Legal Question in Banking Law in Georgia

What is a non-liable authorized party with access to the account in terms mortgage?

Asked on 2/10/13, 10:20 am

1 Answer from Attorneys

Non-liable = suggests that the party who is non-liable is not obligated to pay the mortgage. This could occur where a husband and wife or any two people buy a home. Both may be on the deed to the home, but only one is obligated to pay the mortgage. The one who is obligated is liable and the other is non-liable.

authorized party = mortgage lenders will not discuss anything related to a mortgage with any third-party, like an attorney, or relative unless that party is authorized. The person who is obligated on the mortgage would have had to give the mortgage company authority to speak with the other person.

access = I assume that the person who is not on the mortgage (i.e. the non-liable party), once they have been been given authorization, can speak to the mortgage company any time about the mortgage status.

Again, a common situation may be a husband and wife; maybe they are separated. Only husband is on the mortgage. The wife may want to make sure husband is timely making his payments - assuming that the wife has authorization, the mortgage lender can discuss the mortgage with the wife.

There are other possible scenarios but this should give you an idea.

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Answered on 2/14/13, 3:44 pm

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