Document background
The Mortgage Servicing Agreement is essential when a financial institution or investor outsources the administration and management of mortgage loans to a specialized servicer in Belgium. This agreement becomes necessary in various scenarios, including portfolio acquisitions, securitization transactions, or when institutions decide to separate loan ownership from loan servicing. The document comprehensively outlines the servicer's duties, including payment collection, borrower communication, default management, and regulatory compliance under Belgian law. It addresses crucial aspects such as reporting requirements, service levels, fee structures, and regulatory obligations, particularly under the Belgian Mortgage Credit Act and EU regulations. The agreement is designed to protect both the mortgage owner's interests and ensure proper loan administration while maintaining compliance with Belgian financial services regulations, data protection laws, and consumer protection requirements.
