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A common practice among some lenders is over-escrowing their customers. While it might be nice to receive those surprise checks at the end of the year when a lender refunds the overpaid escrow back to you, wouldn’t it be nicer not to have to overpay in the first place? After all, most lenders don’t even pay interest on the money that they hold for you. Plus, you might have expenses now that you could use the money for.
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