Legal Question in Real Estate Law in California

It is likely that the lender has declared the mortgage to be in default. That would explain why the lender won't take a one-month payment or some lesser amount than the entire balance currently due. The foreclosure process is probably already under way.

Foreclosures are almost inevitable for people who have borrowed more than they can repay.

Someone who has owned a home since 1972 should have paid it off by now. A 30-year mortgage would have been burned in 2002. She has been following a popular, but somewhat risky, practice of borrowing out the equity and living on it.

There are some programs that can help a small percentage of homeowners who are in over their heads temporarily due to the economy, or whatever. This woman stands in high risk of foreclosure, perhaps within a few months, and she herself should face that likelihood with aggressive efforts to get the lender to restructure her loan. Otherwise, she is going to join the substantial and ever-growing ranks of former homeowners.

To answer your question directly, most deeds of trust contain what is called an "acceleration clause." That clause states that if a payment is late or defaulted on, the entire remaining balance becomes due and payable. Courts have upheld these clauses, so the bank is well within the law to refuse a partial payment if a default has triggered this clause, and the bank is well within the law to require the entire remaining amount due.

There is an exception to this, under the Civil Code, in which you can get a reinstatement, but you do not provide enough information at this time for me to determine whether you can use that option.