Notice Regarding Recording/Filing Services as Impacted by the FinCEN Geographic Targeting Order
As announced in our email sent on August 31st, 2017, the FinCEN Geographic Targeting Order (GTO) has been further amended in several ways which will impact title companies and agencies handling transactions in New York, Florida, Hawaii, Texas and California. This notice and attachments are meant to provide more detail and clarity regarding the specific impacts and requirements of the amended GTO.
If you intend to send documents to TitleVest for recording services please note that, as a company (as are all major underwriters and their agents) covered by the updated FinCEN GTO effective September 22nd, 2017 (copy enclosed), TitleVest and other title agencies/companies will be required to report all Covered Transactions, as defined by the order.
How To Identify Covered TransactionsWhile the Order is more comprehensive than this summary, some of the specific criteria are:
- the property use is residential; and
- the buyer is a "legal entity" (corporation, LLC, partnership or other similar business entity); and
- the purchase is made without a bank loan or other similar form of external financing*
|CA||Los Angeles, San Diego, San Francisco,
San Mateo, Santa Clara
|FL||Broward, Miami-Dade, Palm Beach||$1 Million|
|NY||Bronx, Brooklyn, Queens, Staten Island||$1.5 Million|
- Completed FinCEN Geographic Targeting Order Information Transmittal Worksheet
- Copy(ies) of Grantee entity formation documents
- Name, Photo ID, SSN and occupation for the person primarily responsible for the Entity Buyer(s). This is typically the person who signs on behalf of the Entity Buyer(s)
- Names, photo IDs, SSNs and occupations of all Beneficial Owner(s) of the Entity Buyer(s) who have a direct or indirect ownership interest of 25% or more, including LLC members
- If formation documents do not indicate a percentage of ownership, or there are no person(s) who have a direct or indirect ownership interest of 25% or more, written verification from the Entity Buyer(s) is required
- If entity owner is an LLC, names, addresses and taxpayer ID numbers of all the members; if the LLC member is also a Beneficial Owner, photo ID, date of birth and occupation are also required for those Beneficial Owners
- Address and EIN of the Entity Buyer(s)
- Copy(ies) of all deposited personal, business, cashier's checks, money orders, travelers checks and/or wire transfers
- Further documentation as deemed necessary
*If buyer obtained a loan in connection to the purchase, the loan must be from a financial institution with anti-money laundering (AML) policy in order for it not to be a covered transaction.