Can you give me your thoughts on this?

When we have an increase of the monthly MI from the initial LE to the Closing Disclosure, the Prepaid Finance Charge is the same and the APR is not outside the .125 tolerance. Our system is only requiring us to cure the amount of the difference of one month of the MI premium. Is this correct? Or should we be curing the total MI difference over the term of the MI?

The error is due to the incorrect product being put into the rate/payment information at the time the MI certificate was issued.

Why would you have to cure anything? If you are referring to the MI cushion collected for the escrow account, there is no tolerance requirement.

Not the escrow. The monthly MI payment. So on our initial LE, we showed a monthly MI payment of $150 and when we revised the MI quote with the correct product, the MI monthly payment is now $195.

I'm not aware of any cure requirements for when the payment changes. It would be the same if the MI cert comes back with a different payment amount than the quote. There is no cure, you would just reflect the accurate payment.

Tracey- are you collecting one month upfront for the MI? If yes, than you would need to cure for the difference in that one month's upfront charge.

Thank you all.