Q359
Which one of the following statements is correct?
A.
Foreclosure action cannot be taken till a notice is served on the policyholder
AnswerB.
When a foreclosure action is taken, nothing is payable to the policyholder
C.
Both the statements above are correct
D.
Both the statements above are wrong
Answer: Option A
Solution
Answer: Option A
Solution:
Foreclosure action cannot be taken till a notice is served on the policyholder. Foreclosure” is just the series of steps a lender has to take in order to force the sale of such property and use the sale proceeds to recover its unpaid debt.