§20.13 - Termination of the Mortgage

• Jurisdiction: Washington

§20.13TERMINATION OF THE MORTGAGE

This section discusses the circumstances determining when a mortgage terminates.

(1) Payment

If the mortgagor pays the total principal and interest due and it is accepted on or before the due date, the obligation is extinguished and the mortgage is terminated automatically. Note that the termination or satisfaction of a mortgage should be recorded to protect the paying mortgagor.

Tender on or before maturity. "[A] lender is not obligated to accept prepayment of a loan prior to its maturity date." Rodgers v. Rainier Nat'l Bank, 111 Wn.2d 232, 236, 757 P.2d 976 (1988); see also George v. Fowler, 96 Wn.App. 187, 978 P.2d 565 (1999), review denied, 139 Wn.2d 1024 (2000). Thus, there is no right to prepay the obligation unless the terms of the obligation specifically so provide. If, however, there is a default and the mortgagee/creditor elects to accelerate the debt, the mortgagor/debtor may pay the amount for the debt due at that time. After acceleration, the debtor need not pay any...