Servicing transfer notice
How do we send the servicing transfer notices on time when servicing moves, and record the borrower's acknowledgment?
Trigger the notices from the transfer date and produce them from the record. When servicing transfers (on sale, on a subservicer change), Callvu computes the notice deadlines from the effective date, produces the transferor's notice and coordinates the transferee's with the required content (the dates, the new servicer's contact details, the payment instructions, the 60-day grace period), delivers them by the consented method, records delivery and any acknowledgment, and flags payments misdirected during the grace period for the late-fee protection.
In scopeSimpleCallvu moves: prefill, write back
Last updated November 7, 2026.
The problem today
The goodbye letter went out after the transfer date, and the borrower's payment to the old servicer was treated as late.
When a loan's servicing transfers, the old servicer must notify the borrower at least 15 days before the effective date and the new servicer within 15 days after (or a combined notice), with specific content. The borrower's payments sent to the old servicer within 60 days after the transfer may not be treated as late. Lenders that sell servicing regularly handle this with a mail merge from a spreadsheet, and the timing slips when the transfer date moves.
The notices are produced from four facts: the transfer date, the old and new servicers' details, the payment instructions, and the borrower's contact. All are in the record at the time of sale.
The grace period protection is a servicing rule that depends on the notice having been right.
How it runs
From the requestto the system of record.
A servicing transfer is scheduled (a sale with servicing released, a subservicer change) with an effective date. Callvu opens the notice case for each loan in the transfer with the deadlines.
- Borrower
- Receives the notices and acknowledges where the lender asks; keeps paying under the grace period.
- Servicer
- The transferor's and transferee's servicing teams provide their details and receive the delivery records.
- Callvu
- Computes deadlines, produces and delivers the notices, records, and applies the grace period flag.
Prefill and classify
For each loan, the transfer date, the transferor and transferee details (names, addresses, toll-free numbers, the dates each will stop and start accepting payments), the new payment instructions and any changes in terms of the escrow or payment are prefilled; the notice type (separate or combined) and the deadlines are classified from the dates.
Produce and deliver
The transferor's notice is produced with the required content and delivered by the consented method at least 15 days before the effective date; the transferee's notice (or the combined notice) is coordinated and delivered within 15 days after; delivery is recorded per loan.
Chase and verify
Where the lender asks for an acknowledgment, the borrower acknowledges on a secure screen; returned mail or an undeliverable address triggers a re-delivery through another channel on file. The 60-day grace period is set on the loan from the effective date.
Write back
The notices, the delivery records and the acknowledgments are written to the servicing system and the loan record, the transferee receives the delivery evidence with the loan, and payments received by the transferor in the grace period are flagged for forwarding and late-fee protection.
Where it ends: Every borrower in the transfer received the notices with the required content inside the deadlines, the delivery is on the record for both servicers, and the grace period protection is applied by rule. The Decision Trace shows the deadlines and the content sources; the Audit Trace shows each delivery and acknowledgment.
Runtime enforcement
What is enforcedwhile the work runs.
The regulations preloaded in Callvu Studio and the bank's own policies, applied as steps that run, not lines in a binder. A step that breaks a rule does not run, so a completed run was compliant.
The handoff
Between the front doorand the back office.
The front door
The scheduled transfer; the borrower meets the process in the notice.
The back office
Both servicers receive delivery evidence per loan; the grace period is applied without a lookup.
The Decision Desk
- A loan whose borrower contact fails in every channel, or a transfer date change inside the notice window, goes to the servicing manager in the Decision Desk with the options and only the allowed outcomes.
Proof
In scope.Proof at scale, not one process at a time.
The kind of process Callvu runs in production for customers in this industry. Ask for a reference on this exact process. The results below are the industry's published proof; each claim code links to its record on agents.callvu.com.
Questions
What buyers ask next,answered plainly.
When are the notices due?
The transferor's at least 15 days before the effective date, the transferee's not more than 15 days after, or a combined notice at least 15 days before, computed per loan from the date.
What about payments sent to the old servicer?
For 60 days after the effective date they may not be treated as late; the flag on the loan applies it.
What does the new servicer receive?
The delivery evidence per loan with the transfer, so it can show the notice was given.
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