1. Mortgage foreclosure, that is, mortgage guarantee foreclosure, refers to the guarantee company holding a financing license to deposit a certain amount of deposit with the bank, and the bank gives the guarantee company an authorized amount of n times the deposit. If the owner entrusts the guarantee company to redeem the building, the owner applies to use the credit line of the guarantee company in the cooperative bank to pay off the original mortgage loan, and the guarantee company provides the guarantee responsibility for the owner;
2. Cash redemption means that the owner borrows a sum of money from the guarantee company in his own name to pay off the bank's mortgage arrears. After the property right transaction is transferred, the owner will return the loan to the guarantee company after receiving the house payment.
The process of foreclosure is as follows:
3. Bank foreclosure process:
Apply for prepayment and print the repayment list → do the notarization of foreclosure entrustment → the owner applies for foreclosure loan, the customer applies for mortgage loan → the bank approves the loan → the bank issues a letter of commitment → the guarantee company issues a letter of guarantee → the bank issues a foreclosure loan to the guarantee company → the guarantee company repays the foreclosure money → the original title certificate is cashed out → cancellation;
4. Cash exchange process:
Apply for prepayment and print the repayment list → do foreclosure notarization → customers apply for mortgage loans → banks approve loans → banks issue commitment letters → guarantee companies approve loans → repay foreclosures → take the original title certificate → cancel (note: 7 copies are basically required for foreclosure notarization).