myClosingSPACE.com has developed a series of articles focusing on real life examples which explain the need for title insurance. Since title insurance is not understood by many consumers myClosingSPACE.com decided to put this series together to help them understand what title insurance is and how it can help them in a time of need.

Mortgage Lender Mistakes

The first article in the The Need for Title Insurance Series explores problems that can occur when a mortgage lender makes a mistake. The situation reviewed in this example focuses on a family that was facing foreclosure through not fault of their own. They kept up payments and were not behind in their mortgage so they were very confused and scared. The family contacted a title agent who went to work and found that the lender made a mistake and released their lien on the wrong property when it was paid off at the Roberts settlement. So due to a mistake by the mortgage lender they almost lost their house.

Thanks to Title Insurance

The title agent in this scenario had to navigate a large organization to get to the bottom of the problem. Once the issue was discovered the agent was able to clear the issue. The family was able to get back to living their lives without the fear of losing their home. Without title insurance they may have had no recourse and could have lost their house through not fault of their own. Title insurance agents get a bad rep but they are indispensable when an issue like this arises. Consumers should understand what can happen without title insurance and get involved with the process so they can not only save money but also know that they will be protected if an issue arises.