Beneficiary(ies) or Beneficial Owner(s):
This refers to the property owner or owners and will typically be the borrowers.
Power of Direction:
The holder of the power of direction is the person authorized to direct the trustee to execute documents, including loan documents.
Letter of Direction:
This letter, signed by the holder of the power of direction, authorizes the trustee to execute the document(s) contained in the letter of direction.
Collateral Assignment of Beneficial Interest:
This is the agreement that secures the lenders interest in the beneficial interest of the trust and puts a lien on the beneficial interest in the trust. It is the land trust equivalent of the mortgage. However, since it is not recorded, it does not show up as a lien on record title. Most significantly, it gives the lender a power of direction in the land trust and may allow foreclosure outside the court-monitored foreclosure process through a UCC Article 9 personal property foreclosure.
Release of Collateral Assignment of Beneficial Interest:
This releases the collateral assignment, and it should be executed contemporaneously with the release of the mortgage.
Facsimile Assignment of Beneficial Interest for Collateral Purposes:
One page document used to notify state, county and municipal bodies of a transfer of interest within the land trust. This only needs to be recorded if the subject property is in Cook County.