Mortgage FAQs

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PAYMENT OPTIONS

Branch

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

Contact Center

• Transfer from a TruStone Account.
• One-time ACH payment. Payment made from another financial. If payment is made by 3:00 PM, mortgage payment will be done next business day. If made after 3:00 PM, payment will be made in two business days.

Automatic Payments

• Mortgage Center—Can do a one-time payment or set up reoccurring payments.
• Online Banking—Can transfer payment from TruStone account to mortgage.
• Mobile Banking—Can transfer payment from TruStone account to mortgage.
• Direct payment from another financial to mortgage. Credit union sets up. Direct payment form is required to be signed by the member.
• Automatic payment from another TruStone account to mortgage. Credit Union sets up.
• Bill Pay from another financial. (Check is generated from Bill Pay)
• Bill Pay from TruStone Financial. (Check is generated from Bill Pay)

Mail in Payments

• PO Box 1260, Minneapolis, MN 55440-1260

Amortized Mortgage Statements

• Mortgage statements are mailed out monthly. They are normally produced around the 17th of the month. There is a loan coupon attached to the mortgage statement. We do not mail a coupon book. You can choose to have these sent electronically rather than mailed out. You would see them in the Mortgage Center online under the category of "Statements/Documents."

 

CHANGE OF HOMEOWNER'S INSURANCE COMPANY

In the instances where you need to change insurance companies, please follow the steps below to assist you in transitioning to the new insurance company:

1. Cancel your homeowner's insurance coverage with your previous provider.
2. Add the mortgagee clause as follows, including your loan number, to your new insurance policy:
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 the refund you 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 TruStone Financial to inform us of your intentions. Please send a check payable to TruStone Financial Federal Credit Union in the amount of the refund received 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. Please contact Mortgage Servicing with any questions you may have at 763-595-4010.

 


 

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 taxes, homeowner property insurance, and/or private mortgage insurance (PMI) due on your loan. The escrow account helps reduce risk on the lender because the account ensures obligations such as insurance and taxes are paid on time. This means there is less stress on you each month as everything is already taken care of through your escrow account.

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 an overage or a shortage.

Escrow Overage

An overage is determined based on the projected balance for the next 12 months. Overage less than $50.00 will be prorated and your monthly payment adjusted accordingly. If the monthly account balance's projected low point is higher than the required escrow cushion*, and resulted in an overage of $50.00 or more, it will be refunded to you.

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. Additionally, if a tax payment is due to a taxing authority by the 15th of the month, the disbursement from the escrow account will occur the previous month in order to avoid the possibility of a late fee. An earlier disbursement than projected at closing may also occur if the taxing authority provides a discount for early payments. Finally, if there is an insurance company change during the 12-month escrow cycle, it may result in an earlier disbursement date than previously projected.

The shortage amount will be divided into 12 months and added to the mortgage payment. You may choose to pay the shortage in full; however, your monthly payment will still be increased. 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. Please contact Mortgage Servicing for any questions at 763-595-4010.

 

MORTGAGE CENTER OVERVIEW

What is the Mortgage Center?

Mortgage Center is an online service for TruStone Financial members with a 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.
Home Equities and mortgages originated by TruStone Financial are still only available within TruStone Financial Online and Mobile Banking.

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
Shared Secrets:
•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 Cancelation
•Members cannot cancel a payment online
•To cancel a scheduled payment, please call TruStone Home Mortgage.
•Same-day payment cancelations 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. A late fee will be accessed if the payment is more than 15 days past its due date. Mortgage payments 31 or more days past due cannot make a payment online. The member must contact TruStone Home Mortgage. The mortgage loan balance between Online Banking and the Mortgage Center may not match since payments made using a transfer within Online Banking post the next business day to the Mortgage Center at 3pm.

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.

• Monthly Statements
• Tax Interest Statement
• Private Mortgage Insurance Notices
• Delinquency Notices
• Payoff statements
• 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?

Your PMI will automatically terminate on the date the principal balance of your loan is first scheduled to reach 78% of the original value of the property. If you are not current on your loan payments as of that date, PMI will automatically terminate when the loan becomes current. PMI will not be required on your mortgage loan beyond the date that is the midpoint of the amortization period for the loan if the loan is current on the scheduled date. The Minnesota Statue does not apply for automatic termination at 78% LTV.

Can I Request Termination Of My PMI?

You have the right to request that PMI be cancelled on or after either of these dates: (1) the date the principal balance of your loan is first scheduled to reach 80% of the original value of the property or (2) the date the principal balance actually reaches 80% of the original value of the property. In order to cancel PMI on these dates certain conditions must be met; (1) you submit a written request for cancellation; (2) you have a good payment history; and (3) we receive, if requested and at your expense, evidence that the value of the property has not declined below its original value and certification that there are no subordinate liens on the property. A "good payment history" means no payments 60 or more days past due within two years and no payments 30 or more days past due within one year of the cancellation date. "Original value" means the lesser of the contract sales price of the property or the appraised value of the property at the time the loan was closed. 

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

Can I Have An Appraisal Done For PMI Termination?

We at Trustone Home Mortgage can order an appraisal for you for your PMI termination. The termination guidelines are adjusted and you then must meet a 75% LTV based on the current value as stated on the appraisal. The cost of the appraisal is paid by you at the time of ordering.

There may be additional requirements specific to your mortgage including but not limited to multiple unit or investment properties. Please submit your request to the following email address, upon receipt of your request, your account will be reviewed to determine if you are eligible for PMI termination, you will be notified in writing. Please contact the Mortgage Servicing Department for termination guidelines at 763-595-4010

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

 

CONTACT US

All contact forms submitted within the Mortgage Center will be handled by TruStone Home Mortgage
Email Address
The email address entered into Mortgage Center will update in TruStone Home Mortgage website
Time Out
Mortgage Center automatically times out after 15 minutes of inactivity

Who should questions be directed to?

Questions about Mortgage Center should be referred to:
TruStone Home Mortgage 763-595-4010 option 3

Contact Us: All contact forms submitted within the Mortgage Center will be handled by TruStone Home Mortgage
Email Address:  The email address entered into the Mortgage Center will update on the TruStone Home Mortgage website
Time Out:  The Mortgage Center automatically times out after 15 minutes of inactivity
Who should questions be directed to?
Questions about the Mortgage Center should be referred to:
TruStone Home Mortgage 763-595-4010 option 3

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