Regardless of what label you put on them, they are both forms of a contractor. You agreed to borrow mean and they agreed to lend it to you. You agreed to pay it back at a certain interest rate and payment schedule. You gave them a lien on your property that has certain consequences if you fail to repay the loan.
First, the firm is a debt relief agency according to the U.S. Bankruptcy Code. We help people file for bankruptcy. We also do other stuff and we do it well, but Congress wants me to post this notice. Second, nothing on this site is legal advice. You are not my client unless you enter into a written agreement signed by you and me.
It is hard to imagine a scenario where a note and deed of trust would not be enforceable as a contract. A contract requires offer, acceptance, and consideration. so, as Mr. Starrett said, the bank's offer was to lend you money to purchase a home provided you pay back the loan with interest and grant a security interest in the home. You accepted when you took the money and signed the loan docs. There is consideration for both sides: you get money now and the bank gets a lot of interest over time. The bank's performance is essentially done once the loan is funded.
I am not your attorney. My response is provided for informational purposes only and does not constitute legal advice.
The offer is to lend you money in exchange for a promissory note and security interest (aka lien) on your house. The deed of trust is the security instrument that evidences the lien.
This usually becomes more clear after a borrower files bankruptcy. Bankruptcy can eliminate the debt (the note), but it won't eliminate the lien on the house (deed of trust). The surviving deed of trust allows the bank to foreclose on a house after the borrow files bankruptcy.
Sent from my mobile device. Please excuse the brevity.
Information applicable in Washington State. This information is not intended to create, and receipt or viewing does not constitute, an attorney-client relationship. Arrow Law Group, PLLC is a debt relief agency as defined by the United States Bankruptcy Code. We help people file for relief under Chapter 7 and Chapter 13 of the United States Bankruptcy Code.