Who is the beneficiary in a deed of trust transaction?

Question

Quizplus · Accepted Answer

The beneficiary in a deed of trust transaction is the creditor. The creditor lends money to the debtor (the borrower) and the deed of trust secures the loan by making the property collateral. The trustee (a neutral third party) holds the deed of trust and can sell the property if the borrower defaults on the loan. The trustor is the borrower who is granting the trustee the power to sell the property if necessary.

Who Is the Beneficiary in a Deed of Trust Transaction