What is the law regarding a change to a mortgage modification?

Get Legal Help Today

 Secured with SHA-256 Encryption

What is the law regarding a change to a mortgage modification?

I had my mortgage loan remodified. Interest rate on paperwork we signed was 3.5%. I have made 2 payments since then and yesterday I received a letter stating that there was a mistake made and the interest rate is higher. By law, do I have to go by the higher rate?

Asked on August 7, 2012 under Real Estate Law, Virginia

Answers:

M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney

Answered 8 years ago | Contributor

Please take the documents to an attorney to review as soon as possible.  A modification just means that you are sconsenting to a change in your note and mortgage lowering your interest rate.  It creates a whole new contract and it appears here that you signed off on what you thought was agreed to. Your contract will be binding absent other factors not included here.  Get help.  Now.  Good luck.


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.

Get Legal Help Today

Find the right lawyer for your legal issue.

 Secured with SHA-256 Encryption