13 Jan What Is A Mortgage?
What is a mortgage? The term mortgage is derived from two French words mort which means dead and gadge which means pledge. A pledge is a promise and we know that death signifies the end. So a mortgage is a pledge of real property (land) as a security interest (the money you receive in exchange for a lien against your land) until death.
The death occurs in one of two ways. Either the security interest or creditor’s right dies upon the completion of the full loan payment or the debtor’s interest dies upon foreclosure for non-payment. Back in the 17th Century the French felt it was doubtful that one could pay the mortgage in full. This unfortunately to appears be true today. My hope is that Congress will wake up and modify the laws to protect the homeowner.
Written by Kansas City Bankruptcy Attorney, Rachel Lynn Foley.