Where a bank holding a first mortgage over property in security for advances on a current account receives intimation of a second mortgage over the property, the priority of the bank as first mortgagee only extends to advances made before the date of the intimation, and all payments to the account after that date must be applied by the bank in reduction of the balance due to it at that date.
Citations:
[1912] UKHL 625, 50 SLR 62
Links:
Jurisdiction:
England and Wales
Banking
Updated: 25 April 2022; Ref: scu.619247
