Bulletin: MU000039

Date:
April 04, 2001
To:
All Issuing Offices in Alabama, Alaska, Arkansas, Arizona, California, Colorado, Connecticut, Delaware, District of Columbia, Georgia, Hawaii, Idaho, Illinois, Indiana, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Mississippi, Montana, Nebraska, New Hampshire, New Jersey, Nevada, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Utah, Virginia, Vermont, Washington, Wisconsin, West Virginia, Wyoming
RE:
Short Form Residential Loan Policy - World Savings

Dear Associates:

Revised ALTA Short Form Residential Loan Policy

The American Land Title Association has amended the ALTA Short Form Residential Loan Policy. The changes were made 10/21/2000.

The ALTA also amended the Master Residential Loan Policy and Certificate.

These changes made technical changes in the language in the forms, and also added the ALTA Endorsement Form 9 (Restrictions, Encroachments, Minerals) as an additional optional endorsement.

These changes also provide that the ALTA Short Form Residential Loan Policy can be printed to incorporate all applicable ALTA endorsements, without checking a box.

We are in the process of preparing and filing these revised forms, where filing is necessary.

We recommend that you use the ALTA Short Form Residential Loan Policy form that automatically incorporates the endorsements. This will reduce the possibility of error in marking the endorsement boxes. An example of this form is available through the references section at the end of this bulletin.

Errors in Policy Preparation

Use of the ALTA Short Form Residential Loan Policy will reduce the possibility of errors. That means you will spend less time correcting policies after closing. Be aware of some of the common errors that still may occur if you use the revised

ALTA Short Form Residential Loan Policy: (1) amount of insurance less than loan amount; (2) mortgage amount incorrect; (3) insured's name incomplete or incorrect; and, (4) borrower's name does not match mortgage.

Market the ALTA Short Form Residential Loan Policy

This form reduces time and expenses for both you and the lender in preparation and review. We recommend you market it to your lenders: many will want it once they understand it.

An example of a lender that requires the ALTA Short Form Residential Loan Policy, where it is available is World Savings. Please be aware of this when closing World Savings loan transactions.

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.