What to do when a Fay Servicing account holder dies
Report the death to Fay Servicing Customer Service at 1-800-495-7166
Notifying Fay Servicing of a death is not a claim for money — it is the step that stops the account, fixes the balance owed as of the date of death, and puts Fay Servicing on notice as a creditor of the estate. Fay Servicing Customer Service (1-800-495-7166) handles it.
Before contacting Fay Servicing, have the account holder's full name, date of birth, and any available account numbers ready.
Death claim process
Here is the step-by-step death claim process at Fay Servicing:
Filing a claim
- Commercial and business-purpose loans have their own line at 1-888-201-3780
- Fay asks someone who acquired an ownership interest through death to contact it as soon as possible
- Payments stay due while ownership is documented. Fay states it can provide information on where to send the mortgage payments
- Mail it to Fay Servicing, LLC, P.O. Box 814609, Dallas, TX 75381-4609, or email applications@fayservicing.com, or fax (312) 509-4794
- Do not use the payment P.O. Box for documents; Fay states that address is only for payments
- Fay states it will provide a list of the documentation needed to confirm identity and ownership interest in the property
- Completed authorization forms go to the Asset Disposition Department at Fay Servicing, LLC, Attn: APPLICATIONS, 440 S. LaSalle, Suite 2000, Chicago, IL 60605
- Or fax them to (312) 509-4794, or email applications@fayservicing.com
- Fay's mortgagee clause is Fay Servicing, ISAOA / ATIMA, P.O. Box 7047, Troy, MI 48007-7047
- FHA loans use the FHA Borrower Assistance Form, which lists death of the borrower or of a primary or secondary wage earner as a qualifying hardship
- Fay states a complete application generally must be received more than 37 days before a scheduled foreclosure sale
- Fay gives at least 15 days in Washington, 7 business days in Minnesota, and 5 business days in California, Nevada, and North Carolina
- Documents received after 4:00 p.m. Central Time count as received the next business day
- An Authorization to Release Information form goes to the Asset Disposition Department, Fay Servicing, LLC, Attn: APPLICATIONS, 440 S. LaSalle, Suite 2000, Chicago, IL 60605 (same fax and email)
- Complaints about the servicing of the loan go to Fay Servicing, LLC, Attn: Complaints Department, P.O. Box 815548, Farmers Branch, TX 75381
- Fay asks for 6-10 business days of postal processing time and credits payments received after 4:00 p.m. Central Time the next business day
- Only payoffs and reinstatements may be overnighted, via FedEx, to Fay Servicing, LLC, Attn: Payment Processing, 1601 LBJ Freeway, Suite 150, Farmers Branch, TX 75234
- An overnight payoff or reinstatement received after 3:00 p.m. Central Time is credited the next business day
Required Documents
- Death certificateA copy, for the deceased borrower.
- Recorded deed, will, trust, or probate court documents, to show the property was transferred to the successor in interest
- Letters Testamentary or Letters of Administration, where an executor or administrator is acting for the estate
- Documentation Fay requests to confirm identity and ownership interest, for a successor in interest
- Authorization to Release Information form, where a non-borrower will discuss the loanSigned by all surviving borrowers and co-borrowers.
- Loan numberFor a third-party payoff request, also the borrower's Social Security number and the property address.
- Current hazard insurance policyNaming Fay Servicing, ISAOA / ATIMA as mortgagee.
- Death certificate, obituary, or newspaper article reporting the death, for the FHA Borrower Assistance Form where the hardship is the death of the borrower or a wage earner
Claims Contact
Website: Online portal →
Forms Fay Servicing issues1
- Third Party Payoff Request Form
Completed by a settlement agent, attorney, or title company. Completed online.1
What happens to each kind of account1
- Loan
A co-borrower on the loan remains responsible for the mortgage and can continue to manage the account and make payments as usual.2
An heir can assume the mortgage to become the primary borrower, subject to a review of credit and income and the applicable loan or agency requirements. Fay customer service confirms the assumption process for a specific loan.2
Fay's FHA Borrower Assistance Form lists "Death of Borrower or death of either the primary or secondary wage earner" as a hardship.3
Federal law on calling a home loan after a death
These exemptions apply to a loan secured by residential real property containing less than five dwelling units.12 U.S.C. § 1701j-3(d); 12 CFR 191.5(b), 141.14Verified Oct 3, 2026View source
- A lender may not exercise a due-on-sale clause upon a transfer by devise, descent, or operation of law on the death of a joint tenant or tenant by the entirety.12 U.S.C. § 1701j-3(d)(3); 12 CFR 191.5(b)(1)(iii)Verified Oct 3, 2026View source
- A lender may not exercise a due-on-sale clause upon a transfer to a relative resulting from the death of a borrower.12 U.S.C. § 1701j-3(d)(5)Verified Oct 3, 2026View source
- A lender may not exercise a due-on-sale clause upon a transfer where the spouse or children of the borrower become an owner of the property.12 U.S.C. § 1701j-3(d)(6)Verified Oct 3, 2026View source
A federal regulation sets further conditions on these transfers.12 CFR 191.5(b)(1)(v)Verified Oct 3, 2026View source
What Fay Servicing provides to the estate2
- Payoff statement
Fay releases a payoff statement only to the borrower, or to a person acting on the borrower's behalf with written authorization. A settlement agent, attorney, or title company requests one on the Third Party Payoff Request Form.1
The form asks for the loan number, the borrower's Social Security number, the borrower name and property address, a payoff reason ("Property Sale" is one of the choices), a delivery method (email, fax, or mail), and an effective payoff date no more than 30 days out.1
- Statement copies
The loan's online account shows loan details, account activity, escrow detail, and statements and documents, and takes payoff statement requests.4
What Fay Servicing's agreement and guidance say2
- Who can get account information
Fay's Authorization to Release Information form is valid when signed by all borrowers and co-borrowers named on the loan.5
Fay's separate Third Party Authorization Form is signed by the borrower to name one third party.6
Neither form works where every borrower has died; in that case authority comes from Letters Testamentary or Letters of Administration.5, 6
- Accounts from a merged institution
Fay notes that any mortgage, life, or disability insurance tied to the prior servicer is discontinued rather than transferred.2
Not in Fay Servicing's published guidance4
- A procedure for reporting a death
- A department for deceased-customer accounts
- A claim form
- How long a claim takes
Sources6
- 1.Third Party Payoff Request Form
- 2.New to Fay
- 3.FHA Borrower Assistance Form
- 4.Fay Servicing online account
- 5.Authorization to Release Information
- 6.Third Party Authorization Form
Fay Servicing Customer Service can be reached by phone at 1-800-495-7166, email at applications@fayservicing.com, and fax at 1-312-509-4794 for questions throughout the claims process.
Sources
Data sourced from Fay Servicing primary sources (15 pages reviewed). How we research.
Fay Servicing death claims support
Fay Servicing Customer Service (Successor in Interest / Deceased Borrower)
Phone
Commercial and business-purpose loans
Fax
Hours
Mailing address
Website
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