Good morning,
Mortgage Department did not disclose PMI on LE's. Does the FI eat the PMI entirely, just the 1st month paid at close, or is it a violation the FI cannot cure, and just charge the borrower?

Thank you-

Any upfront PMI disclosed in Section B is a 0% tolerance violation. Other than that, you have a pretty serious good faith violation on the LE for significantly under disclosing the cost of the credit. A one time oops - well figure out what happened, document and train. A pattern or practice, well that is going to be looked at a lot more seriously by the regulators. If this is a secondary market loan, I doubt the investor is going to buy it

Thank you so much for the quick response, Randy.