- Jurisdiction
- Pennsylvania
The bank that issued my mortgage has outsourced loan processing to another company. I have been paying the monthly payment to this new company for about a year now, after paying the original bank for over five years. I have been using my bank's bill-pay service. The mortgage had no prepayment penalty.
Can the loan processor impose limits on the amount that I wish to pay towards principal if I send them a personal check in excess of the required monthly payment, assuming my payment is not more than the amount outstanding?
I mailed them via USPS a personal check for an amount in excess of $10,000, using the coupon on their monthly loan statement, specifying that the excess payment should be applied against principal. There's a slot on the coupon labeled "Additional Principal". But customer service at the loan processing company told me, via web chat, that their rules prohibit personal checks in excess of $10,000, and that this limit was a "standard banking regulation". My choices are to wire them the money or send them a certified check.
I would prefer to use a personal check and have a paper record of the transaction.
Can the loan processor impose limits on the amount that I wish to pay towards principal if I send them a personal check in excess of the required monthly payment, assuming my payment is not more than the amount outstanding?
I mailed them via USPS a personal check for an amount in excess of $10,000, using the coupon on their monthly loan statement, specifying that the excess payment should be applied against principal. There's a slot on the coupon labeled "Additional Principal". But customer service at the loan processing company told me, via web chat, that their rules prohibit personal checks in excess of $10,000, and that this limit was a "standard banking regulation". My choices are to wire them the money or send them a certified check.
I would prefer to use a personal check and have a paper record of the transaction.