Posted by 101livescan on 8/25/09 6:44am
Msg #301554

TBW in event more trouble than ever

Co-mingling of funds...potential financial disaster to existing customers. May not foreclose on any existing borrowers.

http://www.ocala.com/article/20090825/ARTICLES/908251008/1001/NEWS01&tc=email_newsletter

Reply by LynnNC on 8/25/09 9:15am
Msg #301571


TBW didn't follow even basic financial accounting practices:

'One of the more severe infractions involved Taylor Bean dumping money it collected as escrow payments (which is supposed to be kept separate and used only for paying customers' taxes and home insurance) into the same bank account that held mortgage payments, the company's operating funds, employee payroll and cash.

Florida Office of Financial Regulation Bureau Chief Andrew Grosmaire said mingling the funds was against the law and "extremely serious," despite Taylor Bean's claim it was keeping track of the money. "It's extremely serious because you don't want the mixing of funds together. Operating funds is (Taylor Beans') money, and escrow money is not their money," he said.

In the cease and desist order, regulators reported that "while (Taylor Bean) has alleged that the difference between the funds are being internally accounted for, the intermingling of funds that (Taylor Bean) is using for its daily operations and funds that (Taylor Bean) merely has a custodial interest in represents a serious risk to Florida consumers." '

Reply by Gary Boehm on 8/25/09 11:05am
Msg #301583

Whoa wait a minute!

I got as far as the third paragraph and it suddenly hit me HARD! Hey - when the TC or SS receives "their money" at settlement a part of that is NOT their money, it is OUR money as the Notary. So why are we not paid OUR money IMMEDIATELY? Why do they keep OUR money for 30 - 60 days. That's not THEIR money either!
Sorry for the rant. I'm a little worried about collecting my past due amounts from all my sources since the TBW/Colonial crash and general slowdown. Have the TC's and SS's been using our money for "float" and their general expenses and now we are going to have trouble collecting what they already owe us? It is still trickling in but I've still got a substantial amount due from the past 30 - 45 days.

Reply by Bob_Chicago on 8/25/09 1:03pm
Msg #301595

In most cases, the funds "due" a NSA are NOT escrow

funds , but are just a unsecured debt of the TC.
Same situation if the TC pays fee to SS . SS owes NSA, but
need not segregage funds. Amount due NSA from SS is an
unsecured debt of the SS.
Exception might be if NSA is named on HUD for exact amount
of agreed NSA fee for that signing.
Not legal advice yada, yada.

Reply by MW/VA on 8/25/09 7:19pm
Msg #301647

That's probably what got them shut down. Escrow accounts & escrow funds are monies that belong to the borrower--never to be considered part of the lenders funds or assets. What a nightmare!