Is it legal for GMAC to transfer mortgage loans?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
Is it legal for GMAC to transfer mortgage loans?
I had a mortgage loan with GMAC and they transferred the loan without prior notice to me. Should I be concerned?
Asked on October 26, 2010 under Real Estate Law, Georgia
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 13 years ago | Contributor
Generally, the holder of a loan is not required to provide notice of transferring or assigning a loan unless the loan documents specifically require it to. Don't worry though; the transferee (the company taking the loan) can only get those rights which GMAC had to transfer--i.e. GMAC can't give it anything it did not itself have. That means that the transferee will hold the loan and be paid by you under the exact same terms that GMAC was: same principal, same interest, same payment date, same payments, etc. Neither party to a contract--and a loan is essentially a contract--can unilaterally alter it without the approval/agreement of the other party, so the transferee cannot change the terms on you.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.