Does anyone know where I can find suggested language for the annual PMI notices for loans originated after 7/99.

We use the following for our disclosures. Hope this helps.

[BANK NAME]
Important Information About Your Private Mortgage Insurance

Your mortgage loan with [Bank Name] required private mortgage insurance (PMI) at the time of your loan origination. The PMI requirement on this loan may be canceled if you qualify under the following criteria:

1. The private mortgage insurance may be canceled when:
a. The Outstanding Principal Balance has been paid down to an amount no greater than:
1. 80% of the original value based on your actual payment history, or on amortization schedules for your mortgage; or,
2. 80% of the current appraised value (determined by a new appraisal obtained by the customer, or BPO ordered by the lender, at the customers expense) provided five years have elapsed since the origination date of the mortgage;
b. For the above to apply, the loan payment history shows no payments 30 days or more past due within the preceding twelve months; and no payment 60 days or more past due in any 12 month period in the past 24 months.

2. Requests for release from the PMI requirement and cancellation of PMI insurance must be made in writing to:

Bank name
Bank address

3. If you are unsure whether or not you qualify for termination of your PMI, you may call us at (phone number) and ask for loan servicing for a determination.

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David J. Mulkerin
Opinions expressed are mine and not my employers, who gets them whether they want them or not.

Kirchman Corporation has sample forms in their "Big Orange Book." www.kirchman.com

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Opinions expressed are my own and are not necessarily those of my employer.

I have seen the notice in Kirchman's manual. Our examiners told us the annual notice for fixed rate loans had to include the actual dates for termination and cancellation. Has anyone else been told that?

I'd agree that termination / cancellation dates need to be in the initial disclosure, but the ANNUAL one? We send a generic annual notice (similar to David's example) along with our annual escrow analysis - if we have to customize the mailing to take specific dates into account, my mortgage staff won't be very happy...

The Implementation Guide to PMI Cancellation that was published by America's Community Bankers and the Mortgage Bankers Association of America opines that the dates are not required in the anual disclosure. Reference pages 10-4, 10-5 in that publication.

[This message has been edited by Steve Shoulta (edited 01-31-2001).]