- May 10, 1993
- All Florida Offices and Agents
- Mortgage Modification Agreements and Substitution Loan Rate
There has been considerable confusion over the last several years as to the applicability of the substitution loan rate and mortgage modification agreements.
At a recent meeting of the Florida Title Underwriters Bureau, which was attended by Wally Senter of the Department of Insurance, Mr. Senter announced that the Department would, in fact, enforce the requirement that substitution loan rates be charged on mortgage modifications which did not fall into one of the four categories itemized in the regulation as exceptions.
Subsequent to the meeting, Mr. Senter put out a release.
Accordingly, when a mortgage modification does not fall into one of the four exception categories, a substitution loan rate should be charged.
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