Most Popular Lending Content
Underdisclosed PMI
01/03/2005
What tolerance is there for TIL errors? If a mortgage loan has already closed, and the bank made an error and underdisclosed PMI, can we redisclose and correct the payment, or should we bite the bullet and self-insure for the difference?
ARM Disclosures by a Broker
01/03/2005
We are a state-chartered FDIC-insured bank that originates residential loans. We do this through a correspondent (we close/fund loans and sell to correspondent) channel, as well as act as a broker on loans for wholesale lenders. In the broker capacity we would be referred to as a TPO "third party originator." With regard to ARM program disclosures, are we required to give these when originating brokered loans or only when we are the "creditor" and closing loans with our own funds via correspondent channel?
Proving Early Disclosures Were Made
01/03/2005
How do we document in our files that we have sent out Early TIL disclosures on a timely basis? We keep a copy of the Early TIL in the file, but it is not signed by the customer in some cases (if the lender mails them rather than giving them to the customer at the time of a face-to-face application). I am told by our lenders that borrowers don't always return a signed copy of the Early TIL, so that can't always be relied upon for proof. Any suggestions?
Paying Mortgage Referral Fees
01/03/2005
If a broker-dealer provides customer leads to a mortgage banker and the mortgage banker originates, processes and funds loans from some of the leads, can the mortgage banker pay a marketing or lead-generation fee to the broker-dealer?
What Fees are Marked as Prepaid
01/03/2005
Of all the settlement fees that can be found on a HUD and GFE, which ones should be marked as a prepaid finance charge? Or, if it's easier, what shouldn't be marked as a prepaid finance charge?