Hello again Valued Investors,
As our company grows and we service more of your loans, we feel it’s important to be transparent about how we operate. Therefore, below is a step by step of what to expect with Sun Pacific Servicing Inc., once you become one of our valued clients.
NOTE: We are the Master Servicer and we generally hire FCI as a sub-Servicer. FCI has a program specific for Brokers to utilize, for accounting purposes through their Trust Account. They also have an online servicing portal which allows you easy access to review payment history, year-end reports, see communication between FCI, us, the borrowers, etc.
We also work directly with Redwood Trust Deed Services and are looking into other sub-Servicers, to ensure we can provide all available resources for the complete & proper handling of your loans.
Below is our step-by-step process for setting up your loan:
1. Our Servicing Agreement is attached to every loan submission provided by Sun Pacific Mortgage & Real Estate for your review, prior to approval of a loan.
2. Once the loan closes you will be sent the Servicing Agreement from Sun Pacific Servicing, pre-filled with all loan details already filled in. This is sent to you for e-signing through Adobe Sign.
3. We send this signed Servicing Agreement, required set-up forms, and needed Loan Docs to the respective sub-Servicer at which point they will complete boarding the loan. Once done they will send you their servicing agreement to be signed. This is required of any sub-Servicer that we work with.
4. When the loan has boarded and funds have cleared (pro-rated interest, pre-paid interest, etc.), the funds will then be disbursed. If you have opted for ACHs, you will be sent an electronic notification when the funds have been sent to your account.
5. Concurrent to the loan funding & recording, we call all Borrowers to introduce ourselves and complete a special “contact form”, gathering extra ways to reach them in the event we must contact them (alternate emails, local family contacts, etc.). We also send each Borrower their loan payment coupon & ACH form via email and hard copy mail. We urge every borrower to pay their monthly payments via ACH (which we help get them set up to do), so payments are more efficiently sent each month.
6. We track each borrower’s monthly payment, and should they miss their payments, we follow up with the borrower (letter, call, email, text) alerting you right away; letting you know what we have found out and the handling to get current.
NOTE: When we use FCI as the sub-servicer, FCI will send your monthly payment (ACH or check) the day after the funds clear. Funds are not held for any length of time but are disbursed the following day.
ADDITIONALLY: In addition to the above set-up process for each loan we:
a) receive the original Recorded Deed and original Note and hold onto these for the term of the loan;
b) check property taxes, ensuring they are paid, and if not work with the borrower to handle and keep you abreast of what we are doing on this;
c) monitor property insurance to ensure the borrower maintains property insurance for the duration of their loan, and alert you to any issues on this for handling (forced placed insurance);
d) verify all payoff demands are accurate;
e) assist in the negotiations of any loan modification, extensions, etc. of the loans;
f) with the approval of the Lender(s) initiate and direct Foreclosure proceedings;
g) request and receive any Notice of Defaults on any senior liens.
This is the basic process in setting up and starting a loan with us! We hope this helps you to better understand what to expect when becoming an Investor with us.
We look forward to hearing from you about the handling of any current loans and future Trust Deed investments that you’ll be making. Don’t hesitate to reach out to us by email or phone.
Best, Ken
Broker & Co-Owner
Sun Pacific Servicing Inc.