Skip to content

Foreclose Even if Keeping Up w/ Payments?

Answered by: 

Question: 
The Deed of Trust says that death is considered default. The dead borrower's family is keeping up with the payments but causing major damage to the house (appraisal conducted shows this). Can the bank foreclose even if the payments are being kept up by the family? If so, do you have to wait 120 days if the borrower is dead? Also, an estate was opened but the bank didn't make a claim, and the estate is now closed.
Answer: 

You really need to talk to your legal counsel. Since, an estate was opened but the bank didn't make a claim, and the estate is now closed you may have no recourse for collection.

First published on 05/26/2014

Filed under: 
Filed under lending as: 

Banker Store View All

From training, policies, forms, and publications, to office products and occasional gifts, it’s available here:

Banker Store

hot right now

image description

Looking for effective, convenient training on a particular subject?

BOL Learning Connect offers more than 200 courses ON-DEMAND or on CD ROM from AML to Reg Z and every topic in between.

Search Topics