How do I confirm the exact amount a mortgage lender is claiming against an estate? – North Carolina

Short Answer

In North Carolina, the cleanest way to confirm a mortgage lender’s exact claim amount for an estate is to request a written payoff statement under state law. A proper payoff request must identify the loan and property and include a payoff date (within 30 days), and the lender generally must send the payoff statement within 10 days. The payoff statement should break down the payoff figure (principal, interest, fees, and per‑diem interest) so the estate can verify what is actually being claimed.

Understanding the Problem

In a North Carolina probate administration, can a personal representative (or the estate’s attorney) confirm the exact amount a mortgage lender is asserting as a claim against the estate, especially when the lender’s claim paperwork is unclear or a specific lender representative is difficult to reach? The practical decision point is whether the estate needs a lender’s informal “balance” number or a formal payoff amount that can be relied on to administer the estate and, if needed, pay off the lien tied to real property.

Apply the Law

When the debt is secured by North Carolina real property (a deed of trust/mortgage), North Carolina law provides a structured way to obtain a payoff statement from the secured creditor. A payoff statement is designed to give a specific payoff amount and the information needed to calculate the payoff through a requested payoff date, including per‑diem interest and listed fees/charges. This is often the most reliable way to confirm the “exact amount” being claimed for estate administration purposes, because it forces the lender to put the payoff figure and its components in writing.

Key Requirements

Request must come from the right person: The request should be made by an “entitled person” (often the borrower/successor in interest) or an authorized agent (commonly the personal representative or the estate’s attorney acting with authority) so the lender can release payoff information without delay.
Request must be complete and specific: The request must identify the loan/secured obligation and the encumbered property and must state a specific payoff date (not more than 30 days out). Incomplete requests commonly trigger delays or generic responses.
Payoff statement should be itemized and usable: The payoff statement should show the payoff amount as of the preparation date, itemize fees/charges included, and provide per‑diem interest and payment instructions so the estate can verify the figure and plan payment.

What the Statutes Say

N.C. Gen. Stat. § 45-36.7 (Payoff statements; request, content, and timing) – Allows an entitled person (or authorized agent) to request a payoff statement with a payoff date (within 30 days) and generally requires the secured creditor to send the payoff statement within 10 days, including itemization and per‑diem interest information.

Analysis

Apply the Rule to the Facts: Here, the estate’s law firm received a creditor claim from a mortgage lender and needs the exact payoff/claim amount to administer the estate. Rather than relying on phone calls to a specific representative, the estate can use a written payoff request that identifies the loan and property and states a payoff date within 30 days. If the lender responds with a payoff statement that itemizes the payoff amount and provides per‑diem interest, the estate can confirm whether the creditor’s filed claim matches the payoff figure (or whether the claim appears overstated, missing credits, or includes fees that need clarification).

Process & Timing

Who files: The personal representative (or the estate’s attorney as authorized agent). Where: Directly to the secured creditor/mortgage servicer’s payoff department (not the Clerk of Superior Court). What: A written payoff statement request that includes (1) the requesting party’s name and authority, (2) where to send the statement, (3) enough information to identify the loan and the encumbered property, and (4) a payoff date within 30 days. When: As soon as the estate needs a reliable number for administration, sale planning, or claim review; the statute generally requires the lender to issue the payoff statement within 10 days after an effective, compliant request.
Verify the response: Compare the payoff statement’s line items (principal, interest, escrow/advances, late fees, corporate advances, attorney fees if any, and other charges) against the creditor claim and the estate’s records. If anything is unclear, request a corrected statement or written clarification tied to the same payoff date.
Document the file: Keep the payoff statement, proof of delivery of the request, and any follow-up correspondence in the estate administration file. If the estate later pays the lien, use the payoff statement’s payment instructions and keep proof of payment and any release/satisfaction documentation.

Exceptions & Pitfalls

Incomplete requests cause delays: Missing the payoff date, failing to identify the property/loan clearly, or not stating the requester’s authority often leads to a generic “current balance” response that is not a true payoff figure.
Payoff vs. claim amount mismatch: A creditor claim filed in the estate may not match a true payoff amount because interest accrues daily and some charges may be disputed or not yet posted. The payoff statement is usually the best snapshot for a specific date.
Servicer vs. owner confusion: The entity receiving the request may have transferred servicing or assigned the loan. If so, the response may identify the assignee or state that the recipient no longer has an interest, which helps the estate redirect the request promptly.
Privacy/authority roadblocks: Lenders often refuse to discuss details without proof of authority. Providing letters of administration (or other proof of appointment) and a clear authorization statement in the request can prevent repeated “we can’t talk to you” responses.

Conclusion

In North Carolina, the most reliable way to confirm the exact amount a mortgage lender is claiming against an estate is to request a written payoff statement that identifies the loan and property and specifies a payoff date within 30 days. A compliant request generally triggers a duty to send the payoff statement within 10 days, with itemized amounts and per‑diem interest so the estate can verify the figure. Next step: send a written payoff statement request to the servicer’s payoff department and calendar the 10‑day response window.

Talk to a Probate Attorney

If a mortgage lender has filed a claim against an estate and the payoff amount is unclear or difficult to confirm, our firm has experienced attorneys who can help sort out the paperwork, request the right documentation, and keep the estate administration on track. Call us today at [919-341-7055].

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.