So this morning I have been reading lots of Active Rain blogs! I came across a very sad story about a person whose wife passed away and the bank is now trying to foreclose on the property because they refuse to speak to anyone other than the person whose name the loan was in, which wasthe wife. The husband has repeatedly told the bank that his wife has passed away and that he needs to make payment on the loan. The bank automatically changed the loan, after finding out about the wife's death, to "The Estate of". The husband had gotten behind on a few payments after his wife's death due to the decrease in income. Because he got behind on the payments, when he called in to try and make arrangements to pay they wouldn't even talk to him since the loan was not in his name. They told him that unless four months worth of payments were received then the house will be foreclosed on in January. The mortgage has continued to fall behind due to the bank refusing to speak with the husband. So it's literally a catch 22. A very sad and unfortunate situation that could have been avoided.
So I encourage you to make sure that if you are married you check and make sure that both spouses are at least on the warranty deed and if possible the loan as well to save yourself from this horrible situation. Also having a life insurance policy that will pay off the balance of the mortgage in the event that one if you passes away is the best protection and doesn't cost much money to have.
Comments(0)