- July 11, 2003
- All Issuing Offices in Colorado
- Colorado Additional Advances Endorsement 108.8
This Bulletin updates the guidelines and underwriting requirements in order to issue the Colorado Additional Advances Endorsement 108.8 due to recent statutory changes in the Colorado Statute relating to Future Advances. §C.R.S. 38-39-106.
The following additional underwriting requirement will be added under (1) of the guidelines for issuing this form:
(i) Evidence satisfactory to underwriting that according to §C.R.S. 38-39-106, "additional amounts" include one or more of the following:
a. All increases in the principal amount that results from negative amortization or the addition of deferred interest;
b. All disbursements made for the payment of taxes, levies or insurance with respect to the property subject to the mortgage or made to protect such property from waste, damage, or abuse;
c. If the mortgage or evidence of the debt secured by the mortgage so provides, all reasonable expenses associated with collection of the indebtedness or foreclosure of the mortgage; and
d. Interest on any of the following items specified in paragraphs (a) to (c) in accordance with the terms of the mortgage or evidence of debt secured by the mortgage.
IF YOU HAVE ANY QUESTIONS REGARDING THE ISSUES RAISED BY THIS BULLETIN, PLEASE CONTACT YOUR LOCAL UNDERWRITING PERSONNEL.
THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.
- Bulletins Replaced:
- Related Bulletins:
- Underwriting Manual:
- 12.28.11 Future Advances
- 14.12.11 Agreeing To A Future Increase In The Amount Of Insurance On An Owner's Policy
- 17.46.10 Priority Of Future Advances
- Exceptions Manual: