How do I get Payoff Information?

Mortgage Payoff information can be obtained from your lender by requesting it over the phone,through fax or by mail.

If you are refinancing your mortgage broker should be ordering payoff for you, this is part of the service you are paying for.

When Payoff information is ordered, beware that sometimes your original lender's loan retention department will be calling you to offer you another loan.

Also note, your payoff quote is typically higher than the remaining balance you see on your monthly statement.

The reason the payoff quote is higher than the remaining balance on your monthly statement is because interest is still being accrued on a daily basis. The payoff is set several days in the future taking into account those days as well as all the days since your last payment. It could also include any of the prepayment penalties or other fees that were initially disclosed when you signed your mortgage papers.

Expect your payoff to be higher than your principal balance. Your payoff will have an early payoff fee associated, and in some cases, a pre-payment penalty.

» DISCLAIMER: The information contained in this article on 'How do I get Payoff Information?' is a collection of contributions by licensed mortgage professionals and is not the opinion of Broker Outpost LLC. Always consult a licensed professional before applying for a mortgage.