Purchasing a new home or property cannot be separated from home loan or mortgage. This financial system helps you buy dream residence without breaking your savings. The fact that mortgage and home loan is highly needed today, some companies use this chance to spread their business. SunTrust mortgage, which is the division of SunTrust Bank, comes to offer some products and features related to home loan. Among many features, now we are going to talk about SunTrust mortgage clause. Even though this term is really not popular, getting some information related to the mortgage clause will be beneficial especially if you are about to borrow some loan.
What Is SunTrust Mortgage Clause?
First and foremost, it is important to know SunTrust mortgage clause definition. Mortgage clause itself means a provision of property insurance that offers special protection which allows the mortgagee name to be attached in the policy. In simple words, SunTrust mortgage clause simply lets the mortgagee to get their name in the legal documents. This clause is needed because some companies are picky to ensure that everything goes under control. Due to some different mortgagee clauses, they need to make it really neat.
What is the function of SunTrust mortgage clause? Since this is between mortgagee and insurer, SunTrust home loan clause can be advantageous in some condition. In case the mortgaged property is lost, the insurance will be payable to the mortgagee as written in the policy.
Furthermore, SunTrust mortgage clause also allows continuing the coverage for the mortgagee’s benefit in case the insurance void the policy. To ensure everything goes well, the mortgagee is expected to let the insurer know any changes of mortgaged property.
Aside from keeping the insurer updated with any of your and mortgaged property information, there is another thing to keep in mind. As the mortgagee, it is also important to note that paying due premium is a must. Some insurers may require you to submit signed, statement of loss within the time. File the documents needed to make SunTrust mortgage clause and make sure you are protected by the insurance.
To be honest, the existence of SunTrust mortgage clause brings some benefits for the mortgage lender. If the mortgaged property is not insured, the lender has to loan a lot of money to purchase the property. In other words, the clause helps the mortgage company to keep their business in track as well as to minimize any loss.
Finally, home loan is neither a complicated nor simple thing to do. The key point to get smooth mortgage experience is by following the rules. SunTrust officer will be ready to keep you informed. For additional information, SunTrust mortgage provides wide array of products and features for borrowers. The products range from fixed to adjustable rate, jumbo loan until doctor loan. Before deciding to join specific mortgage program, it is highly recommended to consult with the officer about anything, ranging from the products to SunTrust mortgage clause. They will help you choose the best program based on your lifestyle and budget.