QUOTE (MarkKruse @ Dec 13 2009, 02:03 PM) Hi Jim.
You seem to be asking two separate questions here:
1) How to make sure the AFS payments are going to the original loan institution. A combined bank account where only the lending institution is allowed to make withdrawals is a reasonable approach. It is also extremely prudent if your seller has very little "skin in the game".
2) How to make the payments in your AFS match the payments in the original mortgage. When you write up your AFS agreement, you will attach an AFS Financial Schedule document. This outlines the principal, interest rate, payments, term, etc. You can set it up with exactly the same conditions as the underlying mortgage.
Hope that helps,
Mark
Thanks Mark. Setting up the joint account seems the best. I will work out the details on the payment side. It`s a variable, interest only, and the payments change when the interest rate changes, but if its coming out of the joint account its easy to keep track of without having to communicate with the seller monthly.