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BankersOnline.com Forums Dodd-Frank Final Rules Discussions TRID - TILA/RESPA Integrated Disclosures Rule Rounding on Page 1 of LE - Escrow/Total Payment
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#2126916 - 04/19/17 12:50 PM Rounding on Page 1 of LE - Escrow/Total Payment
dutchbltz Offline
100 Club
Joined: Oct 2015
Posts: 207
Can anyone provide insight on how they are adding and rounding in the 'Projected Payments' table on page 1 of the Loan Estimate? In the scenario I'm looking at, P&I is $236.51. There is no mortgage insurance. The LE shows $162 for the Escrow amount, which is correctly rounded from the figures in section G on page 2. The unrounded escrow figure would have been $161.70.

So here's the issue. Our system is making the Estimated Total Monthly Payment $398. Based on 1026.37 C (2) (iii) and 1026.37 o(4)(I)(A), I think we should be rounding it to $399, which would use the rounded escrow figure in the calculation and then rounding the total. I'm going to check with our system, but I'd like to also know how other banks LE's are printing in this type of scenario.

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TRID - TILA/RESPA Integrated Disclosures Rule
#2126981 - 04/19/17 03:12 PM Re: Rounding on Page 1 of LE - Escrow/Total Payment dutchbltz
John Burnett Offline
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John Burnett
Joined: Oct 2000
Posts: 40,086
Cape Cod
Comment 37(o)(4)(i)(C):

Quote:
1. Rounding of the total monthly payment. Section 1026.37(o)(4)(i)(C) requires the total monthly payment amount disclosed under § 1026.37(c)(2)(iv) to be rounded if any of its components are rounded. For example, if the total monthly payment disclosed under § 1026.37(c)(2)(iv) is composed of a $2,000.49 periodic principal and interest payment required to be disclosed by § 1026.37(c)(2)(i) and a $164.49 periodic mortgage insurance payment required to be disclosed by § 1026.37(c)(2)(ii), the creditor would calculate the total monthly payment by adding the exact periodic principal and interest payment of $2,000.49 and the rounded periodic mortgage insurance payment of $164, round the total, and disclose $2,164.


Your calculation, then, is the exact monthly payment of $236.51 plus the rounded escrow figure of $162, or $398.51, which should be rounded to $399. Your system is displaying the wrong result.

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#2127386 - 04/20/17 09:22 PM Re: Rounding on Page 1 of LE - Escrow/Total Payment John Burnett
dutchbltz Offline
100 Club
Joined: Oct 2015
Posts: 207
Thank you John I appreciate your thoughts.

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