Md. Code Ann., Real Prop. § 4-106(b) states the following (in relevant part):
“Affidavit of disbursement required for purchase-money mortgage or deed of trust . . .
(2) The lender may deliver net proceeds, deducting charges, interests, expenses, or advance escrow and charges due from the borrower, if the following conditions are met:
(i) The charges, interests, expenses, and other deductions listed above have been agreed upon in advance, in writing; and
(ii) The lender provides a schedule of the deductions along with the net proceeds delivered.”
We have been providing Cx16100 as a part of this requirement, on an “upon request” basis (the schedule of deductions being disclosed in the settlement statement). After further review and evaluation, particularly with the practices of title companies in Maryland, we have decided to configure this document to print on a generic basis. It will print under the following conditions:
- “Document Package Type” equals “Closing”
- “Loan Purpose” equals either:
- “ConstructionOnly”
- “ConstructionToPermanent” or
- “Purchase”
- “State Code” equals “Maryland”
Clients to whom this document is currently assigned will be contacted to confirm whether they are fine with this configuration change or whether they want to continue providing the document under current conditions.
This change will take effect on August 23, 2014. If you have any questions or concerns, please contact Client Support at 1.800.497.3584.
August 15, 2014
DR 155937