Relative to the new Reg Z rules, I am still a little confused as to what we are to consider an application. Will this mean they have to fill out a 1003 or could they just write down on a piece of paper the necessary items we are going to need and sign it, and that would be considered a written application?
The new RESPA changes have an effective date of 1/01/10 for the revised GFE and HUD. Is that for applications dated 1/01/10 or later, or for loans that close 1/01/10 or later?
I am at a financial institution which uses the terminology "property evaluation" on the GFE and "appraisal" on the HUD. Although they give the price ranges, I believe these to be inconsistent with guidance provided. Am I correct? Also, are borrowers still required to sign servicing disclosures with the implementation of the new RESPA regulation changes?
We require that our members have an escrow account to pay their real estate taxes, homeowners insurance and PMI bills. When a member pays off his first mortgage, are we allowed to deduct the escrow balance from the payoff amount or do we have to refund the balance of the escrow account to the member? We have attended compliance seminars that advise us to refund the balance to the member however, our system is set up to deduct the escrow balance from the payoff amount.
For Quarterly CRA reporting, where can I find the updated income levels to determine Low, Moderate, Middle, and High income levels for my geographic area?
Should we list the filing/recording fees on the TIL disclosure statement on a consumer loan for a residential purchase in which the bank pays all closing costs?
Our bank currently does not escrow taxes and insurance. In a third party review it was stated that we should still give an estimate on the GFEs. Does the servicing disclosure have to be signed (RESPA)?
I was told that some of the RESPA changes due for January 2009 have been put on hold due to litigation. Is this true? Can you tell me where to find the information on the parts put on hold?
Our bank does not charge the borrower a credit report fee when applying for a loan. Therefore, we do not include the fee on the final HUD or on the Reg Z disclosures. We are being questioned as to why not by our internal auditor. His view is that we must disclose all fees related to the transaction even if the borrower did not pay for it.
When a real estate purchase loan goes to a closing company they prepare and send the HUD for the bank to approve. When they disclose fees such as appraisal, credit report and flood they show the funds being paid to our bank instead of the actual service provider. Are we headed down a bad road?