Opening of Escrow account with the Bank

Can a bank require an escrow account to be opened after the mortgage is given?

Answer (1)

Team Legistify

  • Sector-1, Noida

The bank may be entitled to do so if such authority is granted to them in the loan documents. If this authority does exist it is usually found in the deed of trust section for escrow or on the note. If no such authorization is given to the lender, the borrower may seek an injunction against the opening of the escrow account with his or her permission.

Answered on 28 Sep 2018

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