There is only one title company in our community and we were going to list it on the Written List of Providers, so that the title costs could fit into 10% tolerance category to allow the applicant to shop for a provider. The applicant could pick a title company in a surrounding town, but likely will not. Do you see any problems in this?

The only requirement is that the one you list has to be one that is available to the consumer. If the consumer reaches outside the community to find a different provider, that's OK, too, if you you will accept the other title company.

We were told by one of the TRID writers that even if there's only one provider so as long you put them on the list you can access the 10% tolerance. Not sure how shopping can occur but I liked his answer!

As is often the case with such technically challenging rules, it is form over substance.

So we have two title companies in our area... are we ok just to list one or should we list both?

The lender must identify the service(s), identify at least one provider available where the consumer or property is located and include a statement indicating that the consumer may choose a provider not included on the list.

Commentary to 1026.19(e)(1)(6).

3. Written list of providers. If the creditor permits the consumer to shop for a settlement service, § 1026.19(e)(1)(vi)(C) requires the creditor to provide the consumer with a written list identifying at least one available provider of that service and stating that the consumer may choose a different provider for that service. The settlement service providers identified on the written list required by § 1026.19(e)(vi)(C) must correspond to the settlement services for which the consumer may shop, disclosed pursuant to § 1026.37(f)(3). See form H-27 of appendix H to this part for a model list.