Regarding title related fees and disclosure on the CD, we have engagement letters in place for title service providers (attorney's) to ensure we have fee standardization from LE to CD because we allow borrowers to shop and provide them a list of providers. There are only three fees the bank and providers have agreed upon: Settlement Fee, Exam Fee, and Closing Protection Letter Fee. If the title service provider, say XYZ Title is issuing insurance from First American Title Insurance Company, and this insurer is issuing a Closing Protection Letter indemnifying the bank against any loss as a result of the title service provider's actions, should this fee be listed as paid to the title insurer (First American Title) or since this fee is one of three listed in our engagement letters with the title service providers, should it be listed as payable to XYZ Title? Same would apply to the the lender's title coverage premium. Payable to First American Title Insurance Company or to XYZ Title?

Thanks!

Good morning. Wanted to follow up to see if anybody had any thoughts on this and how others may be completing their CD's.

When I looked at one of the completed model forms (H-25B) on the CFPB website, it has all Title related fees paid to the title company. Under section 1026.38(f)(2) Services borrower did not shop for, it mentions to list 'the name of the person ultimately receiving the payment for each such amount.'. Using my same example above, the agent, XYZ Title would get a portion of the title insurance premium as well as the underwriter's portion, First American Title. So based on the sample CFPB form and the explanation under 38(f)(2), if I list just the title company, XYZ Title for all title related fees, I should be compliant, correct?

That's how we're handling it here.