The Lender’s Arsenal: Loan Documents
The documents you sign are designed to ensure the bank will be paid. Never sign a blank form or a date-less cheque.
- DP Note: A one-page “I Owe You” that allows the bank to get a fast legal judgment against you.
- Asset Locks: Deeds of Mortgage, Hypothecation, or Pledge that give the bank the power to seize your stuff.
- The Enforcer: A Power of Attorney (PoA) that lets the bank act as you to sell your property if you default.
Watch this video to see where the bank “hides its teeth” in those 50 pages of legal jargon.