regulation x is also known as what law

Determine if the credit union responds to borrower inquiries for information about the servicing of their mortgage loans in compliance with RESPA. Real Estate Settlement Procedures Act (RESPA) The amendments also included new provisions regarding escrow payments, force-placed insurance, general servicing policies, procedures, and requirements, early intervention, continuity of contact, and loss mitigation. If a borrower alleged that a fee or charge that the credit union imposed lacked a reasonable basis, was there a reasonable basis for the imposition of a fee by the credit union? Separate written disclosure using the format in Appendix D specifying the nature of the relationship and estimating charges for the referral; No requirement to use any particular provider (except that a lender may chose the attorney, credit reporting agency, and/or real estate appraiser); The only thing of value received other than payments for services actually rendered is a return on an ownership or franchise relationship. Conducting a reasonable investigation and providing the borrower with a written notice stating that the credit union has determined that no error occurred, the reasons for its determination, the borrowers right to request documents the credit union relied on in reaching its determination and how to do so, and contact information for further assistance? Does the credit union refer borrowers to affiliated settlement service providers? (, Ensure the credit union maintains policies and procedures to ensure the assigned personnels availability, via telephone, to answer the borrowers questions and (as applicable) assist the borrower with available loss mitigation options until the borrower has made, without incurring a late charge, two consecutive mortgage payments according to the terms of a permanent loss mitigation agreement. 1024.33 Mortgage servicing transfers. Determine if the credit union submits the required initial and annual escrow account statements to borrowers as applicable, properly administrates escrow accounts, and otherwise complies with requirements and limitations on escrow account arrangements. These include the loss mitigation personnel assigned to the borrowers mortgage loan, and appropriate service provider personnel, including service provider personnel responsible for handling foreclosure proceedings; and, Transfers information properly during servicing transfers. (You will be leaving NCUA.gov and accessing a non-NCUA website. (See . If the credit union did not respond, ensure they determined that the above responses were not required because: The credit union determined that it was not required to respond and provided written notice, with the reason for its decision not to take any action, to the borrower within five days (excluding legal public holidays, Saturdays, and Sundays) after making the determination; or (, Determine if the supporting documentation the credit union relied up to determine that no error occurred was provided to the borrower within 15 days (excluding legal public holidays, Saturdays, and Sundays) of the borrowers request. Whether the transfer will affect the terms or the availability of optional insurance and any action the borrower must take to maintain such coverage? If no such acknowledgment was provided, did the credit union determine that acknowledgement was not required because. The credit union is joining the foreclosure action of a subordinate lienholder? Keep documents showing any reason for providing a revised GFE. Provide the borrower with accurate information about available loss mitigation options, including the steps the borrower must take to be evaluated for those options, including how to complete a loss mitigation application or appeal a denial of a loan modification option (if applicable); Provide the borrower with accurate information about the status of any loss mitigation application submitted; Provide the borrower with accurate information about the circumstances when the credit union may refer the account to foreclosure; Provide the borrower with accurate information about loss mitigation deadlines; Timely retrieve a complete record of the borrowers payment history and all written information the borrower has provided to the credit union (or the credit unions predecessors) regarding a loss mitigation application, and provide these documents to other persons required to evaluate the borrower for available loss mitigation options; and. A statement encouraging the borrower to contact the credit union; The telephone number to access assigned loss mitigation personnel; A brief description of examples of loss mitigation options that may be available to the borrower (if applicable); Instructions for completing the loss mitigation application or instructions on how to obtain more information about loss mitigation options (such as by contacting the credit union), if applicable; and. Escrow disclosure appendices that were removed from the CFR and converted into Public Guidance Documents by HUDs 1996 Streamlining Final Rule. (, Ensure the credit union did not provide any adverse information about a payment to a consumer reporting agency within 60 days of receiving an error notice on the payment. For applications received during a pre-foreclosure period, determine if the credit union made the first foreclosure notice or filing only after any of the following: (. Total amount paid into the escrow account during the past computation year? (, Through a review of late notices or otherwise if the transferor servicer received payment, determine that no late fees have been imposed and that no payments have been treated as late within 60 days following a transfer of servicing. exit link policies. SEC.gov For certain prohibitions on making the first notice or filing for a foreclosure sale, does the credit union define first notice or filing for both a judicial and non-judicial foreclosure? The final rules implemented certain provisions of Title XIV of the Dodd-Frank Act and included major and technical changes to the existing regulations. (You will be leaving NCUA.gov and accessing a non-NCUA website. A statement advising that the borrower review additional information provided in the same mailing (if applicable). When the credit union receives hazard insurance information but does not receive evidence of continuous coverage, determine if the reminder notice included all the following information (as applicable): (. A statement that the credit union has received the hazard insurance information that the borrower provided? Temporary financing such as construction loans without permanent-end financing or not involving the transfer of title to land (note exceptions); Loan secured by vacant land unless a building is constructed or placed on the property using loan proceeds; Conversion of a federally related mortgage, loan to different terms where no new note required; and. Did the credit union meet one of these conditions when it made any first judicial or non-judicial foreclosure notices or filings: The borrower was more than 120 days delinquent? We encourage you to read the NCUA's In response to a complete loss mitigation application, properly evaluate the borrower for all eligible loss mitigation options according to any requirements established by the owner or assignee of the mortgage loan, even if those requirements are beyond the requirements of. Any information about the effect of the transfer on the availability of terms of optional insurance and any action the borrower must take to maintain coverage? Is the annual escrow statement provided within 30 days of the end of the escrow account computation year? For transactions not covered by TRID or otherwise noted, provide loan applicants with GFE showing loan information and categories of settlement charges the borrower is likely to incur for the settlement. Made by a lender that is regulated by, or whose deposits are insured by, the federal government; Secured by a first or subordinate lien on residential real property (including a refinance of such a loan); Secured by property designed principally for occupancy of one to four families; and. (. Identify the types of services rendered by the broker, affiliate, or service provider; By a review of the credit unions general ledger or otherwise, determine if fees were paid to the credit union or any parties identified; Confirm that any fees paid or received by the credit union meet the requirements of , In cases where a fee is split between the credit union and one or more other parties, confirm that the fee met the requirements of . Timely retrieve a complete record of the borrowers payment history and all written information the borrower has provided to the credit union (or the credit unions predecessors) regarding a loss mitigation application, and provide these documents to other persons required to evaluate the borrower for available loss mitigation options? Did the credit union not provide any adverse information about a payment to a consumer reporting agency within 60 days of receiving an error notice on the payment? Browse Escrow Disclosure Public Guidance Documents. (, Determine whether the annual escrow account statement is provided to the borrower within 30 days of the end of the computation year. (opens new page).) Specific RESPA and Regulation X provisions relating to the TRID Rule are discussed in more detail on the TILA-RESPA Integrated Disclosure page. Give the borrower a reasonable opportunity to complete the application? Determine if the renewal notice was in the correct form. [Not applicable to small servicers.] Does the credit union maintain policies and procedures for transferring information during servicing transfers? (opens new page).). (, Review the Good Faith Estimate to determine if it appears exactly as set forth in. If the credit union referred a borrower to an affiliated settlement service provider, determine whether the Affiliated Business Arrangement disclosure statement (, Other than an attorney, credit reporting agency, or appraiser representing the lender, if the credit union referred a borrower to a settlement service provider, determine whether the credit union required the use of the provider. [Not applicable to small servicers.] Does the credit union maintain policies and procedures that ensure that its personnel properly evaluate loss mitigation applications? Provide the borrower with accurate information about loss mitigation deadlines? Note: Except as otherwise noted, the links to the securities laws below are from Statute Compilations maintained by the Office of the Legislative Counsel, U.S. House of Representatives. The specific criteria the borrower did not meet? A schedule of all credits and debits to the account (including escrow accounts and suspense accounts)? Did the acknowledgement state that the application was complete and include a statement that the borrower should consider contacting servicers of any other mortgage loans secured by the same property to discuss loss mitigation options? We encourage you to read the NCUA's If the credit union denied the application, did the notice state the specific reason or reasons for the denial, and, if applicable, that the borrower was not evaluated on other criteria? (, Ensure the renewal notice includes all of the following (as applicable): (. The date the transferor servicer will stop accepting payments for the loan and the date the transferee servicer will begin to accept payments. or contract for deed may also constitute a federally related mortgage loan. Did the credit union promptly determine whether the loss mitigation application was complete? (, Determine whether HUD-1 and HUD-1A forms are retained for five years. Sign up for updates about mortgage rule implementation. What is Regulation X? (with pictures) (, Does the credit union obtain the list of home ownership counseling agencies from the CFPBs or HUDs website and is the list obtained no more than 30 days prior to the time the list was provided to the applicant? Are monthly escrow payments following settlement no larger than 1/12 of the amount expected to be paid for taxes, insurance premiums, and other charges in the following 12 months, plus 1/6 of the total annual payments from the account? Itemized charges imposed by the lender and any sales commissions paid by the borrower or seller outside of closing, identified as paid outside of closing or POC and not included in totals? Full text of Real Estate Settlement Procedures Act (Regulation X) can be found here. WebEffect of Rules. When a borrower is required to make payments, into an escrow account to pay taxes, insurance. 1024.20 List of homeownership counseling organizations. The dates must either be the same or consecutive? Nothing in 1024.41 imposes a duty on a servicer to provide any borrower with any specific loss mitigation option. If servicing is assigned, sold or transferred, both the transferor and transferee servicers must provide either separate notices or a combined notice of the transfer to the borrower in the manner showing the regulation. Stay up to date on the NCUA's activities by subscribing to the NCUA's Express messages. (, Determine whether the assigned personnel can perform all of the following tasks: (. Reputation Risk can occur when the credit union incurs fines and penalties because it did not comply with RESPA. (, For documents or information created on or after January 10, 2014, determine whether the credit union keeps the following five items for each mortgage loan file in a way that allows the credit union to compile them into a servicing file within five days (. (. (, Determine whether the credit union keeps mortgage records until one year after the loan is discharged or until the credit union transfers servicing for the mortgage loan to a transferee servicer. Instructions for completing the loss mitigation application or instructions on how to obtain more information about loss mitigation options (such as by contacting the credit union), if applicable?
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