Escrow & Title

In Louisiana, the 'Cancellation of Mortgage' (Act of Release) must be filed to:

ANotify the buyer of the mortgage payoff
BRemove the mortgage lien from the public records after it has been paid in full✓ Correct
CTransfer the mortgage to the new lender
DCancel the property insurance escrow

Explanation

After a Louisiana mortgage is paid in full, the lender must file a Cancellation of Mortgage (Act of Release or Satisfaction) in the parish mortgage records. This removes the lien from the public records, clearing the property's title.

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