How do we resolve a conventional 30 year residential loan, originally floating at application, that was closed without being officially "locked," at the rate originally stated on the LE, which did state that the rate was floating? Will the resolution differ if the now current market rate has dropped lower than the original stated rate versus an increase in the rate?
Regarding a lender credit reduction for an extension of an interest rate lock, may a lender reduce a lender credit to extend the lock period?
Example; A rate lock expired 4-25-19 and the closing date was 4-28-19. The initial rate lock and Loan Estimate reflect a lender credit of $2000.00 with 4.25% interest rate. The lock was extended through 4-29-19 at the same rate, but the lender credit was reduced to 1800.00. Since the lender credit was reduced based on an interest rate dependent charge, is this acceptable for interest rate extensions? If it is, is there a requirement that documentation confirms the delay was due to the borrower or outside of the lenders control?
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?
I have two questions regarding TRID.
1. A fee that should have been disclosed on the Loan Estimate section “Services You Cannot Shop For” (FHA Upfront MIP) was inadvertently disclosed in the “Other Costs” section. It was disclosed in the correct section on the Closing Disclosure. What is the violation and cure for this error?
2. A fee of $555 was disclosed for the appraisal on the Loan Estimate for an FHA loan. This estimate was in good faith and considered the likelihood that repairs be requested as a result of the appraisal. On the Closing Disclosure the fees were listed as Appraisal - $400 and Inspection Fee/Additional Appraisal Fee - $100. Is this subject to a cure?
Would there ever be a reason to reflect a rate lock extension fee on an LE and/or a CD when the lock has not expired and will not expire until after
closing? Closing has not been delayed in this scenario.
This pertains to a loan modification on s consumer lot purchase loan. No new money is lent. We are modifying the maturity date and terms.
(1) Can the interest rate be modified?
(2) Does TRID apply?
If a fee that is normally charged on a TRID transaction is inadvertently omitted from the LE but added to the CLoD, would that be subject to a cure of the entire amount? Example, the fees for lender's title insurance, the settlement/closing fee, recording fees were completely omitted from the LE that was delivered to the applicant. Even though these fees are normally subject to a 10% tolerance, shouldn't they be totally cured since they were not disclosed on the LE?
Do we state the split of Real Estate Broker Commission on the Closing Disclosure?
Would an escrow waiver fee be disclosed in the Loan Origination Section and in the Escrow Waiver Fee section?
I am auditing a bank and verifying consumer 1-4 family loans are not HPMLs. I am using the Closing Disclosure date and APR to perform my testing. Am I using the correct date and APR?