Under a deed in lieu of foreclosure, a lender agrees to surrender the deed to mortgaged property to the mortgagor and to forego payments on the loan.

Name: Under a deed in lieu of foreclosure, a lender agrees to surrender the deed to mortgaged property to the mortgagor and to forego payments on the loan.
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In a deed in lieu of foreclosure, the borrower (mortgagor) surrenders the deed to the lender to avoid foreclosure, not the other way around. The lender forgives the remaining mortgage debt.

Under a Deed in Lieu of Foreclosure, a Lender Agrees