Q: If my mortgage co sent me a letter stating my loan was paid in full and the deed is filed at the county clerks office
Do I still
Pay my loan?
A: If they filed a Release of the Deed of Trust, you are probably done. If it was a giant sized screw up, they’re still entitled to get paid, but good counsel probably gets you a favorable refi for cooperating and saving them the embarrassment and expense of a lawsuit.
A:
The law recognizes something called an "equitable mortgage" so even if a release was filed, it may not waive the obligation to pay back the borrowed money.
Mistakes happen more often than they probably should, and lenders, especially large, institutional ones, are not always quick to recognize their mistakes.
You're encouraged to seek legal counsel.
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