1098 and 1099
- Monitoring and notification of late payments
- Providing access to account information online 24/7
- Offering toll free access to our customer service representatives
PAYMENT COLLECTION & PROCESSING
LoanCare will receive and credit all payments made by payor in conformity with the account servicing agreement unless otherwise instructed by the account owner. LoanCare accepts the following methods of payment:
- Via mail
- Automatic withdrawal
- Pay by phone
- Online payment
- Direct deposit
TAX AND INSURANCE IMPOUNDS
Whether you are the owner or payor, it is invaluable to know that taxes and insurance are paid current on your property. LoanCare can set up an impound account for the parties and will collect 1/12th of the amounts necessary to pay items as they come due. For the owner, it takes away the worry of unpaid taxes or uninsured collateral, both of which can be disastrous. For the payor, it allows them to divide the tax bill and the insurance premium into smaller payments over time. Therefore, an impound account is a win-win situation for all involved in the Seller Finance transaction.