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IMPORTANT NOTICE
To: All National Investors Agents
Re: Update to Notice -
Revised Policy Guaranty Fee Remittance Form and Rate Increase - Effective April 1, 2016
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Please click here to read the Texas Title Insurance Guaranty Association announcement concerning the policy guaranty fee.
Effective April 1, 2016, the guaranty fee will be $3.00 for each owner's policy and $3.00 for each loan title policy closed during the applicable quarter. You must make the appropriate changes to your closing procedures to change to the new fee as of April 1, 2016.
Please note:
Guaranty Board's FAQ's states the following on two important questions:
1. Because the Guaranty Fee is changing from $-0- to $3.00 on April 1, 2016, what amount do we charge for a transaction that closes in March, 2016, but does not fund until April, 2016? The charging of the Guaranty Fee is determined by the closing date, or more specifically, the date the closing documents are signed. For example, if a transaction has closing documents signed in March, but the transaction does not fund until April, then no fee should be collected. If the closing documents are signed April 1 or later, the fee to be collected is $3.00.
2. What date determines the collection date and where is it disclosed? The closing date determines when the Guaranty Fee is collected. The guaranty fee should be disclosed on the Closing Disclosure and, if not separately itemized on the closing disclosure, the policy guaranty fee should be shown on the Texas Disclosure (Form T-64) in the Other Disclosures section.
Click here to visit the Remittance Forms and FAQ's link
If you have any questions relating to this or other bulletins, please contact your National Investors representative.
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3445 Executive Center Drive , Suite 110Austin, TX 78731 877.256.8098 nititle.com
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