I've had a mortgage with my credit union for about ten years now, and they still have it. And no, it wasn't just resold out from under me without my noticing it; I actually asked one of their reps once and they outright told me that they don't resell their mortgages.
The downside is that as far as I know, I don't have a promise from them that they won't sell it, just a track record of not selling it. Still, if you're worried enough it may be worth considering. I recognize this is not a free option; you'd have to consider it as a form of insurance and consider whether you're willing to pay for it.
https://www.propublica.org/article/bank-errors-continue-to-c...
"Bank Errors Continue to Cause Wrongful Foreclosures"
My issue is with banks, landlords, and utilities where you send payment and they act like you didn't. Then threaten you with all types of legalese. This happens all the time for long term, rent-controlled, and rent-stabilised tenants. The landlord is trying to find any reason to throw you out. I've spoken with housing advocates and legal aid on this. If the owner starts acting up, i.e. not cashing checks while simultaneously sending you eviction notices, document everything. Spend the extra dollars to send a certified letter and keep the receipts.
Entirely agree.
Since I paid with a credit card I could make the case that I was charged before their deadline and they let it go.
Bill pay services usually deduct the amount of the check to be sent from your account and put it into a holding account before sending the check. The check sent acts more like a certified check than a personal check (because in a personal check, funds aren't withdrawn until the check is cashed).
I have always thought this is a little fishy - why the bank can't issue a personal check for me without withdrawing the funds from my account... but there may be regulatory or liability issues involved for the bank.
Bottom line, if you count on the bank to send a paper check for you, it's not EXACTLY the same as if you send a personal check yourself.
Don't most consumer banks and credit unions these days have automatic bill payment systems that, if the recipient is incapable of recieving payment otherwise, fallback to mailing computer-printed checks, so that consumers get automatic payments even if the payees don't have their own system?
First, some enterprising fraudster will call/mail that they've acquired the loan and demand payment. Given how often loans are sold, it wouldn't take much conning to convince retirees that a payment is due and a check needs to be mailed to some P.O. Box.
Second, these companies that buy up loans don't seem all that technically capable. I fear that, one day, my parents' loan will be bought by one without an automatic monthly payment system. Again, someone with shady morals could start a company that looks to buy mortgages on properties where the mortgage is a fraction of the cost of the home and then not offer a auto-pay feature. When people inevitably miss a couple of manual payments, they could aggressively try to foreclose.
Both of these opportunities for abuse are made possible by banks with mostly positive reputations doing something that shouldn't be allowed. If a bank wants to offload debt that they've initiated, we should require them to continue to process customer payments on that debt and forward the money to whomever they sold to. Consumers should have the right to choose which companies they have business relationships with and we shouldn't have that relationship changed without our permission.