- January 14, 2003
- All New York State Office Counsel, Managers and Agents
- Collection of Fees for Recording Satisfactions of Mortgage
This bulletin is intended as a reminder of Stewart Title Insurance Company's ("Stewart") policy concerning the collection of a fee to record a satisfaction of mortgage in connection with a transaction wherein an issuing office intends to issue a policy or policies of title insurance on behalf of Stewart. Stewart prohibits its issuing offices from collecting a fee for recording a satisfaction of mortgage where the mortgage lender that will be issuing the satisfaction piece or any person or entity acting on the mortgage lender's behalf undertakes to record the satisfaction piece or collects a fee to record the satisfaction piece.
To ensure compliance with this policy, please direct your title closers to review all mortgage payoff letters provided at closing to determine whether the letter states that the satisfaction piece will be recorded by the mortgage lender or the mortgage lender's agent and/or whether the payoff figure includes a charge for recording the satisfaction piece.
Finally, in cases where an issuing office collects a fee for recording a satisfaction of mortgage but does not in fact record the satisfaction piece, Stewart requires the issuing office promptly to refund the fee collected.
Should you have any questions concerning this bulletin, please contact Company counsel.
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.