In this article, we are going to focus on the ALTA swap endorsements and when they can be used when underwriting title insurance. If you have additional questions about this or other ALTA endorsements, request a copy of our free endorsement book today!
Explaining the ALTA Swap Endorsements
The Swap Endorsement is used when the loan documents include an interest rate swap obligation that is secured by the insured mortgage. The interest rate swap agreement should be documented by three International Swaps and Derivatives Association (ISDA) forms, The Master Agreement, Schedule and Confirmation. There are four ALTA endorsement forms, ALTA 29-06 (Interest Rate Swap Endorsement – Direct Obligation), ALTA 29.1-06 (Interest Rate Swap Endorsement – Additional Interest), ALTA 29.2-06 (Interest Rate Swap Endorsement – Direct Obligation – Defined Amount Endorsement) and ALTA 29.3-06 (Interest Rate Swap Endorsement – Additional Interest – Defined Amount Endorsement).
Experts in Commercial Title Insurance Transactions
Commercial Partners Title Company offers expert title insurance and related services for commercial transactions. For decades, we have been providing unparalleled service, with a focus on relationships, to each and every one of our clients. Contact us today with any questions you may have on the title insurance process. We’d be happy to help you through the process. Our main office is in downtown Minneapolis, but we work with clients throughout the state of Minnesota, as well as the United States at large.