Escrow & Title
In Montana, a 'closing protection letter' (CPL) from a title company provides assurance to:
AThe seller that closing will proceed on the contracted date
BThe lender or buyer that the title company's closing agent will follow the lender's/buyer's closing instructions and handle funds properly✓ Correct
CThe title insurer that the premium will be paid
DThe state of Montana that all transfer taxes are collected
Explanation
A Closing Protection Letter (CPL) is issued by the title insurance underwriter to the lender (and sometimes the buyer) to provide assurance that the title company's closing agent will follow the lender's/buyer's instructions and properly handle funds, offering protection against the closing agent's errors or fraud.
Related Montana Escrow & Title Questions
- In Montana, title 'exceptions to coverage' in a title insurance policy typically include all of the following EXCEPT:
- A deed of trust differs from a mortgage because with a deed of trust:
- ALTA (American Land Title Association) title insurance policies are significant because they:
- In Montana, a 'subordination clause' in a mortgage or deed of trust allows:
- In Montana, a 'satisfaction of mortgage' (deed of reconveyance for a trust deed) should be recorded within how many days after the loan is paid off?
- In Montana, a 'title plant' maintained by a title company is:
- In Montana, a 'deficiency judgment' after a non-judicial foreclosure (trustee's sale) on a deed of trust is generally:
- A mechanic's lien in Montana may be filed by:
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