January 16, 2013
Important Information Regarding FDIC Insurance for Escrow Accounts
James E. Hyland | The Penssylvania Group
TLTA Federal Legislative Counsel
At the end of the last Congressional Session, the Congress did not renew the Transaction Account Guarantee program, enacted in 2010, which provided full deposit insurance coverage to non-interest bearing deposit accounts. This was originally intended as a safety measure during the financial crisis to prevent depositor withdrawals at smaller financial institutions. As of January 1, 2013, the maximum deposit insurance coverage at financial institutions will return to the pre-Dodd Frank level of $250,000 per account. However, of importance to title agents, fiduciary accounts generally qualify for "pass-through" coverage on a per-client basis. Please read more about this important issue
here.
Title Agents Beware of Life Insurance Referral Solicitation
It has come to our attention that title agents in Texas are being solicited to serve as referral agents for life insurance products. If you receive one of these solicitations to participate in such a program and are considering it, we highly recommend that you first consult with legal counsel familiar with the Texas Insurance Code and particularly life insurance regulations. Your participation in it may require life insurance licensure and compliance with those regulations before engaging in such a program and there could also be other regulatory restrictions that would affect your ability to participate.
CFPB Adopts New Qualified Mortgage Rules
James E. Hyland | The Penssylvania Group
TLTA Federal Legislative Counsel
Last week, the Consumer Financial Protection Bureau (CFPB) adopted a new rule to carry out the qualified mortgage requirements of the Dodd-Frank legislation. Under the rule, all new mortgages must comply with basic requirements that protect consumers from taking on loans they do not have the ability to repay.
Read More »
TLTA Working With Stakeholders on Legislative Agenda
TLTA currently has a working agenda composed of a few legislative items to provide more certainty in the real estate transaction. We are currently talking with the various stakeholders to develop and refine the statutory changes that may be necessary this Legislative Session. We are also developing a detailed Legislative page on our website that will contain more information about our agenda. Further updates will also be provided in this section of our newsletter.
Want To Be Notified About Important Legislative Hearings?
If you would like to receive e-mail notifications with links to live legislative hearings, please e-mail
[email protected] to be added to the e-mail list.
Despite Surplus, House and Senate Offer Lean Budgets
The Texas Tribune | January 14, 2013
Republican leaders in both chambers of the Legislature on Monday offered spare first drafts of the state’s next two-year budget that continue $5.4 billion in cuts to public education made last session and freeze funding for an embattled state agency set up to find a cure for cancer. Upending recent tradition, the Texas Senate is starting off with the leaner budget this session, one that’s about $1 billion smaller than the House budget but spends nearly the same amount in general revenue, the portion of the budget that lawmakers have the most control over. General revenue typically makes up around half of the total budget, with much of the remainder coming from federal funding.
Read More »