Finance
Vermont's mortgage escrow account requires the lender to:
AKeep the escrow in the borrower's personal bank account
BCollect and hold funds monthly for property taxes and insurance, paying those bills when due✓ Correct
CRelease escrow funds to the borrower annually
DInvest escrow funds in Vermont bonds
Explanation
An escrow (impound) account collects monthly contributions from the borrower for property taxes and insurance. The lender or servicer manages the account and pays these bills when due, ensuring coverage is maintained.
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