Question

In this writing assignment, you will argue whether a bank should have the legal right to assign a mortgage to a third party.

Deliverables:

A 150-word (2-3 paragraph) paper

Step 1: Write a persuasive statement.

Write a short persuasive statement either supporting or opposing a bank's right to assign a mortgage to a third party (for example, a third-party financial institution).

Answer 1

Running Head: BANK’S RIGHT TO ASSIGN A MORTGAGE TO A THIRD PARTY              

Assignment of mortgage refers to an agreement to transfer loan obligations by a borrower to a third party. The new lender assumes the rights and duties related to the mortgage agreement. Its a bank’s right to assign a mortgage to a financial institution, as it permits buyers to obtain a house without having to go through the procedure of paperwork of dealing with a bank or a lending institution for a loan. This is because they already have the previous party’s mortgage duties assigned to them (Zacks, 2015).

Assigning of mortgage is vital regarding saving time. It assists in easing the bureaucracy related to the entire mortgage process followed when banks are directly used in the place of a financial institution. A majority of banks know the importance of mortgage assignment and provide special packages for the transfer process to avoid slowing down the process of awarding mortgages.

The banks have the right to dole out a mortgage to a reputable financial institution that performs all the paperwork when the mortgage is being assigned. An appropriate assignment requires proper documentation to show the record of the entire process and allow double checking by all the parties. The documents contain the names of the borrower, the amount of the mortgage issued and the date the mortgage was dated and filed. A majority of the assignments arrangements provide a legal description of the property on legal documents. All these documents are vital a bank that is exercising the right to assign a mortgage to the third party.