How Valon Mortgage Payments Work and What to Do If You Fall Behind
What Valon is and how your payment flows through their system
Valon is a mortgage servicer—the company that collects your monthly payment, manages your escrow account (property taxes and insurance), and handles customer service for your loan. You may have a Valon mortgage payment because your original lender sold your loan to Valon, or because Valon was the servicer from the start. Either way, Valon does not own your loan; they collect the payment on behalf of whoever does.
When you send a payment to Valon, it arrives at their lockbox or online portal. Valon records the payment, applies it to principal and interest, updates your escrow account if taxes or insurance are due, and sends a statement. The payment itself is usually processed within one to three business days of receipt, depending on the method you used (mail, online portal, or automatic transfer).
Your Valon mortgage payment typically includes four parts: principal (the amount borrowed), interest (the cost of borrowing), property taxes, and homeowners insurance. Valon holds the tax and insurance money in escrow—a separate account they manage—and pays those bills on your behalf when they come due. If your property taxes or insurance rates change, Valon may adjust your monthly payment to keep the escrow account in balance.
Key Takeaways
- Valon is a mortgage servicer that collects your payment and manages escrow for taxes and insurance, but does not own your loan.
- Payments can be made online through Valon's portal, by mail to their lockbox, or by setting up automatic ACH transfers from your bank account.
- If you miss a payment, Valon will contact you within 36 days; a missed payment stays on your credit report for seven years.
- Loan modification, forbearance, and refinancing are real options if you cannot make your full payment, and Valon has a process for each.
- Valon's customer service phone line and online account portal are your first stop for payment problems, account questions, or requests to change your payment method.
How to make a Valon mortgage payment
You have three main ways to pay Valon each month. The fastest and most reliable is automatic ACH transfer from your bank account—you set it up once in Valon's online portal, and the payment leaves your account on the date you choose each month. ACH transfers clear within one to two business days and reduce the risk of a late payment because you do not have to remember to send it.
The second method is online payment through Valon's portal. Log in to your account, enter the amount, and choose a payment date. Valon processes online payments quickly, usually within one business day. Some online payments carry a small fee (typically $1 to $3), though Valon does not charge for ACH transfers.
The third method is mailing a check to Valon's lockbox address. Your payment coupon or statement shows the address. Mail takes five to seven business days to arrive, so you must send it well before your due date to avoid a late payment. If you mail a check, keep a copy of the front and back for your records.
You can also pay by phone by calling Valon's customer service line, though this method usually carries a fee and is slower than online or ACH. Your account statement lists the phone number and any fees that apply.
What happens if you miss a payment or pay late
A payment is late if it arrives after the due date shown on your statement. Most mortgages have a grace period of 10 to 15 days after the due date; if you pay within that window, you avoid a late fee. After the grace period ends, Valon charges a late fee (usually 4 to 6 percent of your monthly payment) and reports the late payment to credit bureaus.
If you miss a payment entirely, Valon will contact you by phone or mail within 36 days. They will ask you to bring the account current—meaning you pay the missed payment plus any late fees. At this stage, you still have options: you can catch up in one lump sum, ask about a payment plan to spread the missed amount over several months, or request forbearance (a temporary pause or reduction in payments while you stabilize your finances).
If you do not respond or make a payment within 120 days of the missed payment, Valon may begin foreclosure—a legal process to take back the home and sell it. The exact timeline varies by state; some states require Valon to wait longer before starting foreclosure. Once foreclosure begins, it appears on your credit report and can take six months to two years to complete, depending on state law and court schedules.
A missed payment stays on your credit report for seven years from the date you missed it. This damage to your credit score makes it harder and more expensive to borrow money in the future—for a car, a credit card, or another home.
Options if you cannot afford your full payment
If you see a payment coming that you cannot make, contact Valon before the due date. Do not wait until after you miss it; Valon has more options to help you if you reach out early. Call the number on your statement or log into your online account to find the right department.
Loan modification is a permanent change to your loan terms—Valon may lower your interest rate, extend the loan term, or add missed payments to the end of the loan. A modification takes four to six weeks to process and requires you to submit financial documents (pay stubs, tax returns, bank statements) to prove hardship. Not every borrower qualifies, and Valon will tell you whether modification is an option for your situation.
Forbearance is a temporary pause or reduction in payments, usually for three to 12 months. During forbearance, you do not make full payments, but the missed amount is added to the end of your loan or rolled into a new payment plan after forbearance ends. Forbearance does not forgive the debt; it delays it. You must request forbearance in writing or through Valon's portal, and Valon will send you a forbearance agreement that spells out the terms.
Refinancing means taking out a new loan to pay off your Valon mortgage. If interest rates have dropped or your credit score has improved, refinancing can lower your monthly payment. Refinancing requires a new application, a credit check, and an appraisal; it typically takes 30 to 45 days and involves closing costs (usually 2 to 5 percent of the loan amount). Refinancing is not a solution if you are already behind on payments, but it can help if you are current and want to reduce your payment going forward.
Understanding your Valon mortgage statement
Your Valon statement arrives each month and shows your payment due date, the amount due, and how your previous payment was applied. The statement breaks down your payment into principal, interest, property taxes, and insurance. It also shows your loan balance (the amount you still owe) and your escrow account balance.
The escrow account balance is important: if it is negative, Valon will add money to your next payment to bring it back to zero. If it is positive (a surplus), Valon may refund the extra money to you or apply it to your next payment, depending on your loan agreement and state law. Some states require Valon to refund escrow surpluses; others allow Valon to keep the money. Your statement will tell you what Valon is doing with any surplus.
If you do not understand a charge on your statement or believe an error was made, you can dispute it. Write to Valon's dispute address (listed on your statement) within 60 days of receiving the statement. Include a copy of the statement, explain what you believe is wrong, and ask Valon to investigate. Valon must respond within 30 days.
How to contact Valon and manage your account online
Valon's customer service team handles payment questions, account changes, and requests for forbearance or modification. The phone number is on your statement and on Valon's website. Call during business hours (usually Monday through Friday, 8 a.m. to 6 p.m. in your time zone) to speak with a representative. Have your loan number and recent statement ready.
You can also manage your account online through Valon's portal. Log in with your username and password to view your balance, make a payment, set up automatic ACH transfers, download statements, and submit requests for forbearance or modification. The portal is available 24/7, so you can check your account or make a payment at any time.
If you lose access to your online account or forget your password, Valon's website has a password reset tool. If you cannot reset it yourself, call customer service and they will help you regain access.
Frequently Asked Questions
Can I change my payment due date with Valon?
Yes. Log into your online account or call Valon's customer service to request a new due date. Valon can usually move your due date within the same month or to the following month, depending on when you request the change. The change takes effect on your next payment cycle.
What if I want to pay off my Valon mortgage early?
You can pay extra toward principal each month or make a lump-sum payment at any time. Some older mortgages have prepayment penalties (a fee for paying off early), but most modern mortgages do not. Check your loan documents or call Valon to confirm whether your loan has a prepayment penalty. If you pay off the loan, Valon will send you a payoff letter showing the exact amount needed to close the loan.
Does Valon report my payments to credit bureaus?
Yes. Valon reports your payment history to the three major credit bureaus (Equifax, Experian, and TransUnion). On-time payments build your credit score; late payments damage it. Only missed payments (30 days or more past due) appear on your credit report, not payments made within the grace period.
What if I receive a notice that Valon sold my loan to another servicer?
Loan sales happen regularly and do not affect your loan terms or interest rate. Your new servicer will send you instructions on where to send payments going forward. Continue paying Valon until the new servicer confirms they have received your loan and tells you to pay them instead. Do not pay both servicers.
Can Valon increase my payment without warning?
Valon can increase your payment if your property taxes or homeowners insurance rates go up, because these amounts are held in escrow and must be paid when bills arrive. Valon must notify you of any payment change at least 10 days before the new amount is due. If you believe the increase is wrong, you can dispute it by contacting Valon with your tax bill or insurance declaration.