Ticor Title Federal Way Escrow – Video Tour

Ticor Title & Escrow - Federal Way, WA

Ticor Title & Escrow - Federal Way, WAIn February, we announced the opening of our new Ticor Title escrow location in Federal Way, WA  located on 9th Avenue S., one block north of 336th St. This escrow office offers street-level access, ample parking, and close proximity to major real estate offices in the Federal Way area.

All are welcome to pop in and check out the fantastic new office, but in the mean time please take a moment to view the quick video tour and photo gallery below. We’re confident that buyers, sellers, real estate agents, and lenders will appreciate the convenient and upscale location.

A better closing experience

From open to close, our team is dedicated to creating a superior client experience by providing clear communication, personalized service, and consistency with every escrow transaction.

Direct your next transaction to Ticor Title and let our resources, services, and team of specialists make your closing a success!

We look forward to serving you in Federal Way!

Where to find us

Ticor Title – Federal Way Branch

33400 9th Ave S.
Suite 102
Federal Way, WA 98003
Phone: 253-765-7255

Video Tour of Ticor Title Federal Way

How to Steal a Mansion

The Property listing reflected an 8,141 square foot home as having seven bedrooms, 10 bathrooms, a four car garage and a guest home (mother–in–law quarters). The home was newly constructed, but unfinished. The construction lender had to foreclose and take the property back and sell it as an REO (bank owned) property.

Full Cash Offer

On December 27, 2013, Jackie L., an escrow officer with one of our affiliate operations, received a copy of an offer made online for the mansion in the amount of $549,900 (full list price).

The online offer form was sent to Jackie along with a copy of what she thought was the earnest money deposit of $5,000. The deposit was tendered in the form of a Money Order sent directly and made payable to the asset manager. Upon closer inspection Jackie realized the money order did not just represent the earnest money – it was for the full amount of the purchase price $549,900!

The listing agreement called for a commission to be paid to the buyer’s agent in the amount of $10,668 and the contract called for an additional $5,499 to be paid by the buyer to the agent at closing. Needless to say the agent was anxious to close this transaction.

The contract called for a closing date of January 15, 2014. In anticipation of the closing, the asset manager deposited the money order and on January 3, 2014 wired the $549,900 to Jackie’s office.

Reviewing the Convoluted Offer

Jackie reviewed the offer and the other attached documents. The following did not make any sense:

  1. Registered Funds Certificate payable to the Department of Treasury/IRS in the amount of $549,900 for an unrelated estate which read in part as follows:

    This instrument is tendered for full satisfaction and accord on obligation represented by account number above, UCC 3–310, 3–311(b). I hereby claim my inherent right to Accept for Value any instrument(s) issued for Value.

  2. IRS Form 1099–C Cancellation of Debt, reflecting the asset management company as creditor, the estate as the debtor and amount of debt discharged as $549,900.
  3. IRS Form 1099–A Acquisition or Abandonment of Secured Property, reflecting the asset management company as borrower, the estate as the lender and the balance of principal outstanding as $549,900.
  4. A memo that read in part:

    Fiduciary: This is a credit issue set–off item with an attached charging instrument that has been accepted by the principal. It is to be presented through electronic medium by Fedwire® to access a pre–established UCC contract treasury trust account used for this purpose.

  5. UCC Financial Statement Amendment naming the asset management company as a partial assignee of an existing financing statement and the filer as the estate.
  6. Affidavit of Individual Surety claiming the estate as owner of surety bonds owned by the U.S. Government.
  7. Release of Personal Property from Escrow – not signed but clearly notarized. Whose signature was the notary acknowledging?
  8. Release of Lien on Real Property – not signed but clearly notarized.
  9. A document literally entitled, “Taken for value and accept as truth and discharge by bond. In exchange for closure and settlement of the account.” It was written “without recourse” (of course).
  10. A notarized letter from the buyer that allowed the account involving the subject property to be “settled.”
  11. Form 1040–V Payment Voucher in favor of the estate in the amount of $549,900 which reads:

    No portion of this presentment is intended to harass, intimidate, offend, conspire, blackmail, coerce, cause anxiety, alarm or distress or impede any public procedure, any affirmation contrary to this certified statement will comprise a confession of fraud upon the court and the public.

  12. An Allonge (modification to promissory note) claiming public debt was placed on the estate by the United States containing a diagram showing the intent of the House and Senate of the United States of America as assembled on June 5, 1933 to provide a remedy to the people in response to charges against the Federal Reserve Bank system for conspiracy, fraud, unlawful conversion and reason in taking all of the gold from the people.

This file gave new meaning to the phrase “If you can’t dazzle them with brilliance; baffle them with bull$#@%!” The documents looked official, since they all contained the property address and the name and address of the asset management company. However, all the above documents were written with legal jargon inserted in every sentence until the sentence made absolutely no sense.

Jackie was suspicious, to say the least. Even though she received the wire for the full purchase price and the buyer was prepared to close, she thought she should just make sure the money order cleared at the bank, especially since the asset management company happened to be a wholly–owned subsidiary of the FNF Family of Companies.

Last-Minute Save

On January 3, 2014, she picked up the phone and called the asset management company to make sure the funds they received cleared the bank. On January 15, the day of closing, the asset management company finally called Jackie to notify her that the money order was, in fact, not good and had been returned to their bank as counterfeit. The asset management company contacted the listing agent to let them know the deal was dead.

Jackie’s expertise and actions saved the FNF Family of Companies from a potential loss. Had she disbursed the funds in her trust account to the REO Bank and recorded the deed to the buyer it could have taken weeks, if not months and multiple court actions, to unwind the transaction after the asset management company discovered the money order was counterfeit. For her heroic acts, Jackie has been rewarded and received a letter of recognition from the Company.

Watchful Examiner Helps Prevent Elder Abuse

Elder Abuse Prevented
Kathie H., senior title examiner at one of our Central Processing Facilities (CPF), read legal bulletin FGOR-2010-12, that directed her to “Watch; Wonder; Wave” if and when she ever ran across an uninsured deed in a chain of title. The bulletin, issued in 2010, obviously stuck with her through the years and helped her prevent elder abuse as well as a potential title claim.

Elder Abuse PreventedA Ticor Title Company escrow officer in Portland, OR opened a $305,000 sale of a residential property and placed a title order for a preliminary report/commitment. The order was assigned to Kathie H., one of the Company’s best and brightest examiners. During her examination of the chain of title documents for the subject property, she discovered a deed with many red flag warnings:

  • Deed was uninsured – not recorded by a title company
  • DIY – “Do It Yourself” deed from a stationery store
  • Handwritten (not legible)
  • Notarized in Umatilla County, where there was no evidence the Grantor ever resided
  • Deed reflected consideration of $1
  • Grantor is a widow – husband died in 2011
  • Grantor is likely elderly – owned the property since 1985
  • Property is unencumbered

Uninsured Deed Affifavit Requested

After discussing these matters with her chief title officer, Kathie created an exception for the deed on her title report and called for an uninsured deed affidavit signed by the grantor, that it was her voluntary intent to convey all of her interest to the grantee.

The report was sent out to the parties to the transaction and arrangements were made for the widow, former property owner, to appear in one of Ticor’s offices to sign the affidavit which read in part:

“On or about July 7, 2013, I executed a deed wherein I conveyed the above described property to my daughter–in–law. The deed recited the consideration as $1. The deed recorded on August 1, 2013 in the Multnomah County Recorder’s Office.

The true and actual consideration was the promise by my daughter–in–law and my son to take care of me in their home for the remainder of my life in exchange for me conveying my property to them.”

Questions of Elder Abuse

Next, the escrow officer received a call from the Multnomah County aging services about possible elder abuse. The escrow officer notified Kathie, and she investigated public records which showed the daughter–in–law had divorced the son in 2012. He was not even named on the deed from his own mother. Then, the daughter–in–law filed bankruptcy and was now running a massage parlor at the property address.

The escrow officer thought the deal was going to cancel. Luckily, bringing the Mom down to Ticor’s office to sign the affidavit raised some questions with the four children and resulted in the appointment of a conservatorship for the property owner, which means she is now a legally protected person.

The buyer – a religious institution – was willing to wait until the conservatorship was finalized as they really wanted to purchase this property. Once the conservatorship was appointed, all proceeds from the sale would be held by the conservator and not the daughter–in–law.

Watching for suspicious circumstances; Wondering about the validity of the uninsured deed; and Waving to her chief title officer for assistance were exactly the right steps taken by Kathie. Her knowledge and experience prevented a potential claim. For her efforts she has been rewarded and received a letter of recognition from the Company.

MORAL OF THE STORY

Calling for the uninsured deed affidavit created enough attention for the children to start asking questions. If the transaction closed without the affidavit and the ultimate appointment of the conservator, it is likely the children would have contested the validity of the deed to the final buyer – the religious institution. The Company would have had to defend the buyer’s ownership interest under the terms of the owner’s policy that it purchased at closing.

Announcing Ticor Title’s New Federal Way Escrow Location!

Ticor Title Federal Way, WA – 33400 9th Ave S.

We are pleased to announce the opening of our new escrow office in Federal Way. You’ll find us conveniently located on 9th Avenue S., one block north of 336th St.

A Centralized & Upscale Venue

The growth of our business in Federal Way has brought with it the need for a centrally located venue to better serve our South King County and North Pierce County clients. We think you’ll love the street level access, free parking, upscale look and feel, and of course our escrow team with over 39 years of escrow experience.

A Better Closing Experience

When you and your clients arrive at Ticor Title in Federal Way, you’ll be greeted with a smile, offered refreshments, and promptly escorted to your reserved signing room. Families are welcome as we have accommodations for children as well.

We look forward to serving you at our new Federal Way escrow location and thank you for choosing Ticor Title for your real estate closings.

Where to find us

Ticor Title – Federal Way Branch

33400 9th Ave S.
Suite 102
Federal Way, WA 98003
Phone: 253-765-7255

Map & Directions

Funds Diverted by Hackers


An independent escrow agent recently discovered their trust accounts were compromised by an outside unknown source. Through initial investigations the escrow agent realized they had become victim to unauthorized and fraudulent wire transfers. Once they became aware they immediately notified their bank, regulator and insurance carrier – as well as local and federal law enforcement.

The regulator – the Department of Corporations (DOC) – initiated an internal audit of the independent escrow agent. They discovered on three separate dates, funds totaling $1,558,339 were wired out of two separate trust accounts without authorization. The wires did not appear to be associated with any escrow processed by the company.

“…funds totaling $1,558,339 were wired out of two separate trust accounts without authorization.”

Not Enough Funds to Cover the Shortage

The DOC provided an opportunity for the independent escrow agent to cover the lost funds from their operating account, but ultimately concluded the escrow agent had lost so much money in the theft they could not cover the shortage.

The DOC froze the trust accounts to prevent further loss. The trust bank launched their own investigation and was successful in recovering a portion of the funds; lowering the shortage amount to approximately $1.1 million.

With their accounts frozen, the independent escrow agent had to notify all of its customers and principals in active transactions that they were unable to close any pending transactions.

Customers Allowed to Switch Escrow Companies

The customers were notified they could transfer their transactions to other escrow companies, but they could not access the funds deposited with the agent. They went further to state in the notification, if any funds were to be transferred with the transaction it would have to be with the approval of the DOC who recently appointed a conservator.

The conservator must reconcile the total funds available with the potential claim to determine whether or not funds still on deposit can be released on a pro rata basis. The customers were notified they would not receive all of their funds.

The DOC website has been updated to include information regarding this incident under frequently asked questions (FAQs). Parts of the FAQs include notification that principals will have to replace any funds needed to close prior to the release of funds by the conservator, since the conservator will be performing a time intensive and extensive audit. The FAQs also revealed the freeze on the trust accounts resulted in checks returned by the bank when presented for payment.

MORAL OF THE STORY

Believe it or not our Company has fallen prey to this same sort of crime. We had to replace the stolen funds with money from our operating account. As a result, the Company is quickly deploying a Citrix® environment to those desktops belonging to personnel that have the authorization to initiate and approve outgoing wires using online banking. The Citrix environment eliminates the risk of the mime trick that first captures keystrokes and then delivers them to the hacker.

Pesky Credit Card Payoffs

Credit Card Debt Consolidation

Many people have tapped into the equity of their home to consolidate debt. For years, settlement agents have closed refinance transactions which include instructions from the lender to pay off a list of credit cards. Over the years our industry has learned the pitfalls associated with making these payments but a new risk has emerged. Read on for the details.

In recent years many employers have beefed up their job application requirements in order to be eligible for hire. Job seekers are now subject to background and credit checks. Failure to manage personal finances can result in one’s inability to find a job in one’s desired field. This turned out to be the case for one borrower.

A Typical Debt Consolidation Loan

Credit Card Debt ConsolidationIn 2012 a gentlemen applied for a new loan. On his application he indicated he was applying for a debt consolidation loan as he had several credit cards with outstanding balances. The lender approved his application and opened the transaction with the local title company. Title prepared the title report and a payoff statement was ordered. The lender sent the loan documents to the closer who met with the borrower to have them executed.

At the signing the closer explained to the borrower the loan required the payment of several credit card balances. She asked him to provide the account number and payment address for each card. The borrower promised to send her the information.

Communication Breakdown

Four days later, the rescission period expired and the lender funded the loan. The closer contacted the borrower and asked him again for the payment information in order to send the payments for his credit cards. The borrower told her he would have to call her back. He did not. Eventually the closer sent the checks to the borrower to send in with his billing statements. He never did. The checks became dormant and were never cashed.

The closer never followed up. In 2013, the borrower finally called his closer back. He did not call her to provide her with the payment information. No, he was calling to complain.

The borrower decided to pursue a new career and become a police officer. He attended the police academy and successfully finished his training. Next, he had to pass a background and credit check. He authorized the police department to run these checks. He failed the credit check. The police department would not hire him because he had outstanding credit card debts; debts he thought were paid by the closer when she closed his refinance.

The customer called the closer and blamed her for his inability to be hired as a police officer. He threatened to bring legal action against the title company citing its failure to pay his debts and its interference with his ability to obtain a job. Unbelievable!

The closer reminded him she asked him for this information repeatedly. She also found it hard to believe he never received delinquent notices in the last year.

Moral of the Story

Right or wrong anyone can sue. Lawsuits cost money to defend. All of this could have been avoided if the closer had simply followed these steps:

  • Refuse to close until she had all the information necessary to fully and properly disburse her file; including the credit card account numbers and payment addresses.
  • Sent the payments to the credit card companies herself and not the borrower.
  • Monitored her dormant funds to ensure the checks were cashed.
  • Credit card payments are a nuisance, but following these steps ensures they do not continue to haunt you for years to come.

Third Quarter 2013 – A Strong Quarter with a Shift Toward Purchase

The third quarter was another strong quarter for our title insurance business. We generated a 14.2% adjusted pre-tax title margin, nearly equal to the 14.4% title margin in the third quarter of 2012, despite a 15% decline in closed orders. The expected transition from a refinance driven market to a purchase driven market accelerated in the third quarter, marked by 56% of open orders and 50% of closed orders being purchase related in the third quarter. Our commercial title insurance business revenue grew by 25% compared to the third quarter of 2012.

Click here to download a PDF copy of this report.

Funds and Proceeds – Tips for a Successful Escrow Closing

Funds and Proceeds at Escrow Closing

When working with real estate buyers and sellers, our escrow operations face challenging situations relating to funds needed to close as well as proceed distributions. Having an awareness of bank requirements in advance of your signing appointment can make the difference between closing on time or working through costly delays. Below are a few tips that can help your transaction close more smoothly.Funds and Proceeds at Escrow Closing

Buyers – Your Funds to Close

Buyers – How to prepare for your signing appointment

Talk with your bank well in advance of your closing (approximately 3 weeks before your signing appointment). Ask your banker if there are wire limitations or account restrictions. You should also find out how many days notice are required by your bank for wire transfers made from your account.

Internet banking accounts such as eTrade or ING may require that you arrange well in advance and determine requirements. Sometimes restrictions prevent same day withdrawals or wire transfers. This is something you’ll be glad that you know well in advance of your closing day.

Some local banks in the Seattle area have daily wire limits (such as $25,000). This can be difficult and costly if a buyer assumes their funds beyond the daily limit are accessible.

Sellers – Proceeds From Your Sale

Sellers – How to prepare for your signing appointment

Remember to bring your account information and your photo identification to your signing appointment. If funds are to be deposited into an investment account, be sure to bring full account information and wire instructions. Deposit slips and checks do not have full account information needed for escrow to complete a wire transfer.

A Word About Trusts and Estates

If title is held by an Estate or Trust, funds must be deposited into a bank account with the same name. In other words, proceeds from an Estate or Trust can only be deposited into a bank account established for the Estate or Trust. Funds cannot be deposited into the heirs/individuals accounts. A bank account for the Trust or Estate must be established prior to closing.

“If title is held by an Estate or Trust, funds must be deposited into a bank account with the same name”

Remember to ask your Escrow Officer here at Ticor Title Company if you have any questions. We are glad to help you well in advance of your closing date.

You’re Invited to Our Open House at Ticor Title in Seattle!

You are cordially invited to join us for appetizers and libations as we celebrate the relocation of our Seattle escrow branch.  The festivities will begin at 4:30PM October 24th.

We hope you will join us!

Ticor Title Seattle Open House

When

October 24
4:30 – 6:30PM

Where

Ticor Title – Seattle Branch

1505 Westlake Avenue N
Suite 150
Seattle, WA 98109
(206) 720-0114

Please RSVP

Via Phone: 206-720-0114
Or click here to RSVP online

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Video Tour of Ticor Seattle

Title Reviews Get a Facelift

This month we’re rolling out an improved look and feel for our ‘Title Reviews.’ The handsome, new format provides a title review summary that is easier to read, and easy to share with your clients if you choose to. With any preliminary title ordered on your listings with Ticor, you’ll receive an email that includes a link or PDF to the new ‘at a glance’ report. Look for your Title Review within a few days of receipt of your initial title report.

Detect red flags early

Clouds on Title to a property have the potential of slowing the closing process if they are not identified and addressed early in the process. Our Title reviews will help you identify these potential red flags in order to set proper expectations with parties involved and save time in the long run.

Examples of red flags to look for

  • Seller not vested in title
  • Judgments and/or liens against seller
  • Pending law suits
  • Real estate contracts
  • Recorded housing code violations
  • Statement of Identity / I.D. Affidavit

Our specialists are part of your team

Your Ticor Property Information specialists are preparing these specifically for you for every listing transaction you place. This brings the added benefit of our team’s vast experience in virtually any item that may appear on your reports. Of course, we’re always glad to help you understand what these terms mean. And, most importantly, we’ll work closely with you, to help address and resolve these matters early in the course of the transaction.

Please take a moment to flip (scroll) through the handy new title review following your next (preliminary title) order with Ticor. If you have questions regarding your report, please contact us. We’re here to help.

Questions or comments? Please share below