Overview
Freedom Mortgage is one of the largest non-bank mortgage lenders and servicers in the United States. When a borrower passes away, the process of handling their mortgage differs from closing a bank account. Instead of "closing" the account, the goal is typically to establish a Successor in Interest—someone who acquires an ownership interest in the property and can receive information about the loan.
This guide covers Freedom Mortgage's specific process for Successors in Interest, including how to notify them, what documents are required to prove ownership, and how to handle monthly payments during the transition.
Freedom Mortgage operates in all 50 states, so state-specific probate and property laws will heavily influence which documents you need to prove your ownership interest.
This guide provides informational guidance only. It is not legal advice, and SwiftProbate is not a law firm. Laws and institutional procedures change — verify current requirements directly with Freedom Mortgage and consider consulting a qualified attorney.
Notification Process
How to Notify Freedom Mortgage of a Death
Step 1: Gather Initial Information
Before contacting Freedom Mortgage, have the following ready:
- Borrower's full legal name and date of death
- Loan number (found on monthly statements)
- Social Security number of the borrower
- Your relationship to the borrower
- A certified copy of the death certificate
Step 2: Call the Customer Care Team
Contact Freedom Mortgage to initiate the "Successor in Interest" request. There is a specific line for these inquiries:
- Phone: (855) 690-5900
- Hours: Mon–Fri, 8 AM – 8 PM ET
When you speak to a representative, inform them that the borrower has passed away and that you are a potential Successor in Interest. They will:
- Note the account regarding the borrower's passing.
- Explain the specific documents required based on your state and how you acquired the property (inheritance, survivorship, etc.).
- Send you a packet or list of requirements to fulfill.
Step 3: Submit Required Documents
Mail the required proof of death, identity, and ownership to Freedom Mortgage's designated address.
Mail to:
Freedom Mortgage Corp
P.O. Box 50485
Indianapolis, IN 46250-0485
Step 4: Wait for Review
Freedom Mortgage typically reviews Successor in Interest requests within 30 days of receiving all required documents.
Step 5: Confirmation and Acknowledgment
Once your status is confirmed:
- Freedom Mortgage will send you an Acknowledgment Form.
- You must sign and return this form.
- Once returned, you will be authorized to receive communications, statements, and information about the loan.
Note: Being confirmed as a Successor in Interest does not make you personally liable for the loan unless you choose to formally assume it.
Required Documents
Documents Freedom Mortgage Requires
To be recognized as a Successor in Interest, you must prove three things: your identity, the borrower's death, and your ownership interest in the property.
1. Proof of Identity
| Document | Details |
|---|---|
| Government-issued photo ID | Driver's license, state ID, or passport of the successor |
2. Proof of Death
| Document | Details |
|---|---|
| Certified death certificate | Preferred method |
| Alternative proofs | Obituary, newspaper notice, or affidavit of death (if accepted by state law) |
3. Proof of Ownership Interest
The documents needed here depend on how the property was transferred.
| Situation | Likely Required Documents |
|---|---|
| Joint Tenant / Right of Survivorship | Recorded deed showing joint ownership + Death certificate |
| Transfer on Death / Beneficiary Deed | Recorded beneficiary deed |
| Inheritance (with Will) | Copy of the Will + Letters Testamentary (Executor appointment) + Executor's Deed (if applicable) |
| Inheritance (no Will) | Letters of Administration + Administrator's Deed or Court Order determining heirship |
| Trust | Trust Agreement, Certificate of Trust, or Trust Declaration |
| Divorce / Separation | Divorce decree + Quitclaim deed or property settlement agreement |
Note: Freedom Mortgage may require documents to be recorded with the county before they accept them.
Account Types
How Freedom Mortgage Handles the Loan
Mortgage Loans (Successor in Interest)
Unlike bank accounts that are frozen, a mortgage must continue to be paid.
- Liability: As a Successor in Interest, you are not personally liable for the debt unless you sign an assumption agreement.
- Foreclosure: However, the lender still has a lien on the property. If payments are not made, Freedom Mortgage can foreclose on the home.
- Access: Once confirmed as a Successor, you can access account info, receive statements, and request payoff quotes.
Timeline: {30 days for review}
Escrow Accounts
If the mortgage has an escrow account for taxes and insurance:
- Refunds: If the loan is paid off (e.g., by selling the house), any surplus in the escrow account is typically refunded to the estate or the Successor in Interest.
- Shortages: If taxes or insurance premiums increase, the monthly payment may go up.
Loan Assumption
If you wish to keep the property and put the loan in your name:
- You must apply for a Loan Assumption.
- This requires a credit check and income verification.
- Call (855) 690-5900 to discuss assumption options.
Timeline: {45–90 days for assumption processing}
State Considerations
How Your State Affects the Freedom Mortgage Process
Freedom Mortgage operates nationally, but property laws are state-specific.
- Probate vs. Non-Probate: In states allowing "Transfer on Death" deeds (like AZ, CO, TX), you may not need probate to prove ownership. In other states, you will likely need Letters Testamentary from probate court.
- Community Property: In states like CA, TX, and WA, surviving spouses may have automatic rights to the property, simplifying the documentation needed.
- Recording Requirements: Many states require you to record the death certificate or a new deed with the county recorder before the lender recognizes the transfer.
Key State Variations
| State | Probate Required? | Notable Rules |
|---|---|---|
| California | Varies | Spousal property petitions can speed up transfer to surviving spouse. |
| Texas | No (if TOD Deed used) | Transfer on Death Deed avoids probate; otherwise, affidavit of heirship may be used. |
| Florida | Yes (usually) | "Homestead" determination often required in probate. |
For detailed probate requirements, see our state and county probate guides.
Timelines
Timeline for Freedom Mortgage Estate Processing
| Step | Estimated Timeline | Key Factor |
|---|---|---|
| Initial Notification | Immediate | Call (855) 690-5900 |
| Document Gathering | {1–4 weeks} | Depends on county recording and probate speed |
| Freedom Mortgage Review | {30 days} | Statutory period for reviewing SII requests |
| Acknowledgment Form | {1–2 weeks} | Sent after review is complete |
| Loan Assumption (Optional) | {45–90 days} | Requires underwriting and credit approval |
Note: Delays often occur if documents (like deeds) are not properly recorded with the county before submission.
Tips & Pitfalls
Common Pitfalls and Tips
Keep Making Payments
The most critical mistake is stopping payments while waiting for paperwork.
- Risk: Late fees and credit reporting (against the estate) can occur. Eventually, foreclosure proceedings will start.
- Tip: Continue making payments from the estate account or your own funds (keep records for reimbursement) to keep the loan current.
"Successor" vs. "Borrower"
- Being a Successor in Interest gives you information rights but not financial liability.
- Being a Borrower (via assumption) makes you personally responsible for the debt.
- Tip: You do not have to assume the loan to keep the house in many cases (due to the Garn-St. Germain Act), provided you keep making payments.
Property Insurance
Ensure the homeowner's insurance policy is updated.
- If the policy lapses, Freedom Mortgage will purchase "force-placed" insurance, which is much more expensive and covers only the structure, not the contents.
Mailing Documents
- Always include the loan number on every page you mail.
- Use certified mail to track delivery to the Indianapolis PO Box.