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#2248157 - 01/26/21 03:25 PM Separate CD for Buyer and Seller
Jason Ellis Offline
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I am hoping to get clarification on the information required to be on the buyer's CD if we provide a separate CD to buyer and seller. Specifically, do we need to show seller-paid Loan Costs and Other Costs on the buyer's CD. §1026.38(t)(5)(v)(B) says:

The information required to be disclosed by paragraphs (f) and (g) of this section with respect to costs paid by the consumer may be left blank on the disclosure provided to the seller.

Since it only says the costs paid by the consumer may be left blank on the disclosure provided to the seller, and not vice versa, I read that to mean the seller-paid costs must be shown on the consumer's CD. So if the title company charges a $500 closing fee that is split between the buyer and seller, the CD would show $250 in the borrower column and $250 in the seller column. I feel comfortable with my interpretation but am getting some pushback.

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TRID - TILA/RESPA Integrated Disclosures Rule
#2248158 - 01/26/21 03:31 PM Re: Separate CD for Buyer and Seller Jason Ellis
rlcarey Online
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All closing costs paid by the seller must appear on the buyers CD on Page 2. It is as simple as that.
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#2248161 - 01/26/21 03:51 PM Re: Separate CD for Buyer and Seller rlcarey
Jason Ellis Offline
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Thanks for the confirmation. The pushback had be thinking I might be missing something.

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#2248167 - 01/26/21 04:28 PM Re: Separate CD for Buyer and Seller Jason Ellis
rlcarey Online
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If you continue to get push back, just print the FAQ from the CFPB website for them:

https://www.consumerfinance.gov/com...sure-faqs/#providing-closing-disclosures
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#2248213 - 01/26/21 10:13 PM Re: Separate CD for Buyer and Seller rlcarey
Jason Ellis Offline
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Perfect! Thanks. I totally forgot to review the FAQs.

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#2248243 - 01/27/21 03:57 PM Re: Separate CD for Buyer and Seller Jason Ellis
John Burnett Offline
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It's also spelled out in §1026.38(g), .38(g)(4) and official interpretations of those sections. But its spelled out most clearly in those FAQs.
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#2248387 - 01/29/21 05:12 PM Re: Separate CD for Buyer and Seller Jason Ellis
MB Guy Offline
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Way, way south.
Can someone refresh me: Do we need to have the seller information on the buyer's CD or no? I've seen varying opinions on this.
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#2248393 - 01/29/21 05:48 PM Re: Separate CD for Buyer and Seller rlcarey
raitchjay Offline
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OK
Originally Posted by rlcarey
All closing costs paid by the seller must appear on the buyers CD on Page 2. It is as simple as that.
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#2248394 - 01/29/21 05:52 PM Re: Separate CD for Buyer and Seller Jason Ellis
raitchjay Offline
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OK
Or did you mean something else MB? Like seller address?
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#2248396 - 01/29/21 06:11 PM Re: Separate CD for Buyer and Seller Jason Ellis
raitchjay Offline
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OK
If by transactional information, you mean fees paid by the seller, those have to be there.

(f) Closing cost details; loan costs. Under the master heading “Closing Cost Details” with columns stating whether the charge was borrower-paid at or before closing, seller-paid at or before closing, or paid by others, all loan costs associated with the transaction, listed in a table under the heading “Loan Costs.” The table shall contain the items and amounts listed under four subheadings, described in paragraphs (f)(1) through (5) of this section.
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#2248742 - 02/05/21 01:40 PM Re: Separate CD for Buyer and Seller Jason Ellis
Jason Ellis Offline
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I want to follow up on this thread. There is no doubt that all seller-paid Loan Costs and Other Costs must be disclosed on the buyer's CD. My business line is telling me that presents a problem with the points and fees test and for interested party contribution limits.

I think my LOS my not be calculating the points and fees correctly. As far as the interested party contribution I think the LOS may not be distinguishing between seller-paid fees and seller-responsible fees. Does that make sense?

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#2248747 - 02/05/21 02:39 PM Re: Separate CD for Buyer and Seller Jason Ellis
rlcarey Online
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Sounds like you need to contact your LOS support representative, because apparently either something is not set up correctly in your system and you are not entering the fees correctly.
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