Mortgage Disclosures Requiring Signatures
by Andy Zavoina and Richard Insley, BOL Gurus Guru BIOS
Question: What are the specific required federal disclosures that must be given to mortgage borrowers for their signature?
Answer by Andy Zavoina: The potential servicing transfer notice under (RESPA) 3500.21(c) requires a signature if you are using this form. Because of changes to the law and not the regulation there is a discrepancy here as many believe the short form that is allowed under the law requires no signature.
The insurance notice form you may use may require a signature as well.
Otherwise, I can't think of documents "requiring" a signature. By all means this does not mean signatures are not needed elsewhere.
Answer by Richard Insley It's a very long stretch, but if the bank should sell personal credit insurance and exclude the premiums from the Finance Charge, it would have to obtain the customer's initials or signature (226.4(d)).
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