Who is the entity that primarily services a loan?

The entity that primarily services a loan is the mortgagee. In the context of a mortgage loan, the mortgagee is typically the lender or financial institution that provides the funds for the loan. They hold the mortgage on the property and are responsible for servicing the loan, which includes collecting payments, managing escrow accounts, and handling any issues related to the loan. This means the mortgagee ensures that all aspects of the loan are managed appropriately, maintaining communication with the borrower regarding payment schedules and other important information.

The mortgagor, on the other hand, is the borrower who receives the loan and agrees to repay it, but does not have the responsibility of servicing the loan. The trustor refers to a party who creates a trust, which is not relevant in the context of standard mortgage loans. An obligor is a broader term that applies to anyone who is bound by a contract to perform certain duties, but in the context of mortgages specifically, the mortgagee's role is focused on servicing the loan directly. Therefore, understanding the distinction between these roles helps clarify the functions and responsibilities within the mortgage lending process.