Published on July 15, 2021
Written by The Servion Group
If a borrower makes a substantial principal curtailment, he or she may request that the mortgage balance be re-amortized over the remaining term of the loan to reduce the mortgage payment. (Note: FHA/VA loans cannot be re-amortized).
There is a fee of $250 for a re-amortization and the minimum principal payment accepted for a re-amortization is $20,000.00. The funds must be in the form of a cashier’s check or certified funds and must be accompanied by a written request.
Borrowers may remit the $250 fee, principal reduction, and written request to:
Attn: Loan Servicing
500 Main Street
New Brighton, MN 55112
Upon receipt of the request, Servion, Inc. will draft a modification/re-amortization agreement to be executed by the borrower(s). The new principal and interest payment will become effective with the borrower’s next monthly payment.