Closing Protection Letters Are NOT Insurance Against Mortgage Fraud | Mortgage News | Daily National and State Headlines

Interesting Article from the Mortgage Professional website:

You are about to wire closing funds to the table, into the hands of a lawyer, title agent or escrow company employee you have never met before, but no worries because you have a Closing Protection Letter CPL right? Wrong.Take a good look at the language in this warranty letter. The majority of CPLs insure against two events: 1 Outright theft of the mortgage proceeds, and 2 Any other event that impairs the invalidity or unenforceability of the lien of the mortgage.

via Closing Protection Letters Are NOT Insurance Against Mortgage Fraud | Mortgage News | Daily National and State Headlines.