New Rules to Prevent Money Laundering - for Colorado Closings
Effective 5/23/23, when a Colorado title company closes a transaction and meets all 5 of the following criteria, there will be a form that the Buyer will need to complete.
1. Title is being taken by a legal entity
2. The property is residential
3. The property is paid for with all CASH
4. The property is priced above $300,000
5. The property is in one of the following 14 counties:
Adams, Arapahoe, Clear Creek, Denver, Douglas, Eagle, Elbert, El Paso, Fremont, Jefferson, Mesa, Pitkin, Pueblo, or Summit
Upon receipt of title work, this form will be attached, and if these 5 criteria are met, the Buyer will need to complete and return it to the escrow officer and approved by underwriting prior to closing!
This new rule is called FinCEN -
FinCEN is a bureau of the U.S. Department of the Treasury. The Director of FinCEN is appointed by the Secretary of the Treasury and reports to the Treasury Under Secretary for Terrorism and Financial Intelligence. FinCEN’s mission is to safeguard the financial system from illicit use and combat money laundering and promote national security through the collection, analysis, and dissemination of financial intelligence and strategic use of financial authorities.
Here is the website explaining this new Department of Treasury reporting requirement.
Comments(4)