1500 pending RESPA violations cases moving to CFPB

In November 2008, HUD issued new RESPA regulation, establishing a standard Good Faith Estimate form and process and an expanded HUD-1 Settlement Statement. To be in compliance with RESPA, and help assure fair prices for consumers, actual costs at closing must fall within established tolerance ranges. These new disclosures were implemented in January 2010.

Since then, HUD opened more than 1,500 cases against mortgage companies suspected of violating RESPA, said Teresa Payne, the associate deputy assistant secretary for regulatory affairs at HUD.

Read more on HW.

query: getting a replacement copy of title insurance policy

This one's easy.  If your original policy is lost and you do not just want a photocopy of the policy and need an original, just go to your title insurance agent and request a DUPLICATE copy of your policy.  The agent may not know that they CAN issue a duplicate but if they contact their underwriter for instructions they can do it.

The typical procedure is for the agent to reprint the policy and type DUPLICATE ORIGINAL on the jacket.

This is normally not a request from a consumer with an owner policy.  Photocopies of an owner policy are usually all a consumer would need. Lenders, however, may need an original policy in hand to meet secondary market standards for documentation.

In either case, it can be done.  If for some reason the title agent is no longer in business or refuses to cooperate, then contact the title insurance underwriter directly.  That would be the title company whose name is hopefully on the HUD-1 Settlement Statement, page 2, near the premium.

I don't know. This phrase is just so bizarre, I can't think of anything to say. ;)

"prejudicing consumers against considering these services by using loaded terms like ‘not required,’"

Read more on Business Wire.

coupla chuckles

CHUKLE #1  "Brown said the treatment of home warranties under the Real Estate Settlement Procedures Act, which prevents kickbacks for referrals among settlement service providers, is one of the issues facing real estate firms, home warranty companies and consumers. Since home warranties are not a requirement for a mortgage origination or home sale, NAR believes that including the optional insurance product as a settlement service stretches the meaning of RESPA. Brown urged the subcommittee to pass H.R. 2446, the RESPA Home Warranty Clarification Act of 2011 introduced by Reps. Judy Biggert (R-Ill.) and Lacy Clay (D-Mo.), that would clarify that home warranties are not subject to RESPA and would provide for appropriate consumer disclosure."

CHUCKLE #2 "Another area of concern to the industry is the definition of points and fees in the Qualified Mortgage provision of the Dodd-Frank Act, which limits the total points and fees collected by lenders and their affiliates -- such as title companies -- to 3 percent of the loan amount. This limits many affiliated companies from offering full services to their clients to avoid violating the cap. NAR recommends that Congress restore an exemption for affiliates duly constituted under RESPA, so that consumers can fully benefit from greater competition between affiliated and unaffiliated mortgage lenders."

Read  more on MarketWire.

HUD continues to clean house on RESPA violation cases

WASHINGTON, DC - July 13, 2011 - (RealEstateRama) — The U.S. Department of Housing and Urban Development (HUD) today announced an agreement with Prospect Mortgage, LLC (Prospect) to settle allegations the California-based mortgage lender created sham affiliated business arrangements for the purpose of paying improper kickbacks or referral fees in violation of Federal Housing Administration (FHA) guidelines and the Real Estate Settlement Procedures Act (RESPA).  Prospect agreed to dissolve these sham joint ventures and pay $3.1 million to resolve the complaint.

Read more on CaliforniaRealEstateRama.

query: how does an insurer cancel title insurance

Hmmm....as far as I know, once issued, the title insurance policy cannot be cancelled.  Now, if you are talking a title insurance commitment, that's different.  An insurer can refuse to insure, even if a commitment has been issued.

FNF agreed to cease the practice of paying real estate brokers.....THANK YOU HUD.

FNF agreed to cease the practice of paying real estate brokers that place orders via the software platform for title insurance and other services.

"RESPA is very clear that paying fees or providing anything of value for the simple act of referring business is a violation of law," said Acting FHA Commissioner Bob Ryan. "This agreement should be a signal to others that these business practices won’t be tolerated."

Read more on HW.

free CE credits and other stuff

being nostalgic today about Radical Title Talk

Radical Title Talk was born in anger. Every post was passionate and most people reading and commenting did so with passion. That takes a tremendous amount of energy. I am not a personal who walks in anger. I get angry, I deal with the issue and be done with it. I love to laugh and be a goof and have fun. Once Radical found its voice and its mission, I had to commit and follow it through which meant writing every day in a voice defining the argument against corruption. You have to understand that Radical was never meant to be a sales generating blog. It was a declaration of independence and the beginning of a war that only title insurance people can really understand. I carried the mantle until I felt that I had said everything that could possibly be said on all the various subjects. The stats showed me the readership and I knew Radical had been a bully pulpit the likes of which I had never envisioned. Once I felt the entire of what needed saying was said, I figured I could leave it up there for folks to use. They could continue to comment if they wanted but I felt that I need to walk away. So I said thank you, posted Desiderata and let it go.
I think that was in May of 2007. In July I started to notice odd transformation in what was then the subprime crisis. It seemed to me that it was leaking into prime lending and I just couldn’t trust that the “powers that be” would recognize that. I know that might sound egotistical but I never assume that people will see something. If my warning is redundant that’s okay but at least I did my part.
I knew there might still be some readership out there with feeds who would pick up posts so I shared my concerns. The Coalition Petition [a third and temporary blog] was followed by some federal folks because the petition had been directed to those offices. I started with a post or two on Coalition but decided almost immediately to start posting on Radical just to make certain someone who could help might see the message. The mortgage credit crisis then became the second life cycle for Radical. It regained its readership two-fold and then got caught in a sort of negative energy and I decided I really just need to get out so I deleted the entire blog, completely with no back up. [You can still find old Radical posts in search engines if you look for cached posts.]
I talked about it on Lenderama [blew my blog brains out] and the feedback I got was a great help. I kept Radical dead for a week then decided to put in into a virtual beauty sleep mode. Radical woke up as a sort of personal business space for me. I can still talk about hard issues but I don’t feel compelled to be at war. I am purposefully keeping it casual. I like it. I’ve lost some readership but that’s A-OK with me. In the meantime the readership of Title Insurance Talk has grown and I’ve been able to focus on the day to day business of selling title insurance.

Read more on Lucid Ninja.

query: what is a marked up title commitment and how soon should I get one before closing

Great question.  ;)

A title commitment is marked up by the title agent when they have completed the transaction and are prepping the file notes for the issuance of the title policy.

The mark up takes place during the closing process and is therefore not available prior to closing.

If you are given a marked up title commitment prior to closing it isn't a genuine mark up.

Consumers and lenders should always review their title commitment prior to closing. The availability of the title commitment is tied to how quickly folks want to close after the commitment is produced.  Make sure your title agent knows that you expect to review the title commitment prior to the closing and let them know you want that copy as soon as the commitment is issued.

The marking of the title commitment is a review of the commitment to make sure all conditions listed on Schedule B1 are cleared.  It is also a final check of endorsements to be issued as requested by the lender and all other policy terms will be checked.

You can ask for a copy of the marked up title commitment AFTER closing or AT closing.  That's an unusual request so let the title agent know you want it.  I think it's overkill unless your review of the title commitment noted a matter that you wanted changed. In that case, getting a copy of the marked up commitment would confirm for you that the title agent made the requested change and if you are being such a diligent consumer, I say HOORAY!  ;)

CFPB Forum has been launched by Jonathan Foxx

The CFPB Forum has been launched by Jonathan Foxx, president of Lenders Compliance Group, as a "discussion forum" for news and views regarding the new Consumer Financial Protection Bureau (CFPB), an independent bureau within the Federal Reserve System
created by the Dodd-Frank Act. The CFPB Forum is not associated or affiliated with the Consumer Financial Protection Bureau.

Read more here.

commenting to CFPB concerning defining larger participants

There was a technical issue on www.regulations.gov which has now been resolved.  If you tried to post a comment and had a problem, give it a go now.  I just did and it worked!  Cool site. ;)

comment to CFPB

I am a title insurance agent. I operate what might be considered a small regional agency. I have had roughly $22,000,000.00 move through my escrow account YTD. The procedures I have in place to account for and safely guard these funds were developed with little or no oversight. These funds include down payments collected from home buyers, proceeds of home sellers, mortgage payoffs and incoming mortgage funds to be disbursed as part of federally related mortgage transactions. I also receive with each mortgage transaction a full mortgage application accompanied by other sensitive consumer data such as tax returns, paystubs or bank statements. I retain copies of these documents in paper and electronic form. I believe consumers have a false sense that the funds and information we collect are safe because we are seen as an extension of the mortgage transaction and also because I think there is a presumption that our business must be subjected to some form of regulation. Beyond state licensure and some oversight by underwriters, we are on our own. I am honest and careful. I have a background in banking where I learned how to manage money and data. Many in my business have no such background and no guidelines to follow. My authority to provide such consumer financial products and services comes from my position as an agent of a title insurance company. Though the business of insurance is not covered by CFPB, settlement service providers are and I mean by these comments to direct attention to the large volumes of money and data moving on  and off shore through these companies and their agents. How do you define a large participant in this business? I would tend to say any agent or sub-agent or a title insurance company who conducts more than twenty transactions per month – or 240 per year – could be considered a large participant. This is arbitrary, of course, but it would at least capture oversight of those likely to do the most damage. Diane Cipa, dcipa@tcsclosing.com

Ms. Shelp is suing her title insurance company.

When Theresa Shelp bought 544 Eynon St. in Scranton two years ago, she said she thought she was living a dream.

But Ms. Shelp, 43, now says she is stressed over the house, which continues to have problems such as mold. The property also is at the center of a lawsuit Ms. Shelp has filed against the city and three companies. She claims in the lawsuit that she suffered financial distress and emotional pain after buying the house, which was condemned at the time. The city eventually evicted her, but she later was allowed to return after the city lifted the condemnation.

Read more: http://thetimes-tribune.com/news/scranton-woman-sues-city-and-businesses-over-condemned-home-1.1170127#ixzz1R3hGHrVH

Please read the article and comment.  I wonder if Ms. Shelp filed a title insurance claim before deciding to sue.  There is no mention of that in the article.  I also wonder is the title insurance agent ordered and received a municipal lien letter.  If they did, the letter ought to have uncovered the municipal condemnation.

We have had two situations in which municipal lien letters were received by our office showing NO outstanding municipal issues only to find PRIOR to closing that there were serious unresolved matters.  In these two cases, buyers uncovered the problems while talking with local folks.  In both cases we had lengthy chats with the municipal officers about the procedures for issuance of municipal lien letters and the discovery process.  You can't just issue lien letters without having a system in place which gives accurate information concerning property in that jurisdiction.

Real world advice.  To those who examine title and issue title insurance, make certain you carefully check the local municipal records.  To those who issue municipal lien letters or are charged with enforcement of zoning matters, make certain your procedures include disclosure of outstanding matters when queried.  Title agents discover municipal problems by requesting letters from municipal offices.  Make certain you know who is issuing these letters and that they have a system for giving accurate reports.  To everybody, keep your eyes and ears open and never assume that people have good and complete information.  If you hear something that is of concern, raise it with all parties to make certain everyone is on the same page.  It's always better to find problems early and avoid claims and law suits later, eh?

dc

helping a consumer with a Good Faith Estimate error

I was recently contacted by a new title insurance consumer, a homebuyer, who asked if I had worked with the mortgage lender he had selected.  I didn't recognize the name of the company but assured him that we work with many diverse lenders and would help this lender with the nuances of Western Pennsylvania customs in real estate, if needed.  This homebuyer then said he had talked with some local lenders but had selected this remote lender because the interest rates were all about the same, however this lender had quoted significantly lower closing costs.

I offered to give him a specific quote for title services and also explained our Choose and Save Program.  We compared my quote with what was on his GFE.  I noticed that the mortgage lender had disclosed title services at a level equal to our C & S and that's unusual because lenders tend to allow for optionals fees - such as settement fees and courier in their GFE quotes.  The great thing about the RESPA 2010 GFE is that mortgage lenders tend to give conservative quotes and that's a good thing for consumers.

At any rate, since this lender gave what I thought was a lowball quote, I asked about other related costs on the GFE and we discovered that the government recording fees were a low quote as was the transfer tax.  This remote mortgage lender had underquoted the transfer tax by half and as you know - there is no tolerance for error in the transfer tax.

The homebuyer said he had used the GFE to make his decision and had already applied to this mortgage lender.  He decided to go ahead and place his Choose and Save order using our web site and said he would contact the lender about the transfer tax.

A few days later the homebuyer - now my customer - forwarded an email he had received from his loan officer.  The loan officer reminded him that he had correctly quoted the transfer tax in an email but for some reason the wrong figure was placed on the GFE.  The homebuyer had copied his real estate agent on our emails and he asked us both for advice.  He agreed after going back to review emails that the loan officer had mentioned the correct figure in an email, however he had used the GFE as his decisionmaking tool.  The real estate agent deferred the response to me and this is what I said:

As we discussed, the purpose of the GFE as a consumer tool is to assist the consumer in selecting a mortgage lender.  The new uniform GFE which was introduced in January of 2010 has certain regulatory requirements for accuracy which include some at zero tolerance and some at 10% tolerance for errors. 

The transfer tax section is ZERO tolerance unless there is a changing circumstance which created an error beyond the control of the lender.  For instance, if the sales agreement had contain an error in the location of the real estate which resulted in a transfer tax misquote, then the lender could re-disclose.  If the lender simply gave the consumer the wrong information, then the RESPA rules call for the lender to pay the difference.

These new tough guidelines were instituted because we had a huge under disclosure problem which caused many consumers to select lenders who were less than truthful or competent in disclosure.  HUD raised the bar with penalties to protect consumers.

Here is the contact information for RESPA.  These folks can answer questions and may even contact your lender for you.

This is a classic case of a consumer selecting one lender over another because of a misquote.  As you said in our discussion the other day, the interest rates were pretty much the same and you selected this lender because the closing costs were lower.

We are all human and make mistakes.  An honorable company would handle this type of mistake within the law - make good on the regulatory requirement and give you great service.  A different type of company will give you grief.  I would go to a managerial level to see how the company wants to handle your file.  The loan officer may not speak for their compliance officer.  As a business owner and manager I would want to handle this matter myself rather than have an employee cause a RESPA complaint without my knowledge.

It is your transaction and so you need to decide whether or not to stick with this lender.  We'll work with whatever decision you make.

The good news is that his mortgage lender had already reviewed the case and decided to make good on the regulatory tolerance cure even before he got back to his loan officer.  The lender will pay roughly $1700 into the transaction to resolve this RESPA matter.  This is an honorable mortgage lender and a smart consumer!  ;)

CFPB

get to know Elizabeth Warren

query: what is the difference between a title commitment and title insurance

If you have ever applied for a mortgage loan, then think of the title commitment as being the same as the mortgage loan commitment letter.  The purpose of the title commitment is to formally state that the property has been approved for title insurance subject to certain conditions.

A smart consumer will obtain a copy of the title commitment prior to closing and READ IT.  This is your chance to know what you are buying and to understand the exceptions to your coverage.

The title commitment typically has four parts labeled Schedule A, B1, B2, and C plus a jacket.  The jacket of the title commitment gives you important information such as definitions, explanations of important basic coverage such as access to the property, and lays out certain basic exceptions to coverage.  This is all very important and so be sure you obtain a copy of the jacket and read it, too.

Schedule A identifies the proposed insured owner and/or lender and the amount of the proposed insurance coverage.  Look to be certain your name is spelled out as you want to see it on your deed.  If it is misspelled on the title commitment, it will likely be misspelled on the deed.  The Schedule A also tells you who owns the property now and when they purchased it.  Take a peek at that information because sometimes you'll find out that the person with whom you negotiated your sales contract may not be the current owner.  How might this impact the terms and conditions agreed to in your contract?  Ask questions as needed.

Schedule B1 lists conditions which must be cleared prior to the issuance of the title insurance.  It may also contain notes or disclosures so you need to read it carefully.  One of the key conditions which must be fulfilled prior to the issuance of the title insurance is that you must pay the premium for the coverage.  This means you do not have any title insurance coverage just because you have a title commitment in your hand.  All you have is a proposal to insure.  It's like a bid from a contractor.

Schedule B2 tells you what will NOT be covered by your title insurance once the policies are issued.  There may be some items listed which can be removed as exceptions prior to the issuance of your policy but do not assume removal.  Ask questions.  What you want to see in Schedule B2 are specific restrictions or conditions and rights granted to others that may impact your use and enjoyment of your real estate.  If you see recitals which refer to specific documents of record, you can request copies of those documents. The clause might say something like "Exceptions, restrictions and conditions as set forth in Book 3, page 252."  In Pennsylvania, the title agent must provide copies without charging you a fee.  You may find a condition which says you cannot park a mobile home or trailer on the lot.  What if you have a RV which you planned to store on your new property?  You'll need to get clarity on that restrictions prior to your purchase.

There are some cases in which we find no specific exceptions.  In these cases, you will see only the basic general exceptions to coverage such as taxes which are not yet due an payable. If you see the words RESTRICTIONS or CONDITIONS or COVENANTS but you do not see a specific reference to a document which might give you a clue as to what these exceptions are then you may be dealing with a title agent who has not done a thorough search.  Some companies will put a broad general exception in a title commitment which excludes all restrictions which may be found on record but they do not do a decent search to find these documents.  I am of the opinion that a general exception of this kind is less than adequate and evidence of a crappy search or examination.  Granted there may be cases in which a plan is referred to in prior deeds but never recorded and therefore would be listed as an exception even though a copy is not available, however, you would at least have this knowledge and an explanation for the absence of documentation.  No reasonable specific explanation means you are being sold less quality than I would buy.

If you plan to install a pool or build an addition and you see rights of way listed in Schedule B2, you ought to locate the rights of way on your lot so you aren't building on a place that could later be the cause for removing your improvement.  A competent surveyor can research and add the location of rights of way to your drawing so you can see them in relation to the house as it sits upon the lot.

Schedule C describes the land to be insured.  Don't make any assumptions about this description being correct. I highly recommend that you have the land surveyed so you can see how the description maps out and can verify that this is the land you walked and intend to buy.  If you opt to not have the property surveyed, then request copies of the development plan or tax map and check it carefully against the description in Schedule C.  If it doesn't make sense, ask questions. 

When you go to closing compare the name of the title insurance company shown on the title commitment to the title insurance company shown on page 2 of the HUD-1 Settlement Statement.  If they do not match, insist upon a correction.  This is very important because if the title agent is a crook or negligent and you never receive your title insurance policy after closing, you will need your title commitment and evidence that you paid for the coverage in order to make a claim.  If the HUD-1, which is your evidence of payment, doesn't clearly include the name of the company on the title commitment, there is a chance your claim will be denied.

So, if all goes well - as it should - you should receive your owner policy within 60 days after your closing.  Look for it.  If you don't receive it within 60 days, call your title agent because something is wrong.  If you aren't being satisfied, contact your state insurance regulator.  They will want to know there is a licensed agent who is not performing and they will assist you.

When you get the owner policy, compare it to the title commitment.  The owner policy has three parts plus a jacket - all of which you should read.  Pay special attention to Schedule B which lists the exceptions to coverage.  Just make certain that no exceptions have been added that are not listed on the title commitment or agreed to by you prior to closing.

In review, the title commitment is a proposal to insure.  The title insurance will be in place once you have closed and have in hand evidence of payment for the coverage which matches the title commitment.  The title insurance coverage will be confirmed by receipt of the  owner policy which should arrive within 60 days after the closing.

Be a smart consumer.  Select your title agent carefully.  Request copies of important documents and read them. If you get any resistance from the title agent with whom you are working, fire them and find a responsive and competent professional.  ;)

I watched this video this morning and tried to post a comment. I was blocked by the site's blacklist. WAH???

Here's my comment:


I hope for good results from the Consumer Financial Protection Bureau.

In response to your video, the bigger issue with these so-called "in-house" providers is the underlying conflict of interest.

The consumer loses their position as owner of the transaction as providers are motivated to serve their customer, the source of referrals.

I've been in this industry for over 35 years and watched on the front lines as real estate brokers in the quest for new profit centers invaded related businesses.  The unintended consequence was a collapse of the entire system.  I have never placed blame for the credit crisis on the Community Reinvestment Act or other government initiatives.  The media and others focused on these programs because they are easy to understand.  The real culprit was the controlled business crack in the dam of RESPA and the slow degradation of standards which started after large real estate brokerages entered the field of mortgage brokerage and changed the relationships in mortgage banking from separate but equal to that of master and slave.

We can fix this.  We can identify and remove systemic conflicts of interest, restore good practices and heal our industry.

And here's the video:

Google is cramping my blogging style.

For years I've been able to blog on the fly with two email browsers up and running.  One for dianecipa@gmail.com and the other for dcipa@tcsclosing.com.  They both sit on Google platforms.  The gmail account was based on my original tcsclosing email address and so now Google doesn't want to have conflicting accounts open at the same time.

Google - You're killing me!!!

My blogs are accessed through my gmail account which I can't access without turning off my regular email, I can't swing up and grab stuff on the fly.  Why do you care?  Well, just today I was reading an interesting article that I wanted to share with you and comment upon but it takes WAY too much time to do all that signing in and signing out and back, etc. to interrupt what I am doing and so there's no blurb or link in this post but I WILL say this:

In reference to the consideration of the Qualified Residential Mortgage......

HAH..found the article with a fast Google search...this is the part that I found interesting.

"I am thoroughly disappointed that the regulators did not follow our legislative intent and instead are promulgating a rule that would restrict access to affordable mortgages in this country," Isakson said. "We don’t have a down payment problem in this country, but rather an underwriting problem. I strongly urge regulators to rework their overly rigid down payment requirement for QRM. If left as is, it would make recovery in the housing market almost impossible."  Blurb from Housing Wire.

While I agree that we don't have a down payment problem in this country, but rather an underwriting problem, I disagree ENTIRELY that the solution is underwriting via the title insurance examination.  WHAT?  Are you crazy?   That's not mortgage underwriting.  Trust me.  I've done both and they are entirely different in purpose and process whether automated or performed by competent human beings.

The underwriting we need is a restoration of standards and a weaning off the automated style.  I say go back to 1995 guidelines - heck, maybe go back to 1985.  Bring back humans who understand how to do risk analysis and teach a new generation how to underwrite mortgages.  Put a solid quality control program behind the process to monitor compliance and you can safely make residential loans with small down payments. 

Pull out the old books.  Go back to basics.  Scrap FICO scoring.  Teach lenders how to lend.  We are human beings.  We ought not to be judged by computer models.  Use established guidelines coupled with judgment.  We can do this.  We can restore and heal the business of mortgage lending.

tsk tsk Mr. Allen ....bad CEO bad CEO

ALEXANDRIA, Va. — The CEO of what had been one of the nation's largest privately held mortgage lenders was sentenced Tuesday to more than three years in prison for his role in a $3 billion scheme that officials called one of the biggest corporate frauds in U.S. history.

The 40-month sentence for Paul R. Allen, 55, of Oakton, Va., is slightly less than the six-year term sought by federal prosecutors.

Read more on HP.

I want to teach the world to sing in perfect harmony. ;)

Hey, why not, eh?

Here's some news.  Yours truly, the Title Insurance Talk lady is looking for a new path, a new challenge.  I have a wonderful replacement, an employee who I trust implicitly, to buy my business so I can move on when I find that next thing I want to do.  It's time. ;)

What do I WANT to do?  I'd love to find a place in which to help restore good practices in mortgage lending and title insurance.  I'm old as dirt - 55 in real life - but I feel like an old sage or maybe old crone when I talk with young people in the business.  I was there when most of your disclosures were born.  I had to calculate my APRs manually.  I typed - with carbon paper - and hand delivered mortgage application documents because we never heard of fax machines or email.

Okay, so we don't miss that stuff and we are thankful for the technology we use as a tool.

What we do miss or should miss is the connection to why we live with all this language in the disclosures.  What were the problems they were meant to fix and how do we create a real estate transaction that serves the public well and makes it a WIN WIN for consumer and lender or insurer?  There is a balance and it's not too hard to find, but you need to know how it all fits together and that is something I do know and I'd like to pass it on.........


...or maybe I should just go fishing. ;)

Here's a fraud case to watch.

MURRIETA, Calif. (KABC) -- A family is being told the house they thought they bought in Murrieta actually belongs to someone else. The family says they can't stop making their mortgage payments. 

"Even though you've made your payments in full every month, you could get a knock at the door saying get out," said would-be homeowner Charlie Zahari. "If you look at it, we're renters in a house we can't move out of."
That was hardly the feeling last summer where there was all the euphoria of buying their first home.

Read more on ABC.



Fraud is a primary reason to buy title insurance.  This case clearly demonstrates the risk.  Now, it will be interesting to see how the title insurance underwriter defends the title or covers damages for the lender and owner.   dc

There hasn't been too much to talk about in title lately.

Or maybe I'm just not feeling compelled to post.  Hmmm....what is an interesting case?

Well, here's an interesting situation.  It's not new but it's always good to do a repeat.

We have a terrific program called Choose and Save.  We're closing a transaction today in which the consumer found us and our program while shopping on the web.  He was  tough shopper and checked with  numerous title agencies.  Once he decided to use our services he had a heck of a time getting his real estate company and mortgage company to permit it.

This real estate company has a affiliated mortgage company and title insurance agency and though the law prohibits their requiring use, they make it seem like the consumer MUST use their companies.  They even slip in an exclusive use approval paper under the consumer's pen before the consumer even is aware or cognizant that they have a choice.

So,  our kudos go out to our brave and persistent consumer who not only will save himself two or three hundred dollars but is also saving his SELLER money, too.

We got a nice referral from him yesterday for a co-worker who is also doing some shopping around and standing up to the same real estate company pressure.  CONSUMERS HAVE CONTROL.  USE IT!!! 

I have to say that when I have an opportunity to chat with a shopping consumer who is web savvy they always opt into Choose and Save.  It's a great deal and the best way to buy title insurance in Pennsylvania.

Well, here's a case that will cause regulators to notice escrow accounts.

MINEOLA, N.Y. (CN) - TitleServ, one of the largest title agencies in the country, swiped $7.9 million from customers' escrow funds, the underwriter WFG National Title Insurance Co. claims in Nassau County Court.
     New Jersey Title Insurance Co. has filed a similar complaint against TitleServ, which "was authorized to write title insurance policies in at least 26 states, including New York, on behalf of plaintiff," according to the complaint.

Read more on Courthouse News.