The “all monies” approach to drafting mortgages that secure loans

A common approach to drafting mortgages that secure loans is the “all monies” mortgage approach, which involves the mortgage not specifying a particular debt to be secured, but rather, stating that “all monies owing by the mortgagor to the mortgagee” are secured by the mortgage. Typically, these mortgages have the great majority of their terms contained in a lengthy registered memorandum. Usually, matters such as the amount, term and interest rate for the loan that is being secured by the mortgage will not appear in an “all monies” mortgage, but are left to be dealt with in a separate loan agreement.

Legal practitioners are very likely to encounter “all monies” mortgages in practice. This guidance note considers some practical aspects of using the “all monies” mortgage approach by exploring the pros and cons of “all monies” mortgages, to assist legal practitioners in drafting, reviewing or advising on such mortgages.

See The “all monies” approach to drafting mortgages that secure loans.