Finance
What is 'escrow impound account' and what does it cover in a Delaware mortgage?
AThe account holding the buyer's earnest money during the transaction
BA lender-held account into which the borrower makes monthly deposits for property taxes, homeowner's insurance, and sometimes PMI — the lender pays these bills from the account when due✓ Correct
CAn account holding the seller's net proceeds after closing
DA Delaware state account holding transfer tax payments
Explanation
An escrow impound account collects monthly contributions from the borrower for property taxes, homeowner's insurance, and PMI. The lender holds these funds and pays the expenses when due.
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