1. When does MIK transfer mortgages from Commercial bank?
Conditions for purchase is met when “MMC HFC” LLC can assess the loan profile and examine mortgage issuance of loan.
2. Is it possible to transfer loan duty to third party, when the borrower moves oversea?
Borrowers should include a Co- Borrower who meets the criteria of living in Mongolia as co-borrower.
3. What happens when the principal and co-borrower passed away? If rest of the family who have ability to pay, could they continue obligations?
If the mortgage loan was transferred to the “MIK HFC” LLC, first thing to do would be notify to the bank and make changes to the related contract.
If the borrower passes away when the life and accident insurance contract is valid, the insurance company pays an indemnity to cover the mortgage loan. If the indemnity does not cover the full repayment of the loan, the "Civil Code" provides for the liability of the inheritor in the amount inherited from the insured borrower, so it is possible to contract with the heirs to continue paying the mortgage loan.
4. Is it possible to remake a pledge certificate if the borrower loses their pledge certificate?
In this case, the pledge can be revoked and reissued by General Authority for State Registration implementing agency of Government of Mongolia.
1. When does MIK transfer mortgages from Commercial bank?
Conditions for purchase is met when “MMC HFC” LLC can assess the loan profile and examine mortgage aging after at least 3 months of loan repayments are made following issuance of loan.
2. Is it possible to transfer loan duty to third party, when the borrower moves oversea?
Borrowers should include a Co- Borrower who meets the criteria of living in Mongolia as co-borrower.
3. What happens when the principal and co-borrower passed away? If rest of the family who have ability to pay, could they continue obligations?
If the mortgage loan was transferred to the “MIK HFC” LLC, first thing to do would be notify to the bank and make changes to the related contract.
If the borrower passes away when the life and accident insurance contract is valid, the insurance company pays an indemnity to cover the mortgage loan. If the indemnity does not cover the full repayment of the loan, the "Civil Code" provides for the liability of the inheritor in the amount inherited from the insured borrower, so it is possible to contract with the heirs to continue paying the mortgage loan.
4. Could I pledge apartment for down payment which was bought by sale and purchase contract advance against the contract if it was gifted ?
The borrower can be pledge their own apartment for down payment that was transferred by sale and purchase contract, only.
5. Is it possible to remake a pledge certificate if the borrower loses their pledge certificate?
In this case, the pledge can be revoked and reissued by General Authority for State Registration implementing agency of Government of Mongolia.
1. Could I get a mortgage loan or other types of loan if our mortgage loan was bought by “MIK HFC” LLC?
Section 3.1.4 of the Housing Mortgage Financing Procedure of Mongol Bank states that “debt-to-income ratio (DIR) shall not exceed 45 percent of pre-tax income of a household”. Because DIR is an indicator of borrower’s debt burden, it is necessary to meet these requirements over the time life of the loan.
2. Two days after the scheduled loan payment date, the loan was repaid. However, bank said it is classified as an overdue loan and will be rejected by “MIK HFC” LLC. Is it accurate?
It is reasonable to say the contractual obligation has not been fulfilled if the loan payment has not paid on scheduled payment dates.
3. Is it normal, the lien on the collateral of a mortgage that been transferred to MIK is noted “Special note of court”?
This is normal as the note implies that State Registration Agency recorded the transfer of lien on the loan’s collateral.
1. Could I get a mortgage loan or other types of loan if our mortgage loan was bought by “MIK HFC” LLC?
Section 3.1.4 of the Housing Mortgage Financing Procedure of Mongol Bank states that “debt-to-income ratio (DIR) shall not exceed 45 percent of pre-tax income of a household”. Because DIR is an indicator of borrower’s debt burden, it is necessary to meet these requirements over the time life of the loan.
2. Two days after the scheduled loan payment date, the loan was repaid. However, bank said it is classified as an overdue loan and will be rejected by “MIK HFC” LLC. Is it accurate?
It is reasonable to say the contractual obligation has not been fulfilled if the loan payment has not paid on scheduled payment dates.
3. Is it normal, the lien on the collateral of a mortgage that been transferred to MIK is noted “Special note of court”?
This is normal as the note implies that State Registration Agency recorded the transfer of lien on the loan’s collateral.
