Massachusetts Borrowers Certification of Inventory
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How to fill out Borrowers Certification Of Inventory?
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FAQ
The Act prohibits settlement agents from disbursing any funds from an escrow or settlement account in connection with a mortgage loan transaction until the settlement agent receives the disbursement of loan funds and such additional funds provided by the borrower or other third party to fully fund the transaction.
Massachusetts General Laws chapter 183, section 63B, also known as the ?Good Funds Law,? requires a mortgagee who makes a loan to be secured by a mortgage or lien on real estate in the Commonwealth to disburse the full amount of the loan proceeds to the mortgagor, the mortgagor's attorney, or the mortgagee's attorney, ...
Good funds, as the name implies, are funds guaranteed to be available upon demand. They are an equivalent to cash, in that they are a medium of exchange that is immediately valid, available, and usable.
Good funds legislation deals with title insurance companies, title insurance agents and independent escrowees who are making disbursements from a fiduciary trust account in connection with an escrow, settlement or closing.
California's good funds laws, Section 12413.1 of the California Insurance Code, require that an escrow company and title company have in possession sufficient good funds in order to close the transaction.
