Understand Mortgage Documents Before Signing

Added February 11, 2008 by Ilyce R. Glink

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Summary: No one should ever sign his or her name to a mortgage loan or any other legal document without understanding exactly what the document says and what the transaction is all about. Mortgage documents can run several dozen pages, but by initialing each page, you're certifying that you have read and understand what each page says.

Q: I refinanced my house and the title guy had me sign a quick claim and deed of trust. He said because I had my married name on the title, it needed to be put in my maiden name.

A: You should contact the title company immediately to get copies of all of your documents.

After you close on the purchase of a property or complete a refinance, these documents are often collected into what is known as a "closing book." You should keep these documents as a record of the transaction, should something go wrong.

But let's get to the stranger part of your letter. You didn't include any information about being divorced, but the only legitimate reason I can think of why you would need to execute a quit claim deed from your married name into your maiden name is if you have been divorced and you have gone back to using your maiden name.

By executing a quit claim deed, you are essentially transferring any ownership interest you have in the property to yourself.

If you have not been divorced, then you should start to investigate what has happened and make sure you understand the transaction.

Which brings me to an important point: No one should ever sign his or her name to a legal document without understanding exactly what the document says and what the transaction is all about. I know that mortgage documents can run several dozen pages, and that you have to initial each page. But by initialing each page, you're certifying that you have read and understand what each page says.

If you don't understand what is on the page, then keep asking questions until you do understand.

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