What is a mortgage?
There is a mortgage when the subject is usually a mortgage creditor, such as a bank, forced to buy a mortgage that he sold to a third party as investment security. This happens because the creditor has not fulfilled certain specifications concerning the original loan. As a result, a third -party buyer is often stuck with an unnecessary investment vehicle, because the chances of repaying the original mortgage loan are small. The creditors may avoid the possibility that the mortgage will return by compliance with the right lending instructions and ensure that the debtors are sufficiently reliable to repay the original loan.
mortgages are provided by banks and other institutional creditors as loans to homeowners who pay off the cost of loan in installments and interest payments until the house is paid off. Banks and other creditors often sell these mortgage loans, usually packed together, as investment securities on the secondary market. Should the house owner default for mortgage payments, loadEdna belongs to an investor who bought a mortgage from the creditor. Such a situation often requires a mortgage from the creditor.
When a mortgage is ordered, it is usually a regulatory body that deals with investment securities. If this regulatory body finds that creditors have been involved in deceptive practices on housing loans and then sold these loans to other investors, they may decide to be a return back. In this case, the creditor assures responsibility for the loan.
It is important to realize that the mortgage that returns can be if the creditor proves that it is in a way that failed to observe industry standards. All investments have risks and the investor cannot demand back back simply because investments in the secondary market mortgage will not meet expectations. In the Addice, if there is a chance that the loan can still be renewed or partially investorsThey could not be able to get the full value of the mortgage in the put-back.
Mortgage creditors who are forced to buy a mortgage into a mortgage were generally negligent or even ruthless in their actions. For example, creditors who were forced to carry out a put-back were found to lie to the assessment of the house. They could also pretend to the poorer members of the company with high interest loans that debtors could not repay. Regardless of the circumstance, the entrepreneur can cause significant damage to the rental bank, which in turn can damage the economy in general.