Title Company Checks
It’s payday when a check comes out. Well, no, not really, but like we’re talking about the title company checks. OK, so what happens is we all work hard and we all get paid at the same time. So here to Acquisto Real Estate, everyone gets paid upon closing and funding of the transaction.
We get paid like it’s zero until that minute. Right? So we work super hard and invest all of our time, energy efforts. And then all of a sudden there’s this closing and funding and it’s a glorious time and we want to make sure that everybody gets their money right away.
So the title company is nice enough to send out the money as we direct it, so we send over this thing called a CDA or a commission disbursement authorization. And this commission author is dispersement authorization takes the one number that’s coming into the company.
And in real estate, all commissions are paid directly to the broker. And then the broker authorizes how that money gets sent out. An agent can never accept that commission directly. It has to go through the broker. Then we send over this authorization or the CDA that takes that number and disperses it and sends it different places. So we have to take the whole number and say exactly what to do with it.
And the title company is nice enough to wire it so it gets there immediately to go by check or to like overnight it or sent it by regular mail so that they give us some of these options. And it’s really, really nice for us. Now, the problem we run in to is all of the money from the title company has to go out and it has to balance. So what balance is on that file is whatever the proceeds are that are coming in, there’s like a sale price.
And the settlement statement has all these numbers on it. And at the bottom, every single penny has to be accounted for. It can’t, like, not be. And the title company has to fund it fully and balance the whole file and have every single thing be accounted for and get approval. Yeah. And then they can close it.
So after dispersement, all of these checks have to go through and every penny has to go out and sometimes all those checks don’t get deposited, get lost. I mean there’s just things that happen. So what I want to kind of talk through with you is that the process is kind of what happens. And then when you don’t receive a check or how you should feel about the security of actually receiving the money that you’re kind of do.
Right, because things happen. Right. So if I was to share and look back just a little while, there was a time I can’t remember exactly how long ago. Stacey, I’m sure, knows the details because she doesn’t forget these types of things.
But all of a sudden, the title company called us and we had a check that we didn’t get, we didn’t deposit and there was something with it. And as a company was one of our personal closings. And it was like a real number. And it was, I think, 30 days and we had deposited it.
Now, that check we actually just missed and things happen. So what happened is that no, I know it was really I anyways, things happened, so we didn’t deposit this check. Now, the reason we didn’t deposit is because it didn’t get delivered to us. So it was like lost in the mail, so to speak. So when that happened. Right, it’s lost.
The title company calls us back and I’m like, yo, how can you didn’t put that check in? And we’re like, Wacek. And I’m like, oh my gosh. We have like a real problem that we that we missed that check and we didn’t even know and I didn’t know and she didn’t know and like, whoops, my bad. So the rest assured that every penny has to balance from the title company.
So if you’re due any money, whether it’s, you know, forty-two cents or it’s, you know, twenty thousand dollars, that the title company will kind of track that down and make sure it happens. We also had another one very recently and Mike Shepherd had one of his checks that he didn’t get. It was a wire. No, it was a check that was supposed to be wired.
They didn’t they sent a check and it just happened that I was on our neighborhood Facebook page and saw that someone chatted in. Hey, does anyone know Mike Shepherd who lives in our neighborhood? And I was like, Mike Shepherd, how many Mike Shepherds are there? So I reached out to her and said, you know, we have a home office, he’s an agent with us. And long story short, a check that had been sent.
I mean, it was weeks ago they had to stop him from Öresund, resend the payment, but it showed up. So, you know, snail mail does have some issues sometimes.
And the person didn’t live anywhere around here. It wasn’t like their last name was Shepherd or the first name was Mike or anything. They lived happen to live in the neighborhood. And it was delivered to the wrong address, like weeks later, almost a month later.
So we ended up getting the check. The check had to be it was canceled previously because. Yeah, no. Ah, yes. The mail lady is amazing. So anyways, things do happen, but rest assured that the title company has to have everything balanced.
Now if you want your money quickly and you can have it wired in a fee for that, there’s a fee on your side, on your side, and then it’s easy to close that file out, right?
Yes, I recommend that you do get your money wired. If it’s above like a thousand dollars, then have it wired. If it’s not, then be nice enough to allow them to send you a check, sometimes all overnight, because they really want it done and taken care of. And the title company sends it out at their expense.
Yeah. And but please deposit those checks right away when you get them. Don’t like to hold on to them and wait for a period of time, get them in the bank because it has to balance. So, but your money is protected, it’ll get taken care of and you’ll actually get it.