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pranilrao
New Member

My mortgage was moved to a new servicer in March 2020. In this case, what should I enter as the loan balance for the original mortgage provider?

 
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1 Reply
ToddL99
Expert Alumni

My mortgage was moved to a new servicer in March 2020. In this case, what should I enter as the loan balance for the original mortgage provider?

Use $1 as the ending mortgage principal balance for the original lender's 1098. 

 

This will not have any effect on your tax calculation and will not generate an error in either TurboTax or with the IRS, From an economic perspective, it is accurate - you owed virtually nothing on this mortgage at the end of 2020. 

  

There are many places in TurboTax where you must make a non-zero entry, primarily to let the program know that you answered the question and that the answer makes some sense.  

  

In this case, entering "$1" tells the program that you didn't forget to answer the question and that you had at least some amount of a mortgage loan balance to justify claiming an interest deduction. 

 

  What do I do if I have multiple 1098s from refinancing my home debt? 

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