Can the bank just switch the name on the loan without notification?

Deal Score0

Seven years ago I was divorced. In the terms of the divorce, I
agreed to take over the mortgage payments- since I’m a stay-
at-home Mom we decided to keep the loan in his name. The
house transferred in my name. Now, the ex wanted to get a
loan and it seems he has too many outstanding loans. He went
to the bank and explained that I am paying for that one and
he may have mentioned that the house (which the loan is for
is in my name).

I paid my mortgage today and noticed that the name on
the receipt was no longer his, but mine. Can they do this?
His social security # is attached to the account as he
doesn’t have mine, but now my name is on the account
and if there are any previous delinquencies, they go against
my credit. I knew nothing about it and have not spoken to
the bank yet as I wanted to gather my thoughts first.

How can a bank just transfer the mortgage from one name
to another without notifying the other party- without any
representation by the other party?

1 Comment
  1. Reply
    Bernie K
    April 30, 2011 at 1:39 am

    They probably just took his name off the billing notice, however, his name is still on the note and deed of trust, and he’s still liable for the loan.
    Lenders like having more than one person on the note, it gives them a better chance of getting their money if there is a default.

    Leave a reply

    Register New Account
    Reset Password