HUD AND TIL

I have a question concerning documentary stamps. We have already closed the loan and filed the deed, but noticed we charged the incorrect amount for the stamps compared to the sales price.

What are my options?

Thanks

If it's an overage, redo the HUD and send it with a check to the borrower.

If you didn't disclose enough, I'd note the file, train to prevent future errors and move on. Not likely you'll get more $$ out of the borrower now.

It is not an overage, but since the the deeds stamp does not reflect the sales price will it be a problem?

Can the bank pay this amount and just eat it or should I leave it alone? I think I could get it from the borrower. Do you have to do anything except note the file if were to pay it and refile or is that an option?

Thanks

What kind of problem do you think this could be?

It's a miscalculation that doesn't negatively affect the borrower.
The bank already paid this amount.
While you think you could get it from the borrower, is it worth saving face (and reputation) to just leave it be?

Like I said, I'd note the file, use it for training at the next dept meeting and move on.

I am with you about repuation. The amount the bank paid was the amount we charged the customer which was the incorrect amount.

Does this not effect the customer in any way? I was told this may cause problems with taxes?

Thanks

If the bank (and customer) did not pay the full amount, there could be a problem, as in many locals, the mortgage is "legal" only if the right amount of stamps is affixed. If the bank had to foreclose on the mortgage, it may be possible that there could be an issue as not properly recorded. I would (like others said) pay the amount, train and move on.

That is what I wondered just pay correct amount. This is on a deed not mortgage. Deed is already filed can you refile same deed? Can we be written up for this?

Need advice on refiling same deed or do I even refile.

Thanks

ok...we need to back up the train. I'm thinking we all thought you were talking about a deed of trust, not the deed to the property.

I'm not sure how the deed got recorded without the proper tax stamps affixed. Normally there's documentation that goes with the deed that speaks to sale price, etc. Was there something of this nature here? Was it filled out incorrectly? Who completed the form?

No, you should not refile the same deed as is. Most states I work in do an Affidavit of Correction to fix something that's wrong on a document that's already been recorded. A couple of state's correct the original and refile.
But you don't have any errors on the deed so I doubt you'd have to do either of these things.

I think I would call the Register and explain the situation and ask for guidance. You don't have to give your name or your bank's or the clients. Just ask the question and do what they tell you to.

When you say call the register are you talking about where we file the documents or somewhere else. This is new to me nothing like this has ever happened.

Yes there was documentation that went to the clerk that stated the sales price. I don't do new disclosures, correct? I leave all of my doc just like they are with no new one.


Thanks for your help.

This is new to me nothing like this has ever happened.


Of course, there is a saying that if you are in a hole and don't know why, stop digging. Your other option is to consult legal counsel so this hole does not get bigger. I would much rather see someone act in an area in which they are unfamiliar based on legal counsel guidance than from information obtained on this cite (and this is not to slight any of the very fine contributors here). Sometimes there is that one little question that goes unasked or something that appears in a document that without being there, changes the whole scenario.

If you have legal counsel available, then do ask them to review your situation.

However, if that's not an option, then call the county register of deeds where the deed was recorded. Another option is to call the title company you normally work with. Most offices have an attorney in house that would be able to help you without charging a fee.

Did the documentation that went with the deed state the correct sales price and tax stamp amount? If so, how did you get away with only paying what you collected from the borrower which you said was an incorrect amount. Most registers will only record when proper tax stamp fees are paid.

You cannot redisclose GFEs after a loan has closed.
You might need to redo the HUD but until you get more answers, I couldn't opine whether you'd need to or not.