During a review of our mortgage loans, it was noted that the Final Truth in Lending was incorrect. When the attorney gave us his fees for his service he lumped it all together but on the HUD he listed part of it as a settlement fee which is not part of a settlement fee which needed to be listed as a prepaid finance change on line 1102. The amount is over the $100 tolerance and I am trying to re-disclose the Final Til on Laser Pro but I can't get the system to put today's date on the disclosure which is what the auditors told us. I don't know if we should change the loan date to today's date. Any help would be appreciated.
I have a question regarding how to properly reflect curing a tolerance violation on a HUD-1A. Is the amount listed in the HUD-1A column on page 3 of the HUD-1A the total charge, or is it the net of the credit given to cure the tolerance. For example, if a title fee is $350.00 and the amount that must be credited in order to meet the tolerance is $100...Does the HUD-1A column on page 3 show $350 or $250? Page 1 of the HUD-1A will show the $100 as POC closing by the lender.
A borrower is purchasing a home and provides a copy of the purchase contract to the Loan Originator. A title company is referenced on the contract instead of the company the lender typically uses. A GFE is generated and includes title quotes from the lender's oft-chosen company instead of the title company referenced on the contract. The borrower does use the company referenced on the contract, and on the HUD, their fees are $400 more than our disclosed title fees. Are we liable for the difference?
We're processing a Home Equity closed end loan and have run into an issue, several weeks after providing the GFE, we needed to consult our attorneys regarding the deceased spouse's will. We now have significant attorney fees, and the title company wants to put those fees on the HUD. Our bank is paying the attorney fee. With the fee listed on the HUD POC by Lender, do we have a tolerance violation?
We are going to start paying appraisals as they are done. When the loan file closes we will then reimburse ourself. How do we disclose this on the GFE and HUD?
If the old GFE, TIL and HUD were used prior to changes, do the old forms need to be used now going to a final const/perm end loan? (We need to redisclose.)
I have a question on the disclosure of the actual credit report fees on HUD-1/HUD-1A. We currently disclose the amount of $13.82 for single and $25.19 for joint reports on the GFE. The actual cost is rarely the amount disclosed on GFE. The disclosed GFE amounts represent the initial credit report charge, but in most cases we end up ordering updates that will cause the actual charge to go up. Mortgage Department management is not willing to charge customers additional fees and would like to charge and disclose on HUD-1/HUD-1A $13.82 for single and $25.19 for joint report as they say that the difference will be absorbed by the Origination Fee that we charge everybody. Can we really do that?
Can a loan origination fee on the HUD be lower than that disclosed on the GFE? If so do we just give a new GFE at closing?
Our bank requests the same attorney who prepares the title services and closing (GFE Block 4) to also prepare our deed of trust and credit agreement documents. After reading the HUD FAQs, it looks like we need to include the fees for preparing the deed of trust and credit agreement in Our Origination Charge Block 1 and the rest of the title and closing fees in Block 4. Is this correct? If that is the case, then what if the customer requests a different attorney and they charge more for preparing the deed of trust and credit agreement? This would cause us to be outside of the tolerance.
Can you provide an example "goodby" letter (selling our loan to another lender)? What Reg dictates the format for this?