Notify the mortgage company of a death as soon as you have a certified death certificate in hand, ideally within 30 days. No federal statute sets a hard deadline, but the mortgage keeps accruing payments on its normal schedule, and the federal protections that shield heirs from an immediate payoff demand only take effect once the servicer knows the borrower has died and knows who you are.
Why 30 Days Is the Right Target
The loan doesn’t pause because the borrower died. Every missed payment moves the account closer to default, and once a servicer opens foreclosure proceedings, unwinding them takes far more time and money than preventing them. Aiming for notification within 30 days keeps you well clear of that risk. Going beyond 90 days without contact is where families get into real trouble, especially if payments have already lapsed.
Calling early matters even if you don’t yet have every piece of paperwork the servicer will eventually want. Picking up the phone puts the death on the servicer’s radar and often triggers internal protections against premature collection actions while you gather documents and work through probate.
Autopay Will Stop Working
The deceased borrower’s bank account is typically frozen once the bank learns of the death, so any autopay arrangement for the mortgage will fail. If you’re the executor, a co-borrower, or a successor trustee, arrange to make payments from estate funds or your own accounts while probate moves forward, and seek reimbursement from the estate later. No federal law requires servicers to waive late fees during the notification period after a borrower’s death. Some will do so voluntarily once they confirm the death, but the safest path is keeping the loan current from day one.
Who Is Allowed to Make the Call
Lenders will only discuss loan details with someone who has documented legal authority over the deceased’s affairs. If the borrower left a will, that person is the executor named in it. If there was no will, a probate court appoints an administrator to fill the same role. Either way, you’ll need court-issued paperwork proving your authority before the servicer will share account information or discuss next steps.
If the property was held in a living trust, the successor trustee named in the trust document is the right person to make the call. A surviving co-borrower on the loan or a joint tenant on the property deed can also contact the servicer directly, since they already have an ownership interest the lender can verify without court paperwork.
For smaller estates that don’t go through full probate, many states allow heirs to use a small estate affidavit to claim authority over the deceased’s property. The dollar thresholds for this shortcut vary widely by state. A small estate affidavit may be enough to get the conversation started with a mortgage servicer, though some lenders are more familiar with the process than others.
What to Have Ready Before You Call
Gather the following before you dial:
- The loan account number, found on any monthly mortgage statement.
- The borrower’s full name and Social Security number.
- The property address.
- A certified death certificate. The lender will need at least one original certified copy, not a photocopy. Order several from the state vital records office, since the mortgage company won’t be the only institution requesting one. Fees for certified copies range from roughly $5 to $34 depending on the state.
- Proof of your legal authority: Letters Testamentary if you’re an executor, Letters of Administration if you’re a court-appointed administrator, or the trust documents naming you as successor trustee.
Some servicers also ask for a copy of the will or trust agreement. Have these ready even if the lender doesn’t request them during the first call.
How to Deliver the Notification
Call the customer service number on the mortgage statement or the servicer’s website and ask for the department that handles deceased borrower accounts. Most large servicers have a dedicated team for this, sometimes called the estate or probate department. These specialists deal with bereaved families regularly and tend to be more patient and better informed than general customer service agents.
Follow up the phone call with a written notification sent by certified mail with return receipt requested. The letter should include the borrower’s name, loan number, date of death, your name and contact information, and a brief statement of your legal authority. Enclose copies of the death certificate and your letters of authority. Certified mail creates a paper trail proving when the lender received notice, which matters if any dispute arises later about the timeline.
What Federal Law Does Once the Servicer Knows
Many families worry that the lender will demand the entire loan balance the moment the borrower dies. Federal law prevents this. The Garn-St Germain Act prohibits lenders from enforcing a due-on-sale clause when a property transfers to a relative because of the borrower’s death, or when a joint tenant or co-owner inherits through survivorship. This protection applies to residential properties with fewer than five units. In practice, it means the lender must let you continue making payments under the existing loan terms rather than calling the loan due.1Office of the Law Revision Counsel. 12 USC 1701j-3 – Preemption of Due-on-Sale Prohibitions
Federal servicing regulations layer on additional rights. Once a servicer learns that the borrower has died, it must promptly reach out to potential successors, tell them what documents are needed to confirm their status, and begin communicating about the loan.2eCFR. 12 CFR Part 1024 Subpart C – Mortgage Servicing Once confirmed, a successor in interest is treated as a borrower under those rules. You’re entitled to the same account information, the same error resolution process, and the same loss mitigation options the original borrower would have received. You do not have to formally assume the loan to access these protections, including the right to apply for a loan modification or forbearance.3Consumer Financial Protection Bureau. 1024.41 Loss Mitigation Procedures
An important limit: while you’re treated as a borrower for servicing purposes, you are not personally liable for the mortgage debt unless you formally assume the loan. The lender retains a security interest in the property and can foreclose if the loan goes unpaid, but it cannot come after your personal assets to cover the balance.2eCFR. 12 CFR Part 1024 Subpart C – Mortgage Servicing None of this activates until the servicer has been notified and has confirmed who you are, which is the practical reason to make contact quickly.
Reverse Mortgages Run on a 30-Day Clock
If the deceased had a reverse mortgage, typically a Home Equity Conversion Mortgage, the timeline works differently and the notification stakes are higher. The loan balance becomes due and payable upon the borrower’s death, and the lender will send a notice to heirs. Once you receive that notice, you have 30 days to decide whether to buy the home, sell it, or turn it over to the lender.4Consumer Financial Protection Bureau. With a Reverse Mortgage Loan, Can My Heirs Keep or Sell My Home After I Die
In practice, the servicer can extend that initial period to six months to give heirs time to arrange financing or list the property. HUD may then approve up to two additional 90-day extensions if heirs can show they’re actively marketing the home, bringing the total possible timeline to roughly 12 months.5HUD. Handbook 7610.1 – HECM Servicing Getting in touch with the reverse mortgage servicer promptly is what starts the clock running with all of those options intact.
Don’t Let Insurance or Property Taxes Lapse in the Meantime
The mortgage servicer isn’t the only party that needs to hear from you, and two adjacent lapses can undo careful work on the mortgage itself.
Most homeowners insurance policies give you roughly 30 days after the policyholder’s death before coverage lapses or the insurer cancels the policy. Contact the insurance company promptly to update the policy or arrange new coverage. If the home sits vacant during probate, standard policies may exclude coverage, and you might need a separate vacant-property rider. A lapse in coverage also violates most mortgage agreements and gives the servicer grounds to force-place expensive insurance at your cost.
Property taxes keep accruing after the borrower’s death regardless of the estate’s status. If the mortgage had an escrow account covering property taxes, those payments should continue as long as the mortgage is current. If there was no escrow arrangement, someone needs to pay the tax bills directly. Unpaid property taxes lead to tax liens, and in many jurisdictions a tax lien can result in the loss of the property entirely. That risk is especially acute for heirs who inherit informally and haven’t yet updated the deed.