A deed of trust is a document which pledges real property to secure a loan, used instead of a mortgage in certain states. A deed of trust involves a third party called a trustee, usually an attorney of officer of the lender, who acts on behalf of the lender. When you sign a deed of trust, you in effect are giving a trustee title to the property, but you hold the rights and privileges to use and live in or on the property. If the loan becomes delinquent the beneficiary can file a notice of default and, if the loan is not brought current, can demand that the trustee begin foreclosure on the property so that the beneficiary (lender) may either be paid or obtain title. Unlike a mortgage, a deed of trust also gives the trustee the right to foreclose on your property without taking you to court first.
An agreement modifying a promissory note and deed of trust should be signed by both parties to the transaction and recorded in the office of the register of deeds and mortgages where the original deed of trust was recorded.
A Kentucky Agreement to Change or Modify Interest Rate, Maturity Date, and Payment Schedule of Promissory Note Secured by a Deed of Trust is a legal document that allows parties to alter the terms of a promissory note and the corresponding deed of trust that secures the loan. This agreement is commonly used when borrowers and lenders agree to modify the existing terms to better suit their current financial situation or address unforeseen circumstances. Keywords: Kentucky Agreement, Change Interest Rate, Modify Maturity Date, Payment Schedule, Promissory Note, Deed of Trust, Legal Document, Borrowers, Lenders, Financial Situation, Unforeseen Circumstances. Different types of Kentucky Agreement to Change or Modify Interest Rate, Maturity Date, and Payment Schedule of Promissory Note Secured by a Deed of Trust may include: 1. Interest Rate Modification Agreement: This type of agreement focuses on modifying the interest rate specified in the original promissory note. Parties may choose to increase or decrease the interest rate based on market conditions or other factors. 2. Maturity Date Extension Agreement: In this agreement, the parties involved decide to extend the maturity date, which is the final due date for the repayment of the promissory note. This modification allows borrowers to have additional time to repay the loan if they are unable to meet the original deadline. 3. Payment Schedule Adjustment Agreement: This agreement aims to adjust the payment schedule outlined in the original promissory note. Parties may agree to change the frequency, amount, or due dates of loan installments to better align with the borrower's financial capabilities. 4. Comprehensive Modification Agreement: This type of agreement encompasses changes to all three aspects mentioned, including the interest rate, maturity date, and payment schedule. Parties may decide to modify multiple terms simultaneously to create a more suitable repayment structure for both parties. It is important to note that these types of agreements may have additional variations and unique names depending on the specific circumstances and requirements outlined in the original promissory note and deed of trust. It is crucial for borrowers and lenders to carefully review and negotiate the terms of the agreement, seeking legal advice if necessary, to ensure compliance and protection of their respective rights and interests.
