Understanding Statements Of Information

By Matt Unangst, 23 Jan 16:21

• Provide means to distinguish real buyers and sellers from people with similar names
• Save title company unnecessary work
• Protect all parties in transaction
• Require personal information, but kept confidential
• Failure to complete a Statement of Information could prevent closing of escrow

When you try to buy or sell property, the title company will probably ask for a Statement of Information. While you may feel uncomfortable giving away the private information asked for, the Statement of Information is meant to protect you and completing it can make things a whole lot easier.
Without a Statement of Information, the title company may have to waste hours of time looking into people with a similar name to you, delaying your purchase or sale. To prevent this waste from occurring, the title company will ask you to provide some personal details: your full name, social security number, year of birth, and birthplace. If you are married, your spouse will be asked to provide the same information and you will also be asked to give the date of your marriage.
Much of this information is not something anyone wants to be giving away in the current climate of identity theft, but the title company must keep all the information you provide confidential and can only use it in completing the search of records necessary before issuing title insurance to you.
Failing or refusing to provide a Statement of Information could prevent your escrow from closing. The title company could come across someone with a similar name who they have reason to refuse coverage, and, thinking that you are this person, refuse to grant you the title insurance you need.

KEYWORDS: statements of information, escrow, title insurance, title company, houses for sale, homes for sale

SEE ALSO: Understanding Title & Closing Costs, Understanding Preliminary Reports

Tags: statement of information