Frequently Asked Questions
What is the Mortgagee Clause?
PMAC Lending Services ISAOA
15325 Fairfield Ranch Road Suite 200
Chino Hills, CA 91709
When can I expect to receive my escrow funds after loan payoff?
Escrow funds on deposit at the time of payoff will be refunded to you within 30 days of the date of payoff. If you still own the property, you will be responsible for your real estate taxes and dwelling or flood premiums.
How do I obtain a payoff statement?
If you need a payoff statement please call 1(866) 433-6886. Requests can also be made in writing, by facsimile or via our website www.pmacms.com. Please reference your monthly billing statement for additional information.
Verbal payoff figures are not available. Payoff statement requests are processed upon receipt. Please allow sufficient mail time.
What is the process for handling the check for my loss draft claim?
The process may vary depending on the loss. You can also call PMAC Lending Services at Hot Line 1(866) 433-6886 for further instruction.
Is flood insurance required?
Federal law mandates that we perform a flood search on your property at the time of closing and that we monitor flood map changes for the life of the loan. If your insurable improvement is determined to be located in a Special Flood Hazard Area or Zone A as determined by the Federal Emergency Management Association (FEMA), we require a flood policy and will maintain an escrow account for the payment of premiums.
What is the minimum allowable insurance coverage?
The policy coverage amount must be sufficient to cover the loan balance.
What if I don't have an escrow account for real estate taxes?
You are responsible for payment of your real estate taxes. PMAC Lending Services will contact your taxing authority to confirm real estate taxes are paid. If real estate taxes are delinquent, an escrow account will be established to pay the delinquent real estate tax and your monthly payment will be adjusted to cover the delinquent and future real estate tax payments.
How will I know when my payment changed?
You will receive an Annual Escrow Account Disclosure statement notifying you of any change to your escrow payment.
If the principal and interest portion of your payment changes you will receive a letter notifying you of the new interest rate and principal and interest payment amount.
Will my payment change?
It is possible that your monthly payment will change. The principal and interest portion of a fixed rate loan does not change. If you have an adjustable rate mortgage, the principal and interest portion may change as outlined in your mortgage.
An escrow account may be maintained for the payment of real estate taxes, dwelling and/or flood insurance premiums. If your escrow figures change, so will your monthly payment. As your mortgage contract states, your monthly escrow payment must be one-twelfth of the annual escrowed items.
Can I have my monthly payment drafted from my bank account?
Yes. We recommend our automatic draft of your monthly mortgage payment from your checking or savings account. Payments are drafted on the first, fifth, or fifteenth working day of each month. There is no charge for this service and your payment is never late. Additional principal payments can also be drafted with your monthly payment.
What if I want to make additional principal payments?
Extra principal payments can be made in any dollar amount, unless otherwise stated in your mortgage. It is required that the account be current and recommended that the funds be remitted with your regular monthly payment. Making additional principal payments will reduce your outstanding balance and shorten the term of your fixed rate loan; however, it will not reduce the regular principal and interest portion of your payment.
What if I want to remit more than one payment at a time?
If you are making two or more payments, send a check for the total amount with the coupon from your Mortgage Billing Statement and note on the coupon how many month's payments you are enclosing.
What can I do if I’m having a difficult time making my mortgage payment?
Call 1(866) 433-6886 and speak with one of our professional Associates. PMAC Lending Services is committed to assist you should you encounter financial hardship or situations beyond your control. We have experienced, specially trained Associates who are ready to discuss your options with you. PMAC Lending Services will make every reasonable effort to find a solution and provide payment alternatives, including referral to HUD approved credit counselors. Please see our Mortgage Assistance page.
When is a late charge assessed?
Most late charges are assessed on the 16th of each month. Please refer to your statement of loan documents for the exact date.
When are my payments due?
Most monthly payments are due on the first of each month. Please allow 5-7 days for mailing. Payments are posted on the date of receipt, not on the postmark date. Refer to your Statement or loan documents for the exact due date. The payment due date cannot be changed.
Where do I send my payments?
You should mail each payment with the coupon from your Statement to PMAC in the envelope provided. Or, visit our website at www.pmacms.com and make a payment on-line. For payment information, please reference your monthly Statement. If you do not have a coupon, please submit your payment by writing the account number directly on the check. Please mail your check to:
Regular Mail - Payments Only
P.O. Box 74906
Los Angeles, CA, 90004-9906
Overnight Mail - Payments Only
15325 Fairfield Ranch Rd, Suite 200
Chino Hills CA 91709
General Correspondence – No Payments
Any correspondence about your mortgage should be directed to PMAC Lending Services. For address information, please reference your monthly billing statement or call PMAC Lending Services at 1-866-433-6886.
PMAC Lending Services
15325 Fairfield Ranch Rd, Suite 200
Chino Hills CA 91709
NAME CHANGE : Do I need to notify PMAC Lending Services if my name or marital status changes?
Yes. Please mail a copy of the recorded legal document that reflects the change. Mail the document to PMAC Lending Services, 15325 Fairfield Ranch Rd, Suite 200, Chino Hills, CA 91709.
When will I receive my annual tax and interest statement?
We are required by Federal law to provide an annual tax and interest statement (1098 form) on or before January 31. The annual statement is an accounting of funds collected and disbursed for the previous calendar year.
Do I have to qualify again?
Yes, you will have to qualify for the refinance loan. However, the process can often be streamlined and expedited.
What are closing costs to refinance?
Closing costs vary depending on your location and the purpose of the loan as well as differences in third party fees. To find out what a refinance may cost you, please call one of our Mortgage Representatives toll-free at 800.710.PMAC (7622).
What is cash-out refinance?
The difference between your loan balance and the value of your home is called equity. If you have held your mortgage for some time, you've probably begun to reduce the outstanding principal on your loan and increase the amount of equity in your home.
You may be able to refinance your home for more than what you currently owe and take the extra loan proceeds in the form of cash. On a cash-out refinance you may use the cash for home improvements, college costs, new car or other major purchases.
If I refinance, do I need a new appraisal and credit report?
Generally, a new appraisal and credit report are necessary.
Should I refinance my home?
Although each situation is different, there are several reasons to refinance including:
• Lower your monthly principal and interest payments.
• Move to a secure, fixed rate loan.
• Lower your interest rate.
• Take cash out of the equity in your home to consolidate debt or for home.
What are “Conforming – High Balance Loans”?
The Housing and Economic Recovery Act of 2008 has allowed Fannie Mae to implement higher conforming loan limits for high-cost areas. High-balance loans are subject to high-cost area loan limits set annually by the Federal Housing Finance Agency (FHFA).
What are "conforming" and "non-conforming" loans?
A "conforming" loan meets loan limits and established by Fannie Mae and the Federal Home Loan Mortgage Corporation (Freddie Mac). "Non-conforming" loans or "jumbo" mortgages exceed these limits.
What term (length of loan) is best for me?
While the monthly payments on a 30-year mortgage are lower than those for a 10, 15 or 20-year mortgage, a shorter-term can save you a considerable amount of money because of the way the mortgage amortizes. In addition, many times a shorter-term mortgage is available at a lower interest rate.
When can I lock my interest rate?
Typically, you can lock your interest rate after submitting your application and providing a copy of your Purchase Agreement or Sales Contract. PMAC offers a wide range of lock-in periods depending on your needs. If you do not lock your rate at application, you must lock no less than five business days prior to closing.
What is a jumbo loan?
A jumbo loan is a mortgage that exceeds the maximum loan amount established by Fannie Mae and the Federal Home Loan Mortgage Corporation (Freddie Mac). Jumbo loans are also referred to as "non-conforming" loans.
What is the difference between a Fixed Rate Mortgage and an Adjustable Rate Mortgage?
A fixed rate mortgage is a loan in which the interest rate does not change during the entire term of the loan. With this type of mortgage your monthly payments for principal and interest never change.
With an adjustable rate mortgage (ARM) the interest rate may periodically adjust on the basis of changes in a specified index. ARM loans can allow you to buy a more expensive home since the interest rate is usually lower than a fixed rate mortgage.
The right type of mortgage for you depends on many factors including:
• Your current financial picture
• How you expect your finances to change
• How long you intend to keep your house
• How comfortable you are with your mortgage payment changing from time to time
What information do I need to apply for a loan?
PMAC will ask for information regarding your employment, income, assets, debts and the prospective property you intend to purchase or refinance. Other information may be needed depending upon your situation.
Who do I contact once my loan is in process and how would I update my application?
To update your application or ask a question about the process, contact your Mortgage Representative. Once you submit your application, a Mortgage Representative will be assigned to you.
What is title insurance and why do I need it?
Title insurance protects the lender (lender's policy) and the homeowner (owner's policy) against loss resulting from disputes over ownership of the property.
What are discount points and how are they calculated?
Discount points are a one-time charge (or credit) by the lender. Each point is equal to 1% of the principal loan amount and can be paid to buy down the applicable interest rate. If you choose to pay points, they are typically paid at the time of closing. Discount points may be negotiated in the Purchase Contract to be paid by either the seller or borrower.
What are closing costs?
Closing costs cover all the fees and expenses associated with a loan transaction. Closing costs may incluide fees for an appraisal, credit report, title insurance, survey, and points. Closing costs vary depending upon the loan product and the fees that are customary in your area.
Is my credit important?
Your credit is animportant consideration for determining your creditworthiness. Information in your credit report is prepared by a credit bureau or consumer reporting agency. Any late payments or other adverse information contained in your credit report will creceive additional review during the underwrting of your loan application, and may require further written explaination(s) or documentation from you as we consider your loan request.
What is an appraisal?
An appraisal is a report made by a certified appraiser who provides a professional opinion or estimate of property value. When you apply for a mortgage loan with PMAC, the appraisal process will be initiated.
What is a pre-qualification?
A pre-qualification will estimate how much money you are eligible to borrow before you apply for a mortgage. Be prepared to provide basic information such as income, debts and assets. A pre-qualification is not a pre-approval or loan approval.
Can I apply for a loan before I have a home to purchase?
Yes. You may provide the required documentation for a loan pre-approval to verify income, debts and assets prior to your purchase. Once we obtain a credit report, we can make a credit only loan decision. This process is called a pre-approval. Since the property to be purchased is typically not known for a pre-approval, estimated sales price and loan amount are used to make a loan decision.
How Can I apply for a mortgage loan?
Our Mortgage Representatives are available from 8:30 AM to 5:30 PM PST. Please call PMAC toll-free at 1(866) 433-6886 or visit our website http://www.pmac.com and complete some basic information to begin the process.