{"data":{"id":"us-ky/krs-286.8-130","jurisdiction":"us-ky","citation":"KRS 286.8-130","heading":"Escrow account -- Interest -- Accounting.","body":"(1) All moneys paid to the mortgage loan company for payment of taxes or insurance\npremiums on property which secures any loan made or serviced by the mortgage\nloan company shall be deposited in an account which is insured by the Federal\nDeposit Insurance Corp oration or any other account acceptable to the Federal\nNational Mortgage Association or the United States Department of Housing and\nUrban Development or the Government National Mortgage Association or the\nUnited States Department of Veterans Affairs and ke pt separate, distinct, and apart\nfrom funds that belong to the mortgage loan company. The funds, when deposited,\nshall be designated as an \"escrow account\" or under some other appropriate name\nindicating that the funds are not the funds of the mortgage loan company.\n(2) Any interest earned on funds deposited into an escrow account under subsection (1)\nshall belong to the borrower and shall be applied to the expenses to be paid from the\naccount.\n(3) The mortgage loan company shall, upon reasonable notice, ac count to any debtor\nwhose property secures a loan made by the mortgage company for any funds which\nthat person has paid to the mortgage loan company for the payment of taxes or\ninsurance premiums on the property in question.\n(4) The mortgage loan company s hall, upon reasonable notice, account to the\ncommissioner for all funds in the company's escrow account.\n(5) Escrow account funds shall not be subject to execution or attachment on any claim\nagainst the mortgage company. It shall be unlawful for any mortga ge company to\nknowingly keep or cause to be kept any funds or money in any bank under the\nheading of \"escrow account\" or any other name designating the funds or money\nbelonging to the debtors of the mortgage loan company, except actual funds paid to\nthe mo rtgage loan company for the payment of taxes and insurance premiums on\nproperty securing loans made or serviced by the company.\n(6) Payments to the debtor's escrow account shall be promptly and properly credited.\nAll escrowed taxes, insurance, and other it ems shall be paid in a timely fashion and\nnot later than the statutory or contractual deadline applicable thereto.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=14872","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:14Z","sha256":"635e884ed68365943fe42958b3bc7bc60f7ec9bb34ceaab91302f81f2546c499","source_id":"us-ky","stale":false,"prev":"us-ky/krs-286.8-125","next":"us-ky/krs-286.8-140"},"notice":"GroundRules: Original legal text. Not legal advice."}