The borrower servicing fee

Charge a recurring per-payment fee on top of P&I and escrow — set it when creating or editing a loan; it shows on statements, in cashflow, and collections are tracked per payment.

Updated July 11, 2026

You can charge the borrower a recurring servicing fee on each payment, the way a professional servicer does. It's separate from the platform's per-loan billing fee (see The per-loan servicing fee).

Where to set it

  • Creating a loan — in the wizard's last step, under Borrower Servicing Fee: enter the amount per payment and an optional invoice label (defaults to "Servicing fee").
  • Editing a loan — the same fields live under Edit loan → Borrower servicing fee.

How it behaves

  • The fee is added on top of P&I + escrow in the borrower's total minimum payment. It does not change the amortization schedule — it doesn't pay down principal.
  • It appears as a line item on statements, or rolled into one all-in total if you uncheck "itemize."
  • It rides along in cashflow — collected on notes you hold — so your scheduled monthly cashflow reflects the borrower's full payment.
  • Collecting it: when the borrower's remittance includes the fee on top of the installment, record the payment and direct the overpayment excess to fees — the fee dollars beyond any outstanding late charges are recorded on that payment as servicing fee collected (capped at the billed per-payment fee), and the Reports page's Servicing-Fee Income section totals your actual collections (billed shown alongside for reference). Payments posted before collected tracking shipped (July 2026) carry no collected figure — never estimated.

Some states regulate servicing fees and how they're disclosed. Check your state's rules before adding one.

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The borrower servicing fee · NoteHarbor Help