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902 - Mortgage Insurance Premium; This is the prepaid mortgage insurance premium, if needed. This is the insurance premium some lenders charge for loans with little equity. 903 - Hazard Insurance Premium; This is used to record hazard insurance premiums that must be paid at settlement in order to have immediate insurance on the property.
Generally, the policyholder pays the premium directly to the insurance company or to the mortgage company, which then pays the homeowners insurance from the escrow account managed by the lender
Collateral Protection Insurance, or CPI, insures property held as collateral for loans made by lending institutions. CPI, also known as force-placed insurance and lender placed insurance, [1] may be classified as single-interest insurance if it protects the interest of the lender, a single party, or as dual-interest insurance coverage if it protects the interest of both the lender and the ...
If you have an active homeowners insurance policy, you have hazard insurance. Mortgage insurance vs. homeowners insurance While they sound similar, there is a difference between mortgage insurance ...
By Dona DeZube How would you like it if your lender forced a hazard insurance policy on you even if you were already covered? ... For premium support please call: 800-290-4726 more ways to reach ...
For premium support please call: 800-290-4726 more ways to reach us. Sign in. Mail. ... Along with proof of homeowners insurance, your lender may require you to have a mortgagee clause, a ...
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