Most Popular Lending Content
Third-party fees and tolerance cure
03/09/2025
If a third-party fee, such as a wire fee or E-Doc fee from the Closing Agent, was not disclosed on the LE, does the lender have to provide a tolerance cure for the full amount of such fee(s) or would they fall into the 10% tolerance cure calculation bucket?
Does an entity need a separate resolution for each
03/09/2025
Do you have to have a new resolution with every new loan a borrower does. Or will oneresolution for the entity work?
TRID tolerance violation for omitting cost of PMI
03/09/2025
I have a processor who issued a Loan Estimate and missed the fact that the loan had a 90% LTV, and the Loan Officer did not catch it either. So, the Loan Estimate did not include PMI. Even if we redisclose it will not fix the TRID tolerance violation. I have always been told that the first month we collect at closing to pay to the PMI vendor would have to be paid by the lender to "cure" the tolerance violation, and then we continue on as normal collecting PMI escrow from the borrower monthly and passsing it on to the PMI vendor. Now someone tells me that when this happens the lender has to pay for the entire life of the PMI, because of the tolerance error. Can anyone tell me what they think and give me something to back up your thoughts?
Getting permission to pull a credit report
03/02/2025
We are reviewing our procedures when it comes to pulling credit for loans/credit cards. One question that has come up is - what is required when pulling credit? Our branch staff can take in-person and telephone applications. For in-person applications should we have the customer sign a document stating that they are authorizing us to pull credit? What should that process look like for applications taken over the phone? We are concerned that if we add a check box to the application the branch employee may click that box without discussing with the client (for both in person and over the phone applications).
Obtaining a Tax Transcript to Verify Income
03/02/2025
What is the procedure for getting a 4506-T (Tax Transcript) on behalf of a client?