Electronic Title - England & Wales
Accord Mortgages' requirements regarding evidence of its registered charge.
Until 31 December 2003 Accord Mortgages insisted that Title Deeds were deposited as security for a mortgage loan. However following the Land Registration Act 2002 and subsequent secondary legislation which provided the framework for an electronic Register, we dispensed with the need to submit Title Deeds from 1 January 2004, requiring our instructed conveyancer to send us only a copy of the Title Information Document to confirm our charge was registered. This documentation was scanned and held electronically by us. Conveyancers were instructed to release any other documents to our borrower or retain them on their client's behalf.
During 2007 and early 2008 we worked closely with the Land Registry and carried out a Data Synchronisation exercise. This matched our records with theirs. This enables us to receive an electronic message whenever a charge in our favour is registered. We can also electronically remove evidence of our charge from the Charges Register (see Electronic Discharge).
From 16th June 2008 we dispensed with the need for Title Information Documentation to be sent to us as evidence of the registration of our charge since we receive an electronic message to this effect from the Land Registry. However, because this message does not indicate whether we have a first registered legal charge we have reverted to our original requirement meaning that our instructed conveyancer must still send us a copy of the Title Information Document together now with the original or a certified copy of the completed mortgage deed. This has become increasingly important since the introduction of Early Completion by the Land Registry in August 2009.
As previously, our conveyancers should take the borrower's instructions regarding any title deeds and documents. When these are delivered to a borrower the borrower should be advised that the documents may be required in the future and should therefore be kept in a safe place so that they can be handed over to any subsequent buyer.