Congratulations! You were approved for your mortgage and closed on your new home. But what happens when it’s time to make your monthly mortgage payments?
Most loan servicers will send you a monthly statement that gives you key information about the status of your mortgage, but some might send a coupon book for you to use with your payments instead.
In either case, it’s a good idea to review the information to ensure you’re on track, but also to review the statement for errors, possible fees you weren’t aware of, and more.
What’s Included in Your Mortgage Statement
- Customer service contact information for your mortgage servicer
- The amount due, including interest charges
- The due date
- Your outstanding principal, as well as the cost of paying off your loan early
- Your interest rate
- Fees and charges
- Past payment overview, showing you what you paid last month and the year so far
- Information about any past due payment, late fees, and how much you must pay to bring the account current if you are delinquent on your loan for more than 45 days
It is important to remember that just because you start with one mortgage payment, doesn’t mean it will stay the same amount in the future. Your monthly payment can change for a few reasons:
- If you have an adjustable-rate mortgage (ARM), the interest rate may reset after the initial term.
- You may have a mortgage that is interest-only for the initial term, but then begins to include payments toward principal as well.
- Your escrow account, if you have one, may experience shortfalls for insurance or tax payments, leaving you to pay more.
It is important to check both, so you know why and how your payment is changing and to ensure the changes are correct. It’s possible the change in monthly payment was a mistake on the servicer’s part. If you’re in doubt, be sure to reach out to their customer service center and ask.
If you have a problem with your mortgage and have not gotten a resolution from your lender, you can submit a complaint to the CFPB online or by calling (855) 411-CFPB (2372).
Learn more about your monthly payments with these two resources: Consumer Financial Protection Bureau – Mortgages and Understanding Your Monthly Mortgage Statement – Fannie Mae
