I have a couple questions on what happens to your mortgage if for example you have a mortgage held through CountryWide and they go bankrupt or even worse go out of business?
What if you took a $20000 incentive from the builder to use the “preffered lender” to buy down points and say that lender is CountryWide and they go bankrupt? If you had to shop a new loan would you lose that incentive of point buy downs with the new lender? Would the builder honor the $20000 with another lender?
Your loan is still intact, whether the servicer or paper holder(s) is(are) bankrupt or not. That piece of paper is an asset of the company (or comapnies) that hold it. You loan terms remain unchanged. Loans are sold all the time and the place you send your check to (loan servicer) may or may not change when that happens.
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