Why won't the bank send mortgage papers on paid off loan? Almost 3 months later & still the run around?

Question

I paid off my house loan almost 3 months ago but still haven't got the paperwork from the bank yet. They said it could take about 30 days, but now I keep getting the run around. Today I was told that the bank hadn't received confirmation of the paid out yet. Then the nice lady explained that it was handled by some other department which (of course) was located somewhere else.

Then she graciously shared with me her hope that "they" would "eventually finish & send it soon." Thus enabling me to "hopefully" receive my mortgage paperwork "before too long"... (seriously)

Once a loan is repaid, isn't there some kind of legal requirement for banks to provide titles/papers/etc. in a reasonable amount of time ?

Answer 1

Arizona passed a law that they must get it for you in 30 days. People were so unhappy with the runaround.  

Answer 2

I think the time requirement might vary from state to state. Google slander of title or release of mortgage and your state and see what comes up.

Yes, payoffs and releases are usually handled by a department at the lender (reconveyance). It should not take any longer than 30-45 days, but somebody ought to be able to follow up on the progress as they must have some sort of tracking for payoffs that have been processed.

Good luck.