Page 44 - Homeowners Manual - Marin County

Mortgage Broker: A person or company that buys and sells Ownership: The right to possess and use property to the
mortgages for another on commission or who arranges exclusion of others�
for and negotiates mortgage contracts�
P
Mortgage Insurance: Insurance protecting against the
nonpayment of, or default on, an individual mortgage Patent: A document or grant by which the federal or state
or loan involved in a residential mortgage transaction� It government originally transferred title to public land to an
protects the mortgage lender against loss incurred by a individual� The first in the series of transfers by which title
reason of nonpayment or mortgage default� comes down to present owners�
Mortgagee: The mortgage lender� Personal Representative: A person appointed by the
probate court to administer a decedent’s estate�
Mortgagee’s Policy: See “Lender’s Policy�” Also see “Executor” or “Administrator�”

Mortgagor: The mortgage borrower� Plat or Plot: A map representing a piece of land subdivided
N into lots with streets shown thereon�
P�M�I�: Private Mortgage Insurance� An insurance contract
Non-Public Personal Information (NPPI or NPI): Means which insures that the named lender will recover a
‘‘personally identifiable financial information’’ that is (i) specific percentage of the loan amount from the insurer in
provided by a consumer to a financial institution, (ii) the event the loan goes bad�
about a consumer resulting from a transaction or service
performed for the consumer, or (iii) otherwise obtained by Points: A one-time special fee or extra charge paid to
the financial institution� Personally identifiable financial a lender in order to secure a loan� Expressed as a
information includes any information obtained by a percentage of face amount of mortgage�
financial institution in connection with its provision of a
‘‘financial product or service,’’ even if the information is Policy: See “Title Insurance Policy�”
not typically considered financial in nature�
Policyowner: The insured on a title insurance policy�
Notary: One authorized to take acknowledgments�
Power of Attorney: An instrument authorizing another to act
Note: The instrument evidencing the indebtedness� A note on one’s behalf in legal matters�
is usually secured by a security instrument such as a Power of Sale: A clause in a will, mortgage, deed of trust or
mortgage or deed of trust�
trust agreement authorizing the sale or transfer of land in
O accordance with the terms of the clause�
Pre-Settlement Inspections: See “Walk Through�”
Origination Fee: The administrative fee charged by the
lender to prepare loan documents, run credit checks, Prepayment Penalty: A clause in a mortgage or loan
inspect and sometimes appraise a property, usually contract that says if the mortgage is prepaid within a
computed as a percentage of the face value of the loan� certain time period, a penalty will be assessed� The
penalty can be based on percentage of the remaining
Owner’s Policy: A policy of title insurance, which insures mortgage balance or some other calculation as described
a named owner against loss by reason of defects, liens in the clause�
and encumbrances not excepted to in the policy or
unmarketability of the title� The company also agrees to Premium Tax: A tax imposed on all premiums from the
defend covered claims made against the title� business of title insurance� Only applies in some states�

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