Mortgage FAQs

At TruStone Home Mortgage, we're available to you through every step of the mortgage financing and servicing process. Whether you have general questions about buying or refinancing a property, are ready to apply for a loan or need help once the loan closes, contact us. We're here to help by phone, email and online. Click a link below to learn more.

 

PAYMENT OPTIONS

In Branch

• Teller—Cash, check (from another financial institution) or transfer from another TruStone Financial account.
• Night Drop—Cash or check payments.

Contact Center

• Transfer from a TruStone Account.
• Payment by phone- Payment is made from another financial institution. If payment is requested by 3:00 PM, funds will be received and mortgage payment will be posted next business day. If payment requested after 3:00 PM, funds will be received and payment will be posted in two business days.

Automatic Payments

•Mortgage Center—Member can make a one-time payment or set up a reoccurring payment.
• Online Banking—Member can transfer payment from TruStone account to mortgage.
• Mobile Banking—Member can transfer payment from TruStone account to mortgage.
• Account Transfer—Contact us if you would like to make a payment from a TruStone account or another financial.
• Bill Pay—Member can make a payment by using TruStone Financial Bill Pay or bill pay from another financial.

Mail in Payments

• PO Box 1260, Minneapolis, MN 55440-1260

Amortized Mortgage Statements

• Mortgage statements are mailed out around the 17th of each month. A loan coupon is attached to the mortgage statement. (We do not mail a coupon book).
•You can also sign up for the electronic statements in the Mortgage Center to view online.

 

CHANGE OF INSURANCE

In the instances where you need to change your insurance company, please follow the steps below to assist in transitioning to the new insurance company:
1. After you have obtained your new insurance policy, cancel your homeowner's insurance coverage with your previous provider.
2. Your new insurance policy should include your loan number and the mortgagee cause below:
TruStone Financial Federal Credit Union
Control #3200, as Lienholder/Loss Payee
PO Box 2760
Sioux City, IA 51106
3. If TruStone Financial has paid an insurance premium on your behalf to the previous carrier within the past 12 months, you should pay the new premium out of pocket and retain any refund you may receive from your previous carrier. It does not need to be deposited into your escrow account at TruStone Financial.
4. If you would like TruStone Financial to make the new premium payment to the new insurance company, please contact us with your intentions. Please send a check payable to TruStone Financial Federal Credit Union in the amount of any refund you may receive from the previous insurance company to be deposited to your escrow account.
5. Any adjustments to your escrow account related to the cost of your homeowners insurance will be reflected on your next Annual Escrow Analysis scheduled in May.

 

ESCROW ANALYSIS

An Escrow Account

An escrow account is an account maintained by the lender to collect funds from you (the mortgagor) in order to pay the property taxes, homeowner property insurance, flood insurance (if applicable), and/or private mortgage insurance (PMI) due on your loan.

Escrow Analysis

Trustone Financial reviews your escrow account each year to make sure there are enough funds to cover your private mortgage insurance (PMI),***, homeowner's hazard insurance** and/or property taxes. This escrow analysis will show you the amount of taxes and/or insurance paid on your behalf in the past year with the funds from your escrow account. The escrow analysis also highlights what we project to pay next year. At that time, there may be a surplus or a shortage.

Escrow Overage

A surplus is determined based on the projected balance for the next 12 months. Surplus less than $50.00 will be prorated and your monthly payment adjusted accordingly. A surplus of $50.00 or more will be refunded.

Escrow Shortage

A shortage occurs for the following reasons: Most commonly, an increase in your property taxes and/or insurance will result in an escrow account shortage.

The shortage amount will be divided into 12 months and added to the mortgage payment. You may choose to pay the shortage in full. To avoid a similar shortage in the upcoming year, your new escrow deposit will be calculated for 1/12 of the current tax and insurance payments. If your current tax and insurance payments are more than the previously projected monthly breakout, you may need to contribute more per month. A two-month escrow cushion* is also required to be a part of your new payment.

Annual Escrow Account Disclosure

An Annual Escrow Account Disclosure statement will be sent at least 30 days prior to your payment change to notify you of any change to your escrow payment.

Common Terminologies

*Escrow Cushion: Funds mortgagor may be required to pay into the escrow account in order to ensure that sufficient funds are available for unanticipated disbursements for escrow items. Typically, the cushion equals two months of escrow payments, unless reduced or eliminated by federal and state law. The lesser amount prevails.
**Homeowner's Hazard Insurance: An insurance coverage that compensates the insured in the event of property loss or damage. Hazard insurance is a requirement for all loans. The mortgage agreement requires that the borrower keep the improvements of the property insured against loss by fire, hazards included within the term "extended coverage", and any other hazards, including, but not limited to, earthquakes and floods, for which the lender requires insurance. This includes an HO6 policy for residents of condominiums, which protects "walls-in" items.
***Private Mortgage Insurance (PMI): Provided by privately owned companies on loans with down payments less than 20 percent of the purchase price. The insurance protects lenders in the case of default by mortgagors.

 

MORTGAGE CENTER OVERVIEW

What is the Mortgage Center?

Mortgage Center is an online service for TruStone Financial members with a 1st mortgage to schedule payments, view loan history and receive electronic statements/documents. The Mortgage Center is separate from TruStone Financial Online and Mobile Banking. This service is only available to members who originated their 1st mortgage with TruStone Home Mortgage and the mortgage is now serviced by TruStone Financial.

How do members access the Mortgage Center?

• Online Banking: Members can access the Mortgage Center through the link located at the top of the main page within their Online Banking.
• TruStone Financial Website: A link to the Mortgage Center is available on the footer of the TruStone Financial website as well as the Home Loans page.

How does a member enroll in the Mortgage Center?

Members are able to enroll in the Mortgage Center using their mortgage loan number, Social Security number and email address. Members can create a unique username and password to be used for future logins. This information is separate from their TruStone Financial Online and Mobile Banking.
Usernames:
• Length: 4-25 characters
• Member can click "Forgot Username" link to recall username
Passwords Requirements:
• Length: 8-25 characters
• Numbers, special characters, upper and lower case letters are ALL allowed
• At least one combination is required
• Expires every 180 days
• Member can reset password by clicking on the "Forgot Password" link
• Locks out a user after 3 invalid attempts
Security questions:
•Separate from TruStone Financial Online Banking

Payments

• Members can establish one-time or recurring payments from their TruStone Financial account or from an account with another financial institution.
• 3PM cut off time for same-business-day payment processing
Payment Cancellation
•Members cannot cancel a payment online
•To cancel or change a scheduled payment, please call TruStone Home Mortgage.
•Same-day payment cancellations must be received before 2:30 PM for processing
Payment History
The last 24 transactions are available to view within the Mortgage Center. The history cannot be downloaded. Please contact TruStone Home Mortgage for additional transaction history.
Late/Delinquent payments
Late mortgage payments can be made online up to 30 days past the due date. The payment will include the late fee if made after the 16th of the month.

Electronic Documents

The following documents are eligible for electronic delivery. Members MUST select 'yes' for electronic delivery of each item under the document delivery tab, otherwise the document will be delivered via mail.
Documents
• Monthly Statements
• Tax Interest Statement
• Private Mortgage Insurance Notices
• Delinquency Notices
• The last 12 electronic documents are stored within the statement history. Since members can receive other documents electronically, this does not mean 12 months of eStatements.

 

 

PRIVATE MORTGAGE INSURANCE

Minnesota Statue- Minnesota statue 47.207 states you must hold your PMI for two years of seasoning commencing the day you signed your Note before termination.

What is PMI or Private Mortgage Insurance?

Private Mortgage Insurance is provided by privately owned companies on loans with down payments of less than 20 percent of the purchase price. This insurance protects lenders in the case of default by mortgagors. Under certain circumstances, federal law gives you the right to cancel PMI or requires that PMI automatically terminate. Cancellation or termination of PMI does not affect any obligation you may have to maintain other types of insurance.

When Does My PMI Terminate?

If your loan qualifies, your PMI may automatically terminate on the date the principal balance of your loan is first scheduled to reach 78% of the original value of the property.

Can I Request Termination Of My PMI?

The type of mortgage you have will determine when PMI will cancel. Please contact us for termination guidelines at 763-595-4010.

 

CONTACT US

At TruStone Home Mortgage, we're available to you through every step of the mortgage financing and servicing process. Whether you have general questions about buying or refinancing a property, are ready to apply for a loan or need help once the loan closes, contact us. We're here to help by phone, email and online.

Main Office
A | 14601 27th Avenue North, Suite 103 | Plymouth, MN 55447
P | 763.595.4010 option 3
F | 763.522.6141
MortgageServicingDept@trustone.org