Mortgagee means the person who ______ the mortgage.

• A. Pays the mortgage
• B. Holds the mortgage
• C. Is a broker
• D. Borrower

Answer: (B)

Mortgagee is the lender—the party that provides the loan and holds the security interest in the property. The borrower pledges the property as collateral, and the mortgagee records a mortgage lien that remains in place until the loan is paid off. This holder has the right to receive payments and, if the borrower defaults, to take steps to recover the debt, including foreclosure. Paying the mortgage is the mortgagor’s duty, not the mortgagee; a broker arranges the loan, while the borrower is the one who borrows.