§ 45A-4. Duty of settlement agent.
§ 45A‑4. Duty ofsettlement agent.
(a) The settlementagent shall cause recordation of the deed, if any, the deed of trust ormortgage, or other loan documents required to be recorded at settlement. Thesettlement agent shall not disburse any of the closing funds prior to therecordation of any deeds or loan documents required to be filed by the lender,if applicable, and verification that the closing funds used to funddisbursement are deposited in the settlement agent's trust or escrow account inone or more forms prescribed by this Chapter. Unless otherwise provided in thisChapter, a settlement agent shall not cause a disbursement of settlementproceeds unless those settlement proceeds are collected funds. Notwithstandingthat a deposit made by a settlement agent to its trust or escrow account doesnot constitute collected funds, the settlement agent may cause a disbursementof settlement proceeds from its trust or escrow account in reliance on thatdeposit if the deposit is in one or more of the following forms:
(1) A certified check;
(2) A check issued bythe State, the United States, a political subdivision of the State, or anagency or instrumentality of the United States, including an agriculturalcredit association;
(3) A cashier's check,teller's check, or official bank check drawn on or issued by a financialinstitution insured by the Federal Deposit Insurance Corporation or acomparable agency of the federal or state government;
(4) A check drawn on thetrust account of an attorney licensed to practice in the State of NorthCarolina;
(5) A check or checksdrawn on the trust or escrow account of a real estate broker licensed underChapter 93A of the General Statutes;
(6) A personal orcommercial check or checks in an aggregate amount not exceeding five thousanddollars ($5,000) per closing if the settlement agent making the deposit hasreasonable and prudent grounds to believe that the deposit will be irrevocablycredited to the settlement agent's trust or escrow account;
(7) A check drawn on theaccount of or issued by a mortgage banker licensed under Article 19A of Chapter53 of the General Statutes that has posted with the Commissioner of Banks asurety bond in the amount of at least three hundred thousand dollars($300,000). The surety bond shall be in a form satisfactory to the Commissionerand shall run to the State for the benefit of any settlement agent with a claimagainst the licensee for a dishonored check.
(b) (Forapplicability date, see note) If the settlement agent receives informationfrom the lender as provided in G.S. 45A‑5(b) or otherwise has actualknowledge that a mortgage broker or other person acted as a mortgage broker inthe origination of the loan, the settlement agent shall place an entry on page1 of the deed of trust showing the name of the mortgage broker or other personwho acted as a mortgage broker in the origination of the loan. Informationpertaining to the identity of the mortgage broker or other person who acted asa mortgage broker in the origination of the loan shall not be consideredconfidential information. The terms "mortgage broker" and "actas a mortgage broker" shall have the same meaning as provided in G.S. 53‑243.01.(1995 (Reg.Sess., 1996), c. 714, s. 1; 2001‑420, ss. 1, 2; 2007‑176, s. 1.)