Satisfaction Cancellation - Release of Mortgage - by Corporate Lender - Oklahoma 2025

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The general rule is that the satisfaction must be in proper written format and recorded to provide notice of the satisfaction. If the lender fails to record a satisfaction within set time limits, the lender may be responsible for damages set by statute for failure to timely cancel the lien.
You would lose your lien priority if the Mortgage is not recorded. So if he ends up with a judgment, other form of lien, or takes out another Mortgage, unbeknownst to you, you would lose the equity in his home as collateral. And who is he trying to impress?
That a mortgage is not recorded does not prohibit the commencement of a mortgage foreclosure action. The mortgage contract between the borrower and the lender is no more binding when it is recorded and so legal action can be taken.
If the lender fails to record a satisfaction within set time limits, the lender may be responsible for damages set by statute for failure to timely cancel the lien.
What Is the Difference Between a Release and a Satisfaction of Mortgage? A release is synonymous to a satisfaction of mortgage since they indicate the borrower has repaid their mortgage loan in full and the lien on the property has been lifted.
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Negligence: Breach of the lender duty of care that leads to damage such as financial trouble for the borrower.
The lender provides a Letter of Satisfaction to the mortgagor upon the full repayment of a loan. This document serves as proof that the loan has been paid in full. It confirms the completion of the borrowers obligation under the loan agreement.
A defeasance clause is a term within a mortgage contract that states the propertys title will be transferred to the borrower (mortgagor) when they satisfy payment conditions from the lender (mortgagee).

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