What is the bank's request to re-sign the mortgage contract?
1 Changes in relevant state policies: If the state changes relevant policies such as loans or mortgages, the bank will negotiate with the borrower to re-sign the mortgage contract. For example, according to the announcement of the central bank in 2020, the pricing benchmark of floating rate loans will be changed from the benchmark loan interest rate to LPR, so many mortgage contracts based on the benchmark loan interest rate need to be re-signed;
2. Incorrect mortgage contract: When some clauses in the mortgage contract are wrong or entered incorrectly, the bank will negotiate with the borrower to re-sign the loan contract. However, if the fixed loan interest rate is raised, the floating loan interest rate is raised or other terms are unfavorable to the borrower, the borrower may refuse to re-sign the loan contract. This contract shall come into effect when it is established according to law, and the bank has no right to request to re-sign the loan contract;
3 Loss of mortgage contract: It is rare for banks to lose mortgage contracts, but it is not without it. Re-signing a loan contract will not change the contents of the contract, such as the amount, interest rate, term and repayment method. If there is any change, the borrower may refuse to re-sign the loan contract.
In short, the bank's decision to re-sign the mortgage contract may be due to changes in relevant national policies, mistakes in the mortgage contract, and the loss of the mortgage contract. In order to avoid personal interests from being damaged, the borrower has the right to refuse the bank's request to re-sign the mortgage contract for other reasons in accordance with the principle of equality in the Contract Law of People's Republic of China (PRC), except for the need to re-sign the loan contract due to changes in relevant national policies.