05/14/2017
Parents pass away and leave their home to their 3 children. Property went through probate. New deed was drawn up in 3 children's names. Said deed was never filed or recorded. One sibling wishes to Refi / Cash Out on the property and use the funds to buy out the other 2 siblings. Because the deed was never filed in the 3 siblings names, is this a purchase or a Refi transaction?
05/07/2017
If there is a missing e-mail or no note of who a fee is being paid to, do we need to reissue the CD? According to the commentary on CFPB website the question was asked: Are creditors required to provide corrected Closing Disclosures if terms or costs change after consummation? (§1026.19(f)(2)(iii)) Yes, in some circumstances. Creditors must provide a corrected Closing
Disclosure if an event in connection with the settlement occurs during the 30-calendar-day period after consummation that causes the Closing Disclosure to become inaccurate and results in a change to an amount paid by the consumer from what was previously disclosed. Creditors also must provide a revised Closing Disclosure to correct non-numerical clerical errors and
document refunds for tolerance violations no later than 60 calendar days after consummation. (§ 1026.19(f)(2)(iv)-(v)). The commentary goes on to define the difference between clerical and non-clerical. However, missing who a fee goes to, does not affect timing, delivery or other requirements in 1026.19 (e) or (f) nor is it a tolerance violation. My thought is this does not fall into the parameter of "Yes, in some circumstances". So, do we reissue? or as one examiner stated write a letter explaining. That is no where to be found in the regulation either.
03/12/2017
Is there a regulation/rule on the timing of when a Lender must deposit funds collected at closing for the initial escrow account set-up? If so, will you direct me to it, please?
02/26/2017
Since the settlement agent prepares the seller's Closing Disclosure in a purchase transaction, we as lender are not always able to get a fully complete CLoD with all information provided. The rules makes clear the settlement agent is to prepare the seller's CLoD and provide it to the creditor. We sometimes ask multiple times for the fully completed seller CLoD to be provided but often it is not completed to our satisfaction. I'm trying to determine what liability the creditor has? Must we simply document our due diligence in attempting to obtain this, even multiple times, to get a complete document and if impossible, go with the most complete document we can get, or must we refuse to fund the loan until the settlement agent provides what we think complies with the rule?
02/05/2017
I have a question about a Closing Disclosure and the Disbursement Date on a no rescission loan with payoffs requiring funds from borrower received on the next day. Would we disclose the Disbursement Date on the CD as the same day as the closing date or the date we receive the borrower's funds and the actual funds are disbursed?
02/05/2017
I have a question about a Closing Disclosure and the Disbursement Date on a no rescission loan with payoffs requiring funds from borrower received on the next day. Would we disclose the Disbursement Date on the CD as the same day as the closing date or the date we receive the borrower's funds and the actual funds are disbursed?
01/29/2017
I have a RESPA violation that I am trying to clear up or at least cure and I am having issues finding guidance on this matter. The loan was a Idaho DPA, the loan program changed mid-way and there was a credit that the borrower should have received with that change and did not. The credit was never disclosed to the borrower and we are now 60 days past the closing date.
01/22/2017
I read that the CFPB staff said that under “Other Costs” on page two of the Closing Disclosure, general lender credits not associated with any particular item must be listed at the bottom of the page as a negative number. The lender credit must be listed along with a narrative description if any refund is being provided by the creditor pursuant to the good faith analysis of charges. Notably, the CFPB staff said that lender credits associated with specific closing costs must be disclosed as paid by others and have an “L” for lender designation. This makes it seem like we would put the increase in appraisal cost on line 1 under Other costs. “variation due to an increase of appraisal cost above legal limit to ABC Appraisal” and put it as a cost paid by others column (L) $xxx UNLESS there is more than 1 item out of tolerance. Is this correct.
01/15/2017
Do we need to show the insurance premium on the Closing Disclosure as being collected at closing on a Purchase of a second home?
11/27/2016
How should lender credits be handled at closing for a TRID loan? Do we have to still issue a "Good News" letter? Can we quit issuing checks and use credit towards cash at closing?