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DEFINITION OF 'LOAN SERVICING'
The administration aspect of a loan from the time the proceeds are dispersed until the loan is paid off. This includes sending monthly payment statements and collecting monthly payments, maintaining records of payments and balances, collecting and paying taxes and insurance (and managing escrow and impound funds), remitting funds to the note holder, and following up on delinquencies. Read more: http://www.investopedia.com/terms/l/loan_servicing.asp#ixzz3Wd2wGuWS Follow us: @Investopedia on Twitter
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