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Refinance Credits on Mortgagee Title Policy
Premiums
(Please note: When including a
new home equity loan with the refinance of an existing lien already covered by a
Mortgage Policy the credits applies only to the original indebtedness being
renewed and extended.)
R-8. Mortgagee Policy on a Loan to
Take Up, Renew, Extend or Satisfy an Existing Lien(s) – On a Mortgagee
Policy issued on a loan to fully take up, renew, extend or satisfy a lien(s)
already covered by a Mortgagee Policy(ies), the new policy being in the amount
of the new mortgage, the premium for the new policy shall be at the Basic Rate,
but a credit shall be allowed upon the premium as follows:
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40% of the premium for the amount of the unpaid
balance of any original indebtedness renewed within two (2) years from the
date of the original indebtedness;
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35% of the premium for the amount of the unpaid
balance of any original indebtedness renewed more than two (2) years but less
than three (3) years from the date of the original indebtedness;
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30% of the premium for the amount of the unpaid
balance of any original indebtedness renewed more than three (3) years but
less than four (4) years from the date of the original indebtedness;
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25% of the premium for the amount of the unpaid
balance of any original indebtedness renewed more than four (4) years but less
than five (5) years from the date of the original indebtedness;
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20% of the premium for the amount of the unpaid
balance of any original indebtedness renewed more than five (5) years but less
than six (6) years from the date of the original indebtedness; and
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15% of the premium for the amount of the
unpaid balance of any original indebtedness renewed more than six (6) years
but less than seven (7) years from the date of the original indebtedness.
After the lapse of seven (7) years from the date of original indebtedness,
the Basic Rate shall apply.
Where more than one chain of title, as the term "chain of title" is from time
to time defined by the Board, was involved in the issuance of the original
policy(ies), and the new policy includes one or more of such additional chains
of title involved in the issuance of the original policy(ies), an additional
premium charge as established by the Board shall be added for each additional
chain of title involved. (See Rule R-9 for definition of "additional chain.")
The reduction in rate as herein prescribed
shall not apply in any case where any additional property not covered by the
original policy(ies) is included in the policy to be issued.
In no event shall the premium collected be less than the regular minimum
promulgated rate for a Mortgagee Policy. |