Skip to content
BOL Conferences
Learn More - Click Here!

New Reply Thread Options
#1605741 - 09/19/11 10:30 PM Lender choosing title company
Anonymous
Unregistered

Where does RESPA state that a lender may not require a borrower us a specific title company to close? Does this apply only to purchase transactions?

Return to Top Reply Quote Quick Reply Quick Quote
#1605746 - 09/19/11 11:55 PM Re: Lender choosing title company Anonymous
Truffle Royale Offline

10K Club
Joined: Jul 2003
Posts: 17,395
No where!!!
A lender can chose all the service providers, including the title company on both purchases and refis.

Return to Top Reply Quote Quick Reply Quick Quote
#1605764 - 09/20/11 01:53 AM Re: Lender choosing title company Truffle Royale
rlcarey Online
10K Club
rlcarey
Joined: Jul 2001
Posts: 83,221
Galveston, TX
"A lender can chose all the service providers, including the title company on both purchases and refis."

The lender can choose all the service providers unless the Bank is the seller, then they could not choose the title company. Also, the bank can choose all the service providers that are providing services to the bank. IMHO - The Bank would have no right to dictate what title company a borrower can purchase their OTI from as it does not involve the bank.
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top Reply Quote Quick Reply Quick Quote
#1605878 - 09/20/11 02:33 PM Re: Lender choosing title company rlcarey
Anonymous
Unregistered

So, other than the required Affiiated Business Arrangement disclosure if applicable, if the bank tells borrowers, on say large Home Improvement loans, which title company they have to close with, the only down side is that we would be limited to the 10% tolerances. But we would no longer have to provide the required list of services providers for title companies?

Return to Top Reply Quote Quick Reply Quick Quote
#1605937 - 09/20/11 03:35 PM Re: Lender choosing title company Anonymous
Anonymous
Unregistered

I caution you to review your state laws. IL indicates it is not in the best interest of the borrower for the lender to choose the title company on a purchase transaction.

Return to Top Reply Quote Quick Reply Quick Quote
Quick Reply:
HTML is disabled
UBBCode is enabled




Moderator:  MagicCity, P*Q, Truffle Royale