Should I Worry?
I recently negotiated with a bank on a short sale. The bank agreed to accept a lower payoff. I received a letter stating upon receipt of funds the account would be listed as “settled/paid in full”. I overnighted the funds by the due date and the bank orally acknowledged receipt.
The thing that concerns me is I have not received anything official back from the bank and nothing has shown up on county records. I have since sold the property to another investor. It has been almost three weeks since the bank received funds. Should I be concern or is this normal for the bank to drag their feet recording a satisfaction?
Thanks
Beachboy
I would definately call and inquire. However, it can sometimes get quite lengthy.
The problem is I have called. I spent two hours on the phone yesterday and talked to six departments. Got the complete run-around and wound up at the original department. I’m not sure if I should worry (it’s 4AM at this writing) or if this is normal.
Thanks,
Beachboy
First call the bank, speak to someone high up in the organization and get some straight answers.
Additionally, check to make sure the lien was released at the courthouse. I assume this would have had to be done to complete the sale.
If the lein was released then the sale should be ok.
[addsig]
I'll try again on monday...but nothing has been recorded yet...that is what worries me.
thanks,
Beachboy
You indicate that you overnighted the funds.... did you have a closing? Did you have an agreement as to who was to prepare and record the release?
What does your attorney say?
(I had a situation with Fairbanks that took about 5 months to resolve.... I paid off the mortgage and they, irrespective of applicable law, failed to prepare/record the release)
There was no agreement prior to payoff as to who was responsible for preparing the release of lien (this is where I screwed up). The closing for the purchase was simply a deed from the seller to my trust. An attorney closed the subsequent sale to another investor and the investor received title insurance. I told the attorney what had taken place, showed him the acceptance letter from the bank and the receipt from the cashiers check and he was OK with it. I am hesitant to call the bank again since the property is already sold.
Beachboy