All well and good when the mortgage is sold and resold whole. Lots of mortgages were chopped up with one MBS holding the piece that gets the principle payments and another MBS holding the piece getting the interest payments
***MBS = mortgage backed security
I’ll bet some mortgages were cut into more than two pieces
“All well and good when the mortgage is sold and resold whole. Lots of mortgages were chopped up with one MBS holding the piece that gets the principle payments and another MBS holding the piece getting the interest payments
“***MBS = mortgage backed security
“I’ll bet some mortgages were cut into more than two pieces”
But even if the economic interests are severed and sold to different parties, there has to be a written assignment to the buyer of the principal revenue, interest revenue, etc. It’s just that the banks don’t want to have to be bothered with recording those assignments.