A servicing transfer is when the responsibility for collecting payments, managing escrow accounts, and handling other aspects of loan servicing is moved from one lender or servicer to another. This is regulated by RESPA, which requires timely notification to borrowers.

“A servicing transfer is the transfer of the right to collect payments and service a mortgage loan from one servicer to another.”

— CFPB, RESPA Servicing Transfer Disclosures