Origination Charge and Discount Points

Posted By: HMDA Girl

Origination Charge and Discount Points - 08/31/18 01:23 PM

I have not had to report discount points as of yet. I am having a hard time figuring out if I break out discount points from the total origination charges and then adjust the origination charges? or do I just report the total origination charges and the discount points?
Posted By: Dan Persfull

Re: Origination Charge and Discount Points - 08/31/18 02:21 PM

You report the total Origination Charges disclosed on Line D and the total Discount Points disclose on Line A01 of the Closing Costs Details
Posted By: HMDA Girl

Re: Origination Charge and Discount Points - 09/04/18 02:09 PM

Thank you!
Posted By: George

Re: Origination Charge and Discount Points - 09/04/18 04:53 PM

To piggy back off this: we charge both an admin fee and origination fee, both listed in section A. Should we be reporting the full amount per line A for origination charges? Or do we report just the actual origination fee per line A01?
Posted By: Dan Persfull

Re: Origination Charge and Discount Points - 09/04/18 05:42 PM

The only separate origination charge you report is taken form Line A-01 which is the discount points paid to reduce the interest rate.
Posted By: Antilles

Re: Origination Charge and Discount Points - 09/25/18 01:10 PM

To also piggy back: That would mean if I had $1000 in origination, $200 processing, and $500 for discount points, I would enter $1700 in origination charges and $500 discount points on the LAR.
Posted By: Dan Persfull

Re: Origination Charge and Discount Points - 09/25/18 01:25 PM

Section A would look something like this.

A. Origination Charges - $1,700.00
.01 - X% of Loan Amount (Points) - $500.00
.02 - Origination Fee - $1,000.00
.03 - Processing Fee - $200.00

On the LAR you report the total from Line A for the Total Borrower-paid Origination Charges and the total from Line A.01 for the Total Discount Points.