Which Lenders Allow Mortgage Recasting? (2026 List)
Last updated 7 min read By the Mortgage Recast Calculators team
Most major mortgage servicers allow recasting on eligible conventional loans, but none of them is required to. Recasting is servicer and investor policy, not a borrower right. Freddie Mac's Single-Family Seller/Servicer Guide sets out how curtailments are applied in section 8103.3, Application of payments, but whether a curtailment is followed by a re-amortization is left to the servicer. Mr. Cooper says outright that making the payment does not guarantee approval, and Chase says it retains the right to stop offering recasts at any time. That discretion is why terms vary so much from one company to the next. One servicer publishes neither a fee nor a minimum; another wants 10 percent of your balance, $250, and a mailed bank statement.
We checked the official pages, help centers, and fee schedules of ten major servicers in August 2026. Here is what each one allows.
Recast policies at 10 major servicers (2026)
| Servicer | Minimum principal payment | Fee | Policy note |
|---|---|---|---|
| Chase | None stated | None stated ("Fees may apply") | Chase says no fees or application are needed, but its page also carries a "Fees may apply" disclaimer; request by phone; FHA/VA/USDA excluded |
| Wells Fargo | $10,000 (official page); $20,000 widely reported for standard servicing | $0 | Official page covers the jumbo purchase context; call to confirm standard servicing terms |
| Bank of America | $5,000 in curtailments over the prior 6 months | $0 | One recast per rolling 12 months; processing time not published |
| Rocket Mortgage | $10,000, cumulative within a 12-month window | $250 | Conforming Fannie/Freddie only; request by phone; processing time not published |
| Mr. Cooper | $10,000 | Up to $250, non-refundable | Submit the request form before paying; up to 90 days processing |
| U.S. Bank | Not published | $250 | Fee from official fee matrix; minimum and process require a call |
| PNC | $10,000+ | Not published | Calls it a Principal Reduction Modification; loan at least 6 months old |
| Truist | 10% of unpaid principal balance | $250 ($0 in NY; NC varies) | Mailed written request with bank statement; 30 to 60 business days |
| Newrez / Shellpoint | Greater of $10,000 or 10% of balance | $250 (not all states) | About 30 days; agreement signed via DocuSign |
| LoanDepot | Not published ($5,000 reported, unverified) | $250 | Fee from official schedule; confirm minimum by phone |
The first five servicers each have a dedicated guide on this site; click the name for the full policy, phone numbers, and step-by-step process. For U.S. Bank, PNC, Truist, Newrez, and LoanDepot, our recast fees page holds the details, including the exact source documents. Where a figure is marked "not published," that means the servicer has no official public documentation of it; call and confirm before sending funds.
Loans that generally cannot be recast at any lender
Some exclusions have nothing to do with which servicer you have. FHA, VA, and USDA loans generally cannot be recast at any servicer, because those government programs include no voluntary re-amortization mechanism after a lump-sum paydown. Every servicer on the list above that publishes an exclusion list names government-backed loans on it, and Mr. Cooper extends its list to GNMA loans, interest-only loans, Option ARMs, and commercial loans. Be precise about what that means: it is a gap in the program rules, not an explicit "recasting prohibited" clause in a single citable HUD or VA handbook section, and no major servicer we reviewed offers it. Asking your own servicer still costs nothing.
If you have a government-backed loan, you still have options for lowering costs, just not a recast:
- FHA loans: extra principal payments cut total interest, and the FHA streamline refinance is the program's path to a lower payment.
- VA loans: extra principal payments, or the VA IRRRL streamline refinance.
- Conventional loans: these are the loans recasting was built for; both Fannie Mae and Freddie Mac have explicit servicing machinery for re-amortization.
What if my servicer is not listed?
Hundreds of smaller banks, credit unions, and subservicers handle mortgages, and most publish nothing about recasting. That does not mean they refuse; it means you have to ask. Call the servicing number on your monthly statement and work through this script:
- "Do you offer mortgage recasting? You might call it re-amortization or a principal reduction modification."
- "What is the minimum principal payment required, and can it be cumulative or must it be one lump sum?"
- "What is the fee, and is it refundable if the recast is not approved?"
- "Does my loan type qualify? It is a [conventional / FHA / VA / jumbo] loan."
- "Do I submit the request before or after making the principal payment?"
- "How long does processing take, and when would the new payment take effect?"
- "Do you need the request in writing, and where do I send it?"
If they want the request in writing, our guide to how mortgage recasting works includes a sample recast request letter you can copy and adapt. Get every answer in writing before moving money, especially where the fee is non-refundable.
What every servicer has in common
Terms differ, but four rules hold essentially everywhere: government-backed loans (FHA/VA/USDA) are excluded; the loan investor's guidelines (Fannie Mae or Freddie Mac) govern approval; the loan must be current; and a recast never changes your rate or payoff date, only the monthly principal and interest payment. If a lower rate or a different term is what you actually need, compare a recast against a refinance first, and use our free mortgage recast calculator to see what a lump sum would do to your specific payment before you call anyone.