Click to return to BOL home page
Banker Store Read A Reg BOL Insiders Career Connect Learning Connect Bankers Information Network

Search BankersOnline
using Google


    Agency Road Maps

    Alphabet Soup

    Compliance Tools





    Lending Tools




    Check 21

    Operations Tools

    SAR Resrch Guide



    Bank Robbery


    ID Fraud/Phishing

    Security Tools


    Info Security

BOL Archives

BOL Blogs

Briefing Archive


Court Watch

e-Card Exchange

Examiner's Corner

Executive Briefing

HR Corner


Launch Pad

Regulator Roadmaps

Risk Management

Site Map

Site Orientation

Top Stories

~ ~ ~

Em@il Education

ID Verification

~ ~ ~

Banker Store

Bankers Info Ntwk


Career Connect

Learning Connect

Guru Central


Ask a Guru
Bankers Threads

Contact Us

Give Us Feedback


60 Second Solutions

Alphabet Soup

Banker Tools

BOL Forms


BOL Recipes

eCard Exchange


About Our Sponsors
About Us

Print Friendly! Email This Article! Discuss NOW!

RESPA - Won't Show the Fees as POC
Answer by David Dickinson, BOL Guru
Guru Bio

Question:  I understand that costs associated with no fee loans are to be shown as POC on the HUD. It is our practice to include the cost of the title, escrow and recording fees to the escrow company with our funding wire (over fund the loan). I have an escrow officer that refuses to show the fees as POC unless we send her a separate check and she won't even accept a separate wire for these fees. Her belief is that the items are not truly POC and this would constitute a RESPA violation. Therefore, she will only show it as a lender credit. I cannot find any information that suggests that over funding a loan constitutes a RESPA violation. Is this a RESPA violation, and if so, can you please guide me to the appropriate Reg?

Answer:  The first thing the escrow officer is missing is the requirement of RESPA to separately itemize all fees. Whether the fees in the funding are paid separately, they still exist. All fees must be listed.

Appendix A to 24 CFR 3500 states:
"The settlement agent shall complete the HUD-1 to itemize all charges imposed upon the Borrower and the Seller by the Lender and all sales commissions, whether to be paid at settlement or outside of settlement, and any other charges which either the Borrower or the Seller will pay for at settlement."

First published on 6/25/07

Privacy Policy    Disclaimer   Recommend This Site !   Contact Us

BankersOnline is a free service made possible by the generous support of our advertisers and sponsors. Advertisers and sponsors are not responsible for site content. Please help us keep BankersOnline FREE to all banking professionals. Support our advertisers and sponsors by clicking through to learn more about their products and services.