Tuesday, January 29, 2008

query: can I get my title policy from my mortgage lender

Your mortgage lender will have a copy of the loan policy on file. They do not receive a copy of the owner policy, so if you need it to file a claim, the loan policy won't help you. If you have lost your title policy and need to make a claim, ask for a copy of the HUD-1 Settlement Statement which will prove that you paid for an owner policy.

If you are looking for a copy of any title policy just to get a discount on a new policy, the loan policy should suffice. Some lenders will provide a copy readily upon request, other lenders won't. Again, you may be able to use a copy of the HUD-1 Settlement Statement as proof of coverage.

Good luck!

2 comments:

title_search said...

How to obtain a title insurance owner policy if you only have the title number?

I have been going through a very painful process trying to find out my title insurance owner policy. I brought the house over 15 years ago and all the procedures were handled by the lawyer. I had no idea what it meant for title owner policy until recently. I have never received anything from my lawyer or title agency for the title insurance owner policy. I called and went to my lawyer office and trying to get a copy of the tile insurance policy. I was being told that it was too many years ago and material was destroyed after 7 years.

I went through all the documents more than 20 times. The only document that I have found is the title complete service report. The document has the name of the tile agency, the title no (the title no is recorded on the deed) and two title companies. I called the agency to request and get a copy of the title owner policy. The lady told me that they don’t have the record any more since it was too many years ago.

I am able to trace down the mergers over the years for the two title companies by myself. I made a lot of phone calls and finally I am on the right track and talking to the right person. However, the title company is not able to find out the owner policy for by using the title number or the property address. They need the title policy number, which I don’t have it.

I know nothing about of tile insurance owner policy before and I have learnt a lot about the importance because the issue that I am dealing with now.

I am at an urgent stage that I need to provide my title owner policy in order to proceed with the closing to sell my house. The reason for this because there was a record of mortgage loan outstanding from the previous owner’s owner (Note: Not the owner whom I brought the house from. The owner who sold the house to my previous owner. For example, If I am the owner C, then the outstanding loan was at the Owner A not Owner B). Owner A’s bank did not file the satisfactions of mortgage after the closing.

I will appreciate if you can give me some advice and let me know if you have similar experience to resolve this type of issue before. Please let me know immediately. You can e-mail me title_search@yahoo.com

THANKS IN ADVANCE.

Diane Cipa said...

If you have a copy of the HUD-1 Settlement Statement or can get one from your mortgage lender, look at page two and see if you paid a premium for an owner title policy.

You must verify that you paid for OWNER coverage. Then present this evidence to the title company and make certain that they know that their authorized agent failed in his duty to issue your policy. If you are unable to get a quick response, you can contact the insurance department for assistance.

In the meantime, though I would work on the REAL problem which is the unsatisfied mortgage. First you need to verify that the old mortgage was paid in full and just simply is missing the satisfaction.

If this is the case, you can offer to place some funds in escrow to guarantee that you will have an attorney work to resolve the satisfaction.

You could also just contact that mortgage lender and get a letter verifying that the mortgage is paid in full and that they are in the process of satisfying it now that they are aware of the problem.

Good luck and contact an attorney for help if you aren't getting anywhere.

I hate to say it but it kills me that title insurance companies have such a lousy system of keeping track of consumer's policies, yet they insist that they can find any property and search it using their data systems and so skip human examination. It just doesn't add up to me.