03/20/2022
If an unexpected event such as weather forces a bank or title company to close early, what is the best way to address any mortgage closings which were planned and are now delayed by days or even weeks before they can be rescheduled?
03/20/2022
When there is a postage fee/courier fee for a TRID loan, is this fee always disclosed as a prepaid finance charge or does who is charging for the fee determine if it is a prepaid finance charge or not?
For example, when the lender is charging a postage/courier fee, the fee is disclosed as a prepaid finance charge because the lender is charging it. When the title company is charging a postage/courier fee, would it be a non-prepaid finance charge, or is this still considered a prepaid finance charge?
01/23/2022
I'm getting mixed answers on this question - we issued a closing disclosure, but the seller postpone at the last minute. The closing is now back on, but the rate has expired and is being extended. Is adding a rate lock extension fee a valid change of circumstance to reissue a closing disclosure?
01/02/2022
What is the best practice when estimating homeowners insurance costs for Loan Estimate and Closing Disclosure? Do lenders generally get quotes, or reach out to the insurance agent, or have the borrowers do this?
We are having a hard time understanding how we would disclose this information to a borrower, especially on purchase transactions in which they likely have not set up insurance for the property at the time of application.
12/05/2021
The loan was locked on 10/13 and the revised LE with the COC was sent at the same day right after rate lock. The borrower received it same day, 10/13. However, on 10/19, the underwriter received an appraisal report and the appraisal report says the property is required a final re-inspection (1004D) so we are going to add a 1004D fee on TRID.
Can we send an initial Closing Disclosure (CloD) with COC that states the underwriter reviewed the appraisal report and determined 1004D is required and add a 1004D fee on Initial CloD instead of sending revised LE?
10/30/2021
Is the Final Closing Disclosure mandatory to provide? If the lender provides Initial CD and the revised CD based on a Change of Circumstance and the borrower signs it, or the presumed date is over, can I skip the Final CD and provide the borrower only closing loan documents?
Situation: Initial CD was issued on 10/1. The revised CD with COC was issued on 10/6 and the borrower will sign the loan docs on 10/6. Borrower will sign Revised CD and the loan docs at the same time. Is it possible?
10/30/2021
As to a Reset Tolerance; Say an appraisal fee was disclosed $550 on the initial Loan Estimate and a revised LE was issued with a Change of Circumstances stated rate lock and the addition of discount points and fees. However, the appraisal fee was removed by accident on this revised LE. After this, the processor catches the missing of appraisal fee and issue a initial Closing Disclosure with appraisal fee $550. In this case, do I need to provide cure of $550?
The reset tolerance was activated on the revised LE even if the COC at revised LE is stating only interest rate and discount point, is this correct?
08/22/2021
Regarding the APR on the Closing Disclosure: our ARM rates are set at application. Our Note provides for a 45-day look-back for rate changes. I'm conflicted reading the regulation and want to verify that we should be using the index within that 45-day period before consummation to calculate the APR on the CD?
The initial rate is not determined by "index + margin," but changes are based on index/margin/caps. I think they should be using the most current index when the CD is issued. Often times the application date is greater than 45 days from consummation. I believe this is the most conservative approach.
08/15/2021
If Recording fees were not disclosed on the Loan Estimate, but these fees were charged on the Closing Disclosure, is this a tolerance violation if the accumulative total does not exceed the disclosed fees for the 10% category?
08/08/2021
Is it permissible to issue a closing disclosure to a mortgage borrower more than 3 days prior to the closing date?
