Can a mortgage company change my interest from fixed to variable?

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princess_g_76

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My mortgage was recently sold to another company. With the first company I had a fixed rate but now apparently I have a variable rate as my mortgage just increased by $500. We didn't receive any notification of this change or papers to sign . . . nothing. Just a notice last week that our mortgage payment went up due to an increased interest rate. Is this legal?
 
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