Scenario
Agnes and her boyfriend purchased a condo 2 years ago and obtained the loan under Agnes’ name (third party loan). Unfortunately their relationship came to an end. Agnes requested her boyfriend to assign the undivided half shares, interest and rights in the Property to her name and she was advised that this will not affect the loan facility.
Mythbusted.
Her boyfriend’s undivided half shares, interest and rights in the Property can be assigned to Agnes via Deed of Assignment (by way of transfer). However, since the Property’s has already been assigned to bank as security for the loan; Agnes must first obtain prior written approval of the Bank before the assignment the boyfriend’s undivided half shares to herself can be done. Upon bank’s written approval, the loan as well as the security documents need to be restructured and new set of loan documentations are to be executed in order to effect the aforesaid assignment of undivided half shares.
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