How far in advance must the transferor's notice be sent for a servicing transfer?

The correct duration for the transferor's notice to be sent when a servicing transfer occurs is at least 15 days. This requirement is established to ensure that borrowers are adequately informed ahead of the change in the servicing of their loan. The notice serves to provide clarity and continuity in communications, allowing borrowers to be aware of whom to contact for any questions or issues regarding their mortgage.

This 15-day notice period is intended to protect borrowers by enabling them to familiarize themselves with the new servicer and any potential changes in payment procedures or customer service protocols. In lending practices, clear communication and transparency are critical elements in maintaining trust and ensuring that borrowers are not left in confusion during the transition period.