Posted By: KTMiteComply
Mortgage w/Future Adv Clause - now Closed End - 10/30/12 05:37 PM
I posted this in the State specific forum, but haven't got any hits yets...was wondering if anybody here might have an idea on this...
We have a loan that was a HELOC and a Mortgage with Future Advance Clause was used. Due to some hardships and the death of the husband, the customer had to payoff the HELOC and do a closed end 15 year Fixed Mtg. The Loan Officer pulled the HELOC Mortgage over from the previous file...is that acceptable since it has the Future Advance Clause in there? Shouldn't a new Mortgage without this clause as well as the husband's name removed have been done and recorded?
Thank you
We have a loan that was a HELOC and a Mortgage with Future Advance Clause was used. Due to some hardships and the death of the husband, the customer had to payoff the HELOC and do a closed end 15 year Fixed Mtg. The Loan Officer pulled the HELOC Mortgage over from the previous file...is that acceptable since it has the Future Advance Clause in there? Shouldn't a new Mortgage without this clause as well as the husband's name removed have been done and recorded?
Thank you