Overview
The Real Estate Settlement Procedures Act of 1974 (RESPA) (12 U.S.C. § 2601, et seq.) became effective on June 20, 1975. It requires lenders, mortgage brokers, or servicers of home loans to provide borrowers with pertinent and timely disclosures about the nature and costs of the real estate settlement process. RESPA also prohibits practices such as kickbacks, and limits the use of escrow accounts. The Department of Housing and Urban Development (HUD) originally published Regulation X, which implements RESPA.
The Dodd-Frank Wall Street Reform and Consumer Protection Act, P.L. 111–203 (July 10, 2010) (Dodd-Frank Act) granted rule-making authority under RESPA to the Consumer Financial Protection Bureau (CFPB). In December 2011, the CFPB restated HUD’s implementing regulation to 12 CFR Part 1024.
In 2013, the CFPB issued several final rules amending Regulation X. The final rules implemented certain provisions of Title XIV of the Dodd-Frank Act and included major and technical changes to the existing regulations. Substantial changes included modifying the servicing transfer notice requirements and implementing new procedures and notice requirements for borrowers’ error resolution requests and information requests. 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. The amendments became effective on January 10, 2014.
On December 31, 2013, the CFPB published final rules implementing Sections 1098(2) and 1100A(5) of the Dodd-Frank Act, which direct the CFPB to publish a single, integrated disclosure for mortgage transactions which includes mortgage disclosure requirements under the Truth in Lending Act (TILA) and sections 4 and 5 of RESPA. These amendments, also known as the “Know Before You Owe” mortgage disclosure rule, are referred to in this document as the “TILA-RESPA Integrated Disclosure Rule” or “TRID,” and are applicable to covered closed-end mortgage loans for which a creditor or mortgage broker receives an application on or after October 3, 2015. As a result, Regulation Z now houses the integrated forms, timing, and related disclosure requirements for most closed-end consumer mortgage loans.
The new integrated disclosures are not used to disclose information about reverse mortgages, home equity lines of credit (HELOCs), chattel-dwelling loans such as loans secured by a mobile home or by a dwelling that is not attached to real property (i.e., land), or other transactions not covered by the TILA-RESPA Integrated Disclosure rule. The final rule also does not apply to loans made by a creditor who makes five or fewer mortgages in a year. Creditors originating these types of mortgages must continue to use, as applicable, the Good Faith Estimate, HUD-1 Settlement Statement, and Truth in Lending disclosures.
On August 4, 2016, the CFPB issued a final rule (2016 Mortgage Servicing Rule) amending certain mortgage servicing provisions in Regulation X and Regulation Z issued by the CFPB in 2013. This final rule clarifies, revises, or amends provisions regarding force-placed insurance notices, policies and procedures, early intervention, and loss mitigation requirements under Regulation X’s servicing provisions; and prompt crediting and periodic statement requirements under Regulation Z’s servicing provisions. The final rule also addresses proper compliance regarding certain servicing requirements when a person is a potential or confirmed successor in interest, is a debtor in bankruptcy, or sends a cease communication request under the Fair Debt Collection Practices Act. The final rule also makes technical corrections to several provisions of Regulations X and Z.
The exam procedures will use “RESPA” interchangeably for Real Estate Settlement Procedures Act and Regulation X, since Regulation X is the implementing regulation. All of the regulation references are to Regulation X (12 CFR 1024).
Full text of Real Estate Settlement Procedures Act (Regulation X) can be found This is an external link to a website belonging to another federal agency, private organization, or commercial entity. here. (Opens new window)
- This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Definitions – General Provisions (Opens new window)
- This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Definitions – Mortgage Servicing (Opens new window)
- Associated Risks
- Examination Objectives
- Examination Procedures
- Review Considerations
- Checklist
Associated Risks
- Compliance Risk can occur when the credit union does not implement controls to comply with RESPA.
- Transaction Risk can occur when the credit union does not have adequate internal controls in place and as a result suffers a loss.
- Reputation Risk can occur when the credit union incurs fines and penalties because it did not comply with RESPA.
- Strategic Risk can occur when the board of directors does not perform due diligence in reviewing policies and procedures, and existing and prospective products and services for compliance with RESPA.
Examination Objectives
- Determine if the credit union has policies and procedures to ensure it complies with RESPA.
- Determine if the credit union engages in any practices prohibited by RESPA, such as kickbacks, paying or receiving referral fees or unearned fees, or excessive escrow assessments.
- Determine if the Loan Estimate, Special Information Booklet called “Your Home Loan Toolkit”, Written List of Service Providers, Closing Disclosure, and other required disclosures are in a form that complies with RESPA, are properly completed, and provided to applicants/borrowers within required time periods.
- 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.
- Determine if the credit union responds to borrower error notices about the servicing of their mortgage loans in compliance with RESPA.
- Determine if the credit union responds to borrower inquiries for information about the servicing of their mortgage loans in compliance with RESPA.
- Determine if the credit union provides proper notices to mortgage loan borrowers before assessing charges or fees for force-placed insurance and refunding charges and fees according to RESPA.
- Determine if the credit union complies with RESPA’s record retention requirements.
- Determine if the credit union follows RESPA’s early intervention and continuity of contact requirements, as applicable.
- Determine if the credit union complies with RESPA’s loss mitigation procedures, as applicable.
Examination Procedures
General
- Review the types of loans covered by RESPA and applicable exemptions.
- Review the Loan Estimate, Special Information Booklet called “Your Home Loan Toolkit”, Good Faith Estimate (GFE), Uniform Settlement Statement (HUD-1 or HUD-1A), Closing Disclosure, mortgage servicing transfer disclosure, and affiliated business arrangement disclosure for compliance with the requirements of Regulation X. Review standardized and model forms in the appendices to the regulation.
- If electronic disclosures are provided, determine whether the credit union has policies and procedures to provide electronic delivery in accordance with the Electronic Signatures in Global and National Commerce Act (ESIGN).
- Review written loan policies and operating procedures in connection with federally related mortgage loans and discuss them with credit union personnel. Determine whether the credit union has policies and procedures that address the following:
- The information that will be collected from applicants in connection with issuing a GFE, and what information will be relied on to issue a GFE;
- Provision of a revised GFE in the event of changed circumstances;
- Provision of a revised GFE for transactions involving new home purchases;
- To cure a tolerance violation by reimbursing the borrower the amount by which the tolerance was exceeded within 30 calendar days from date of settlement; and
- To cure a technical or inadvertent error on the HUD-1/1A by providing a revised settlement statement to the borrower within 30 calendar days of settlement.
- Interview mortgage lending personnel to determine:
- Identity of persons or entities referring federally related mortgage loan business;
- The nature of services provided by referral sources, if any;
- Settlement service providers used by the credit union;
- When the Special Information Booklet is given;
- The timing of the Good Faith Estimate and how fee information is determined;
- Any providers whose services are required by the credit union;
- How borrower inquiries regarding loan servicing are handled and within what time frames; and
- Whether escrow arrangements exist on mortgage loans.
- Assess the overall level of knowledge and understanding of regulatory requirements by mortgage lending personnel.
Special Information Booklet – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.6 (Opens new window)
- Determine through discussions with credit union management and reviews of credit files whether the Special Information Booklet called “Your Home Loan Toolkit”, if required, is provided within three business days after the credit union or broker receives a written application for a loan. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.6(a)(1) (Opens new window) )
Good Faith Estimate – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.7 (Opens new window)
Note: This section of the Procedures only applies to loans not subject to the TILA-RESPA Integrated Disclosure Final Rule, including: reverse mortgages, home equity lines of credit (HELOCs), chattel-dwelling loans such as loans secured by a mobile home or by a dwelling that is not attached to real property (i.e., land). This section also only applies to loans made by a creditor who makes five or fewer mortgages in a year.
- Determine whether the credit union provides a Good Faith Estimate of charges for settlement services, if required, within three business days after receipt of a written application. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.7(a) (Opens new window) )
- Review the Good Faith Estimate to determine if it appears exactly as set forth in This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix C (Opens new window) .
- Review a sample of loan files that include GFEs to determine the following:
- Whether the credit union followed GFE application requirements.
- If the credit union provided a revised GFE to the applicant due to changed circumstances, determine whether the credit union followed regulatory requirements for issuing a revised GFE due to changed circumstances.
- Whether the GFE was completed as required in the regulations and instructions (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.7 (Opens new window) and This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix C (Opens new window) ) and whether it included the following information:
- Interest rate expiration date;
- Settlement charges expiration date;
- Rate lock period;
- Number of days before settlement the interest rate must be locked, if applicable;
- Summary of loan information:
- Initial loan amount*,
- Loan term*, and
- Initial interest rate*;
(*For reverse mortgage loans, the initial loan amount is the amount of the initial principal limit. The loan term is disclosed as “N/A” when the loan term is conditioned upon the occurrence of a specified event, such as the death of the borrower or the borrower no longer occupying the property for a certain period of time. The initial interest rate is the interest rate indicated on the legal obligation.)
- Escrow account information;
- Estimates for settlement charges; and
- Left hand column on trade-off table completed for loan in the GFE.
- Whether, for no cost loans, all third-party fees paid by the credit union are itemized and listed in the appropriate blocks on the second page of the GFE.
- Whether a separate sheet was provided with the GFE that identifies the settlement service providers for the services listed on the GFE.
Uniform Settlement Statement Form (HUD-1 and HUD-1A) – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.8 (Opens new window)
Note: This section of the Procedures only applies to loans not subject to the TILA-RESPA Integrated Disclosure Final Rule, including: reverse mortgages, home equity lines of credit (HELOCs), chattel-dwelling loans such as loans secured by a mobile home or by a dwelling that is not attached to real property (i.e., land). This section also only applies to loans made by a creditor who makes five or fewer mortgages in a year.
- Using the same sample of loan files as used for the review of the GFE, review the Uniform Settlement Statement (HUD-1 or HUD-1A, as appropriate) (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.8 (Opens new window) , This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix A (Opens new window) ) to determine whether:
- Charges are properly itemized in accordance with the instructions for completion of the HUD-1 or HUD-1A; ( This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix A (Opens new window) )
- All charges paid by the borrower and the seller are itemized and include the name of the recipient; (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.8(b) (Opens new window) , This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix A (Opens new window) )
- Average charges for settlement services are calculated in accordance with § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.8(b)(2) (Opens new window) ; and
- Charges required by the credit union but paid outside of closing are itemized on the settlement statement, marked as “paid outside of closing” or “P.O.C.,” but not included in cost totals. (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.8(b) (Opens new window) , This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix A (Opens new window) )
- If the credit union conducts the settlement, determine whether:
- The borrower, upon request, is allowed to inspect the HUD-1 or HUD-1A at least one business day prior to settlement; (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.10(a) (Opens new window) )
- The HUD-1 or HUD-1A is provided to the borrower and seller at or before settlement (except where the borrower has waived the right to delivery and in the case of exempt transactions); and (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.10(b) (Opens new window) )
- In cases where the right to delivery is waived or the transaction is exempt, the HUD- 1/1A is mailed as soon as practicable after settlement. (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.10(b), (c), and (d) (Opens new window) )
- Determine whether, in the case of an inadvertent or technical error on the HUD-1/1A, the credit union provides a revised HUD-1/1A to the borrower within 30 calendar days after settlement. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.8(c) (Opens new window) )
- Review the HUD-1 or HUD-1A form prepared in connection with each GFE reviewed to determine if the amount stated for any itemized service exceeds the amount shown on the GFE for that service. If the amount stated on the HUD-1 exceeds the amount shown on the GFE and such overcharge violates the tolerance for that category of settlement services, determine whether the credit union cured the tolerance violation by reimbursing to the borrower the amount by which the tolerance was exceeded, at settlement or within 30 calendar days from date of settlement. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.7(i) (Opens new window) )
- Determine whether HUD-1 and HUD-1A forms are retained for five years. If the credit union disposes of its interest in the mortgage and does not service the loan, determine whether the HUD-1 or HUD-1A form is transferred to the new asset owner with the loan file. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.10(e) (Opens new window) )
No Fees for RESPA Disclosures – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.12 (Opens new window)
- Determine whether the credit union charges a fee specifically for preparing and distributing the HUD-1 forms, escrow statements or documents required under the Truth in Lending Act. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.12 (Opens new window) )
- If any fee is charged before providing a GFE, determine whether such fee is limited to the cost of a credit report. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.7(a)(4) (Opens new window) )
Payment or Receipt of Referral or Unearned Fees – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.14 (Opens new window)
- Determine if management is aware of the prohibition against payment and receipt of any fee, kickback, or thing of value in return for the referral of settlement services business. (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 12 U.S.C. 2607 (Opens new window) , This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.14 (Opens new window) )
- Determine if management is aware of the prohibition against unearned fees where a charge for settlement services is divided between two or more parties.
- Through interviews with credit union management and personnel, file reviews, review of Good Faith Estimates, and HUD-1 and HUD-1A, determine if federally related mortgage loan transactions are referred to the credit union by brokers, affiliates, or other parties. Identify those parties. Also, identify persons or entities to which the credit union refers settlement services business in connection with a federally related mortgage transaction.
- Identify the types of services rendered by the broker, affiliate, or service provider;
- By a review of the credit union’s 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 § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.14(g) (Opens new window) and are not kickbacks or referral fees, but are for goods or facilities actually furnished or services actually performed. This includes payments to an affiliate or the affiliate’s employees;
- 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 § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.14 (Opens new window) and that each party actually performed services for that fee. This includes payments to an affiliate or the affiliate’s employees; and
- In all cases where there is an unearned fee (whether split between parties or not), determine whether the credit union may have misled the consumer about or misrepresented the nature, purpose, or amount of a fee, or failed to properly disclose a fee to the consumer. In such cases, consult with the NCUA’s Central Office to discuss whether there may be a basis for a UDAAP claim (for unfair, deceptive, or abusive acts or practices).
Affiliated Business Arrangements – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.15 (Opens new window)
- Determine from the HUD-1 or HUD-1A and from interviews with credit union management if the credit union referred a borrower to a settlement service provider.
- If the credit union referred a borrower to an affiliated settlement service provider, determine whether the Affiliated Business Arrangement disclosure statement ( This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix D (Opens new window) ) was provided as required by § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.15(b)(1) (Opens new window) .
- 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. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.15(b)(2) (Opens new window) )
Purchase of Title Insurance – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.16 (Opens new window)
- When the credit union owns the property being sold, determine whether it requires that title insurance be purchased from a particular company. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.16 (Opens new window) )
Escrow Accounts – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.17 (Opens new window)
If the credit union maintains escrow accounts in connection with a federally related mortgage loan, complete the following procedures.
- Determine whether the credit union performed an initial escrow analysis (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.17(c)(2) (Opens new window) ) and for transactions not covered by TRID, provided the initial escrow statement required by § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.17(g) (Opens new window) . The statement must contain the following:
- Amount of monthly payment;
- Portion of the monthly payment being placed in escrow;
- Charges to be paid from the escrow account during the first 12 months;
- Disbursement dates; and
- Amount of cushion.
- Determine if the statement was given to the borrower at settlement or within 45 days after the escrow account was established. This statement may be incorporated into the HUD-1 statement. (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.17(g)(1) and (2) (Opens new window) )
- Determine whether the credit union performs an annual analysis of the escrow account. (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.17(c)(3), 1024.17(c)(7) (Opens new window) , This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.17(i) (Opens new window) )
- Determine whether the annual escrow account statement is provided to the borrower within 30 days of the end of the computation year. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.17(i) (Opens new window) )
- Determine if the annual escrow statement contains the following This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.17(i)(1) (Opens new window) ):
- Amount of monthly mortgage payment and portion that were placed in escrow;
- Amount of past year’s monthly mortgage payment and portion that went into escrow;
- Total amount paid into escrow during the past computation year;
- Total amount paid out of escrow account during same period for taxes, insurance, and other charges;
- Balance in the escrow account at the end of the period;
- How a surplus, shortage, or deficiency is to be paid/handled; and
- If applicable, the reason why estimated low monthly balance was not reached.
- Determine whether monthly escrow payments following settlement are within the limits of § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.17(c) (Opens new window) .
List of Home Ownership Counseling Organizations - § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.20 (Opens new window)
- Determine whether the credit union provides applicants a list of home ownership counseling agencies within three business days of receiving an application (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.20(a) (Opens new window) ).
- Determine whether the credit union obtained the list of home ownership counseling agencies from the CFPB’s or HUD’s website and that they obtained the list no more than 30 days prior to the time the list was provided to the applicant (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.20(a) (Opens new window) ).
- For HELOCs, determine if the credit union complies with either the three business day timeframe or with Regulation Z’s timeframe listed in § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1026.40(b) (Opens new window) (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.20(b) (Opens new window) ).
Mortgage Servicing Transfers – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.33 (Opens new window)
- Determine whether the disclosure form is substantially in conformity with the model disclosure in This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix MS-1 (Opens new window) .
- Determine that the lender, mortgage broker who anticipates using table funding, or dealer in a first-lien dealer loan provide the servicing disclosure statement to reverse mortgage applicants within three business days after receiving the application. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.33(a) (Opens new window) )
- Determine that the disclosure states whether the loan may be assigned, sold, or transferred to any person at any time. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.33(a) (Opens new window) )
- Determine whether the credit union has transferred or received mortgage servicing rights.
- If it has transferred servicing rights, determine whether notice to the borrower was given at least 15 days prior to the transfer. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.33(b)(3) (Opens new window) )
- If it has received servicing rights, determine whether notice was given to the borrower within 15 days after the transfer. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.33(b)(3) (Opens new window) )
- Determine whether the notice by transferor and transferee includes the following information (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.33(b)(4) (Opens new window) ). Sample language for the notice of transfer is contained in This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix MS-2. (Opens new window)
- The effective date of the transfer;
- A statement that the transfer does not affect the terms or conditions of the mortgage, other than terms directly related to its servicing;
- The name, consumer inquiry addresses (including, at the option of the servicer, a separate address where qualified written requests must be sent), and a toll-free or collect call telephone number for an employee or department of the transferee servicer;
- A toll-free or collect call telephone number for an employee or department of the transferor servicer that can be contacted by the borrower for answers to servicing transfer inquiries;
- The date on which the present servicer will cease accepting payments and the date the new servicer will begin accepting payments relating to the transferred loan;
- Any information concerning the effect of the transfer on the availability or terms of optional insurance and any action the borrower must take to maintain coverage; and
- A statement of the borrower’s rights in connection with complaint resolution. ( This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix MS-2 (Opens new window) )
- 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. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.33(c) (Opens new window) )
Timely Escrow Payments and Treatment of Escrow - § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.34 (Opens new window)
- Ensure the credit union made payments from the escrow account in a timely manner. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.34 (Opens new window) )
- Review escrow accounts for paid off mortgages to determine whether the credit union returned amounts remaining in escrow within 20 days (excluding legal public holidays, Saturdays, and Sundays) after the borrower paid the mortgage loan in full. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.34(b) (Opens new window) )
Error Resolution Procedures – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35 (Opens new window)
- If the credit union gives a specific address to receive notice of errors, ensure they notified the borrower in writing that the borrower must use that address. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(c) (Opens new window) )
- Also, ensure the credit union provided that address to the borrower in each of the following three types of communications:
- Any periodic statement or coupon book required by § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1026.41 (Opens new window) ;
- Any website the credit union maintains for servicing the loan; and
- Any notice required by § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.39 (Opens new window) (early intervention) or § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41 (Opens new window) (loss mitigation) that includes contact information for assistance. ( This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Comment 1024.35(c)(2) (Opens new window) ).
- Determine if the credit union properly acknowledged the error notice by providing written acknowledgement to the borrower within five days (excluding legal public holidays, Saturdays, and Sundays) after receiving an error notice. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(d) (Opens new window) )
- If an acknowledgment was not given, determine if it was not required for one of the following reasons:
- The credit union corrected the errors asserted and notified the borrower in writing within five days (excluding legal public holidays, Saturdays, and Sundays) of receiving the error notice; (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(f) (Opens new window) )
- 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; (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(g) (Opens new window) ) or
- The error notice related to violations of certain loss mitigation procedures under § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(b)(9) or (10) (Opens new window) and the credit union received it seven or fewer days before a foreclosure sale.
- Determine if the credit union properly responded to a borrower’s written error notice by:
- Correcting the errors identified by the borrower as well as any other errors that were discovered during the investigation and providing written notice to the borrower of the corrections, the date the corrections took effect, and contact information for further assistance;
OR - 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 borrower’s right to request documents the credit union relied on in reaching its determination and how to do so, and contact information for further assistance (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(e) (Opens new window) ).
AND - If the alleged error was a failure to provide an accurate payoff balance amount, the credit union responded within seven days (excluding legal public holidays, Saturdays, and Sundays); (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(e)(3)(i)(A) (Opens new window) )
- If the alleged error was either (1) making the first notice or filing for a judicial or non-judicial foreclosure process in violation of § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(f) or (j) (Opens new window) ; or (2), moving for foreclosure judgment or order of sale or conducting a foreclosure sale in violation of § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(g) or (j) (Opens new window) , determine whether the credit union respond by either of 30 days (excluding legal public holidays, Saturdays, and Sundays) or the date of a foreclosure sale, whichever comes first; and (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(e)(3)(i)(B) (Opens new window) )
NOTE: If the credit union received the error notice seven or fewer days before a foreclosure sale, the credit union is not required to respond in writing, but must make a good faith attempt to respond orally or in writing to the borrower and either correct the error or state the reason the credit union determined that no error occurred. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(f)(2) (Opens new window) ) - For all other alleged errors, the credit union responds within 30 days (excluding legal public holidays, Saturdays, and Sundays) unless, before the expiration of that 30-day period, the credit union extended the time for responding by an additional 15 days (excluding legal public holidays, Saturdays, and Sundays) by notifying the borrower in writing of the extension and the reasons for it. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(e)(3) (Opens new window) )
- Correcting the errors identified by the borrower as well as any other errors that were discovered during the investigation and providing written notice to the borrower of the corrections, the date the corrections took effect, and contact information for further assistance;
- If the credit union did not respond, ensure they determined that the above responses were not required because:
- The credit union corrected the errors asserted and notified the borrower in writing within five days (excluding legal public holidays, Saturdays, and Sundays) of receiving the error notice; (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(f) (Opens new window) )
- 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 (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(g) (Opens new window) )
- The error notice related to violations of certain loss mitigation procedures under § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(b)(9) or (10) (Opens new window) and was received by the credit union seven or fewer days before a foreclosure sale. For such error notices, the credit union must make a good faith attempt to respond orally or in writing to the borrower and either correct the error or state the reason the credit union determined that no error occurred. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(f)(2) (Opens new window) )
- 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 borrower’s request. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(e)(4) (Opens new window) )
- Determine if written notification was provided to the borrower within 15 days (excluding legal public holidays, Saturdays, and Sundays) if the credit union withheld documents that included confidential, proprietary, or privileged information. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(e)(4) (Opens new window) )
- Determine if one of the following three exemptions applied—nullifying the credit union’s requirement to respond: (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(g) (Opens new window) )
- The error asserted is substantially the same as an error previously asserted by the borrower that the credit union already complied with;
- The error notice was overbroad; or
- The error notice was received a year or more after the loan servicing rights were transferred from the credit union or the loan was paid off.
- Ensure the credit union did not require the borrower to provide supporting documents as a condition of investigating the alleged error. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(e)(2)(i) (Opens new window) )
- Ensure the credit union refrained from determining that no error occurred without conducting a reasonable investigation due to the borrower’s failure to provide any requested information. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(e)(2)(ii) (Opens new window) )
- Ensure the credit union did not charge a fee or require the borrower to make any payments as a condition to responding to an error notice. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(h) (Opens new window) )
- 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. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(i) (Opens new window) )
Requests for Information – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36 (Opens new window)
- If the credit union gave a specific address for requests for information, determine if the credit union provided written notice of the address where the borrower must send information requests, along with a statement informing the borrower that the provided address must be used to request information. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(b) (Opens new window) )
- Determine whether the credit union provided the borrower with the address in each of the following communications:
- Any periodic statement or coupon book required under § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1026.41 (Opens new window) ;
- Any website the credit union maintains for servicing the loan; and
- Any notice required by § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.39 (Opens new window) (early intervention) or This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41 (Opens new window) (loss mitigation) that includes contact information for assistance. (Comment 1024.36(c)(2))
- Determine whether the credit union gave the same address for receiving information requests. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(b) (Opens new window) )
- Determine whether the credit union responds to information requests sent to any of its offices. ( This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 12 CFR Part 1024, Supp. I, Comment 1024.36(b)(1) (Opens new window) )
- Determine whether written acknowledgement was provided to the borrower within five days (excluding legal public holidays, Saturdays, and Sundays) of the credit union receiving the information request. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(c) (Opens new window) )
- If no such acknowledgment was provided, ensure the credit union determined that acknowledgement was not required because:
- The credit union provided the borrower with the information requested and contact information (including telephone number) for further assistance within five days (excluding legal public holidays, Saturdays, and Sundays); or (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(e) (Opens new window) )
- The credit union determined that it was not required to respond and provided the borrower written notice with the reason for its determination not to respond to the request to the borrower within five days (excluding legal public holidays, Saturdays, and Sundays) after making the determination. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(f) (Opens new window) )
- Determine if the credit union properly responded to the information request by:
- Providing the requested information and contact information for further assistance; or (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(d)(1)(i) (Opens new window) )
- Conducting a reasonable search for the requested information and providing the borrower with a written notice telling the borrower that the credit union has determined that the requested information is not available, the reason for the credit union’s determination, and contact information for further assistance. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(d)(1)(ii) (Opens new window) )
- Determine whether the credit union complied with the following time frames:
- They responded within 10 days (excluding legal public holidays, Saturdays, and Sundays) to borrower request for the identity of or contact information for the owner or assignee of a mortgage loan; and (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(d)(2)(i)(A) (Opens new window) )
- They responded within 30 days (excluding legal public holidays, Saturdays, and Sundays) to all other information requests, unless, before the expiration of that 30-day period, the credit union extended the time for responding by an additional 15 days (excluding legal public holidays, Saturdays, and Sundays) by notifying the borrower in writing of the extension and the reasons for it. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(d)(2)(i)(B) (Opens new window) )
- If the credit union did not respond to the borrower’s request for information, determine whether the above responses were not required because:
- The credit union provided the borrower with the information requested and contact information (including telephone number) for further assistance within five days (excluding legal public holidays, Saturdays, and Sundays); and (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(e) (Opens new window) )
- The credit union determined that it was not required to respond and provided the borrower written notice with the reason for its determination not to respond to the request to the borrower within five days (excluding legal public holidays, Saturdays, and Sundays) after making the determination (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(f)(2) (Opens new window) ).
- If the information requested is the identity or contact information of the owner or assignee of a mortgage loan, determine whether the credit union complied by identifying the person on whose behalf the credit union receives payments. ( This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Comment 1024.36(a)(2) (Opens new window) )
- If the credit union was exempt from the requirement to respond, ensure they determined whether one of the following five exemptions applied:
- The information requested is substantially the same as information the borrower previously requested, and the credit union has already complied with the requirements for responding to the first request; (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(f)(1)(i) (Opens new window) )
- The information requested is confidential, proprietary, or privileged; (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(f)(1)(ii) (Opens new window) )
- The information requested is not directly related to the borrower’s mortgage loan account; (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(f)(1)(iii) (Opens new window) )
- The information request is overbroad or unduly burdensome. A request is overbroad if the borrower requests that the credit union provide an unreasonable volume of documents or information. A request is unduly burdensome if a diligent credit union could not respond within the time periods in § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(d)(2) (Opens new window) or would incur costs (or have to dedicate resources) that would be unreasonable under the circumstances; or (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(f)(1)(iv) (Opens new window) )
- The information request is sent more than one year after either the mortgage loan balance was discharged or the credit union transferred the mortgage loan to another servicer. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(f)(1)(v) (Opens new window) )
- If a submitted request was overbroad or unduly burdensome, determine if the credit union reasonably identified a valid information request in the submission. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(f)(1)(iv) (Opens new window) )
- Ensure the credit union did not charge a fee or require a borrower to make a payment as a condition of responding to an information request. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(g) (Opens new window) )
Force-Placed Insurance – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37 (Opens new window)
- Ensure the credit union had a reasonable basis to believe that the borrower did not comply with the mortgage loan contract’s requirement to maintain hazard insurance (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(b) (Opens new window) ).
- Determine whether the credit union provided the initial written notice to the borrower at least 45 days before assessing a fee or charge. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(c) (Opens new window) (i))
- Determine that the initial notice includes all the following information (if applicable) (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(c) (Opens new window) (2)):
- The date of the notice;
- The credit union’s name and mailing address;
- The borrower’s name and mailing address;
- A statement that requests the borrower provide hazard insurance information for the borrower’s property and that identifies the property by its physical address;
- A statement that the borrower’s hazard insurance has expired or is expiring (as applicable), that the credit union lacks evidence that the borrower has hazard insurance coverage past the expiration date, and (if applicable) that identifies the type of hazard insurance lacking;
- A statement that hazard insurance is required on the borrower’s property and that the credit union has purchased or will purchase insurance at the borrower’s expense;
- A request that the borrower promptly provide the credit union with insurance information;
- A description of the requested insurance information, how the borrower may provide such information, and (if applicable) that the requested information must be in writing;
- A statement that the insurance coverage the credit union has purchased or will purchase may cost significantly more than, and provide less coverage than, hazard insurance purchased by the borrower;
- The credit union’s phone number for borrower questions; and
- A statement advising that the borrower review additional information provided in the same mailing (if applicable).
- Determine if the initial notice was in the correct form. (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(c)(3) to (4) (Opens new window) )
- Determine whether the credit union provided a reminder notice: (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(d)(1) (Opens new window) )
- At least 30 days after mailing or delivering the initial notice; and
- At least 15 days before assessing any charges or fees for force-placed insurance if they had received no hazard insurance information.
- For borrowers who did not provide hazard insurance information, determine whether the reminder notice: (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(d)(2)(i) (Opens new window) )
- Contained the date of the reminder notice and all of the other information provided in the initial notice;
- Advised that it is a second and final notice; and
- Identified the annual cost of force-placed insurance or, if unknown, a reasonable estimate.
- 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): (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(d)(2)(ii) (Opens new window) )
- The date of the reminder notice;
- The credit union’s name and mailing address;
- The borrower’s name and mailing address;
- A statement requesting that the borrower provide hazard insurance information for the borrower’s property and that identifies the property by its physical address;
- The credit union’s phone number for borrower questions;
- A statement advising that the borrower review additional information provided in the same mailing (if applicable);
- A statement that it is the second and final notice;
- The annual cost of force-placed insurance, or if unknown, a reasonable estimate;
- A statement that the credit union has received the hazard insurance information that the borrower provided;
- A request that the borrower provide the missing information; and
- A statement that the borrower will be charged for insurance the credit union purchases for the time period in which the credit union cannot verify coverage.
- Determine whether the reminder notice was in the correct form. (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(d)(3) to (4) (Opens new window) )
- Determine if by the end of the 15-day period after the credit union sent the reminder notice, the borrower provided evidence of hazard insurance that complies with the loan contract continuously in place. (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(c)(1)(iii) (Opens new window) , This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Comment 1024.37(c)(1)(iii)(2) (Opens new window) )
- Determine whether the credit union provided a written renewal notice to the borrower at least 45 days before assessing any fee or charge. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(e)(1)(i) (Opens new window) )
- Ensure the renewal notice includes all of the following (as applicable): (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(e)(2) (Opens new window) )
- The date of the renewal notice;
- The credit union’s name and mailing address;
- The borrower’s name and mailing address;
- A statement that requests the borrower to update the hazard insurance information for the borrower’s property and that identifies the property by its physical address;
- A statement that the credit union previously purchased force-placed insurance at the borrower’s expense because the credit union did not have evidence that the borrower had hazard insurance coverage;
- A statement that the force-placed insurance has expired or is expiring, as applicable, and that the credit union intends to renew or replace it because hazard insurance is required on the property;
- A statement that the insurance coverage the credit union has purchased or will purchase may cost significantly more than, and provide less coverage than, insurance purchased by the borrower, and identifying the annual premium cost of force-placed insurance or a reasonable estimate;
- A statement that if the borrower purchases hazard insurance, the borrower should promptly provide the credit union with insurance information;
- A description of the requested insurance information and how the borrower may provide such information, and if applicable, that the requested information must be in writing;
- The credit union’s telephone number for borrower questions; and
- A statement advising the borrower to review additional information provided in the same mailing (if applicable).
- Determine if the renewal notice was in the correct form. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(e)(3) (Opens new window) )
- If the credit union received evidence that the borrower had the required hazard insurance coverage in place, determine whether they performed all of the following within 15 days: (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(g) (Opens new window) )
- Cancel the force-placed insurance;
- Refund force-placed insurance premiums charges and fees for the period the coverage overlapped; and
- Remove all force-placed charges and fees from the borrower’s account for the period the coverage overlapped.
- Ensure all fees or charges assessed on the borrower related to force-placed insurance are bona fide and reasonable (except for charges subject to state regulation and charges authorized by the Flood Disaster Protection Act of 1973). (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(h) (Opens new window) )
General Servicing Policies, Procedures, and Requirements – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.38 (Opens new window)
Note: These exam procedures do not apply to “small servicers.”
- Determine if the credit union maintains policies and procedures to ensure they do each of the following: (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.38(a) and (b)(1) (Opens new window) ):
- Provide accurate and timely disclosures to the borrower;
- Investigate, respond to, and make corrections in response to borrowers’ complaints, including promptly obtaining information from service providers to investigate and if applicable correct errors resulting from actions of service providers;
- Provide borrowers with accurate and timely information and documents in response to borrower requests for information about the borrower’s mortgage loan;
- Provide owners and assignees of mortgage loans with accurate and current information and documents about all the mortgage loans they own, including information about the credit union’s evaluations of borrowers for loss mitigation options and loss mitigation agreements with borrowers;
- Submit accurate and current information and documents that comply with applicable law during the foreclosure process;
- Upon learning of a borrower’s death, promptly communicate with the borrower’s successor in interest about the secured property; and
- Evaluate loss mitigation applications properly. (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.38(b)(2) (Opens new window) ).
- Determine if the policies and procedures ensure that the credit union does all of the following This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.38(b)(2) (Opens new window) ):
- Provides accurate information regarding available loss mitigation options from the owner or assignee of the borrower’s loan;
- Specifically identifies all loss mitigation options a borrower may be eligible for, including identifying, with respect to each owner or assignee, all of the loss mitigation options the credit union may consider when evaluating a borrower, as well as the criteria the credit union should apply for each option;
- Provides the loss mitigation personnel assigned to the borrower’s mortgage loan pursuant to § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.40 (Opens new window) with prompt access to all of the documents and information that the borrower submitted for loss mitigation option;
- Identifies the documents and information a borrower must submit to complete a loss mitigation application; and
- In response to a complete loss mitigation application, properly evaluates 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 § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41 (Opens new window) .
- Determine whether the credit union maintains policies and procedures for service provider oversight and compliance. (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.38(a) and (b)(3) (Opens new window) )
- Determine whether these policies and procedures ensure that the credit union: (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.38(a) and (b)(3) (Opens new window) )
- Provides appropriate personnel with access to accurate and current documents and information concerning the service providers’ actions;
- Allows periodic reviews of service providers;
- Allows sharing accurate and current information about the status of a borrower’s loss mitigation application and any foreclosure proceeding among appropriate credit union personnel. These include the loss mitigation personnel assigned to the borrower’s mortgage loan, and appropriate service provider personnel, including service provider personnel responsible for handling foreclosure proceedings; and
- Transfers information properly during servicing transfers. (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.38(b)(4) (Opens new window) )
- Determine whether the credit union has policies and procedures that inform borrowers about procedures for submitting written error notices and written information requests. (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.38(a) and (b)(5) (Opens new window) )
- Determine whether these policies and procedures ensure that the credit union informs borrowers who are not satisfied with the credit union’s response to oral complaints or information requests about the procedures for submitting written error notices. (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35 (Opens new window) , This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36 (Opens new window) ).
- 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. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.38(c)(1) (Opens new window) )
- 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 (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.38(c)(2) (Opens new window) ):
- A schedule of all credits and debits to the account (including escrow accounts and suspense accounts);
- A copy of the security instrument that establishes the lien securing the mortgage loan;
- Any notes created by credit union personnel regarding communications with the borrower concerning the account;
- A report of the data fields for the borrower’s account created by the credit union’s electronic systems (if applicable); and
- Copies of any information or documents the borrower provided to the credit union regarding written error notices or loss mitigation.
Early Intervention Requirements for Certain Borrowers – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.39 (Opens new window)
Note: These exam procedures do not apply to “small servicers.”
- Determine if the credit union makes a good faith effort to establish live contact with the borrower within 36 days after each time the borrower becomes delinquent. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.39(a) (Opens new window) )
- Determine if after establishing live contact, the credit union promptly informed the borrower of loss mitigation options, if appropriate (based on the credit union’s discretion). (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.39(a) (Opens new window) )
- Determine if the credit union sent a written notice to the borrower within 45 days after borrower became delinquent. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.39(b)(1) (Opens new window) )
- Ensure the written notice includes all of the following: (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.39(b)(2) (Opens new window) )
- 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
- Either the CFPB’s or HUD’s website to access homeownership counselors or counseling organizations lists and HUD’s toll-free number to access homeownership counselors or counseling organizations.
Continuity of Contact – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.40 (Opens new window)
Note: These exam procedures do not apply to “small servicers.”
- Ensure the credit union maintain policies and procedures to assign personnel to a delinquent borrower by the time the written early intervention notice was provided, and in any event, within 45 days after the borrower became delinquent. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.40(a) (Opens new window) (1))
- Ensure the credit union maintains policies and procedures to ensure the assigned personnel’s availability, via telephone, to answer the borrower’s 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. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.40(a)(2) (Opens new window) )
- Ensure that the credit union’s policies and procedures ensure that if a borrower contacts the assigned personnel and does not immediately receive a live response, the credit union can provide a live response in a timely manner. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.40(a)(3) (Opens new window) )
- Determine whether the assigned personnel can perform all of the following tasks: (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.40(b) (Opens new window) )
- 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 borrower’s payment history and all written information the borrower has provided to the credit union (or the credit union’s predecessors) regarding a loss mitigation application, and provide these documents to other persons required to evaluate the borrower for available loss mitigation options; and
- Provide the borrower with information about submitting a written error notice or written request for information.
Loss Mitigation Procedures – § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41 (Opens new window)
Note: These exam procedures do not apply to “small servicers.”
- Interview credit union personnel to determine whether they understand the required loss mitigation procedures. Ensure they are aware that these only apply to loans secured by the borrower’s principal residence and not to reverse mortgage loans.
- Ensure that if the credit union received a complete application, they provided acknowledgement to the borrower within five days (excluding legal public holidays, Saturdays, and Sundays) after receiving the loss mitigation application.
- Ensure the written acknowledgement includes all of the following: (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(b)(2) (Opens new window) )
- States whether the application was complete or incomplete;
- Identifies the additional information needed to complete the application;
- Identifies a reasonable date by which the borrower must submit the additional information; and
- Includes a statement that the borrower should contact servicers of any mortgage loans secured by the same property to discuss loss mitigation options.
- Upon discovering that additional information or corrected documents were required to complete the application, ensure the credit union does the following: (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(c)(2)(iv) (Opens new window) )
- Promptly requests the missing information or corrected documents; and
- Gives the borrower a reasonable date by which to complete the application.
- If the credit union receives a completed loss mitigation application more than 37 days before a foreclosure sale, then within 30 days, ensure the credit union:
- Evaluated the borrower for all available loss mitigation options; and (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(c)(1)(i) (Opens new window) ).
- Provided the borrower with a notice stating the following:
- Which loss mitigation options (if any) the credit union would offer the borrower (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(c)(1)(ii) (Opens new window) ),
- The amount of time the borrower has to accept or reject an offered loss mitigation option pursuant to §§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(c)(1)(ii) (Opens new window) and This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(e) (Opens new window) , and
- If applicable, that the borrower has the right to appeal a denial of a loan modification option and the time period for making any appeal under § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(h) (Opens new window) .
- Determine whether the credit union exercised reasonable diligence in obtaining documents and information to complete the application (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(b)(1) (Opens new window) ).
- If the credit union offered the borrower a short term forbearance plan based upon information contained in an incomplete loss mitigation application, and the borrower is performing under the plan, ensure the credit union refrained from any one of the following: (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(c)(2)(iii) (Opens new window) )
- Making the first notice of filing for any judicial or non-judicial foreclosure process;
- Moving for foreclosure judgment or an order of sale; or
- Conducting a foreclosure sale.
- If an application was facially complete, but later the servicer requested additional needed information, ensure the credit union treated the borrower’s application as complete for purposes of § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(f)(2) (Opens new window) (“Application received before foreclosure referral”) and § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(g) (Opens new window) (“Prohibition on foreclosure sale”) until the borrower was given a reasonable opportunity to submit additional information or corrected documents. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(c)(2)(iv) (Opens new window) ).
- Review denied loss mitigation applications. Determine if the credit union sent a notice stating the specific reason or reasons for the denial, and, if applicable, that the borrower was not evaluated on other criteria. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(d) (Opens new window) )
- If the credit union offered a loss mitigation option and received the complete application at least 90 days before a foreclosure sale, determine if they provided the borrower with at least 14 days to accept or reject any offered loan modification option after the servicer notified the borrower about the offer. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(e) (Opens new window) )
- If the credit union offered a loss mitigation option and received the complete application fewer than 90 days before a foreclosure sale but more than 37 days before the sale, ensure the credit union provided the borrower with at least 7 days to accept or reject any offered loss mitigation options after the servicer notified the borrower about the offer. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(e)(1) (Opens new window) )
- If the credit union offered a borrower a trial modification plan and the borrower did not respond within seven or 14 days determine if the credit union:
- Found out if the borrower submitted payments in accordance with the offered plan; and
- If so, determine if the credit union gave the borrower a reasonable period of time to fulfill any remaining requirements to accept the plan. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(e)(2)(ii) (Opens new window) )
- To extend the acceptance period, if within 14 days, determine if the credit union allowed the borrower to appeal a denial of any loan modification option. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(e)(2)(iii) (Opens new window) )
- In the event of an appeal, ensure the borrower’s time for acceptance was extended to 14 days after the credit union provided a notice of its determination of the appeal under § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(e)(2)(iii) (Opens new window) .
- Ensure the borrower meet any one of these conditions prior to the credit union making any first judicial or non-judicial foreclosure notices or filings: (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(f)(1) (Opens new window) )
- The borrower was more than 120 days delinquent;
- The foreclosure is based on a borrower’s violation of a due-on-sale clause; and
- The credit union is joining the foreclosure action of a subordinate lienholder.
- 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: (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(f)(2) (Opens new window) )
- The credit union notified the borrower of his or her ineligibility for any loss mitigation option and, if an appeal was available, the appeal period expired or the appeal was denied;
- The borrower rejected all the offered loss mitigation options; or
- The borrower did not perform under a loss mitigation agreement.
- Ensure the credit union refrained from improperly conducting a foreclosure sale or moving for foreclosure judgment before any of the following: (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(g) (Opens new window) )
- The credit union notified the borrower that it had denied the loss mitigation application and, if an appeal was available, either the appeal period expired or the appeal was denied;
- The borrower rejected all the offered loss mitigation options; or
- The borrower did not perform under a loss mitigation agreement.
Rules for Small Servicers
- Determine if the credit union refrains from making the first foreclosure notice or filing before the borrower is more than 120 days delinquent, unless the foreclosure is based on a borrower’s violation of a due-on-sale clause or the servicer is joining a subordinate lienholder’s foreclosure action. (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(j) (Opens new window) )
Review Considerations
Review Area |
Requirements / Recommendations |
---|---|
Review Area Policy/Procedures |
Requirements / Recommendations Adopt policy and comprehensive procedures for implementing RESPA, including an explanation of the coverage of the regulation, exemptions, disclosure requirements, Section 8 prohibitions, escrow and force-placed insurance rules, servicing standards, and other related requirements. |
Review Area Coverage |
Requirements / Recommendations
RESPA applies to “federally-related mortgage loans,” which includes, for example, any loan:
Note: An installment sales contract, land contract, or contract for deed may also constitute a federally related mortgage loan. Exemptions:
|
Review Area Special Information Booklet |
Requirements / Recommendations
Provide loan applicants with the Special Information Booklet called “Your Home Loan Toolkit”, describing the nature and costs of settlement services. Note: If a borrower uses a mortgage broker, the mortgage broker must provide the booklet and the lender need not do so. In the case of open-end credit plan (HELOCs) subject to Regulation Z, a lender should provide brochure entitled “When Your Home is on the Line: What You Should Know About Home Equity Lines of Credit” instead of the booklet. No booklet required for:
|
Review Area Good Faith Estimate |
Requirements / Recommendations
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. This document should be prepared according to the regulatory requirements. If the borrower is allowed to shop for third-party settlement services, the loan originator must provide the borrower with a written list of settlement services providers at the time of the GFE, on a separate sheet of paper. Mortgage brokers and dealer loans: If mortgage broker provides GFE, lender need not, but lender is bound by disclosures on GFE provided by broker. In the case of dealer loans, lender must provide GFE or ensure that the dealer provides it. For open-end lines of credit (home equity plans) covered under Regulation Z, no GFE need be given if disclosures required by § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1026.40 (Opens new window) are provided to borrower. Revised GFE may be given when “changed circumstances” or “borrower-requested changes” cause charges to increase. May not require, as a condition of providing GFE, that applicant submit documentation to verify application. |
Review Area +HUD-1 / HUD-1A Settlement Statement |
Requirements / Recommendations
Other than for transactions covered by TRID or otherwise noted, a HUD-1 or HUD-1A (if no seller involved) Settlement Statement must be used in every settlement involving a federally related mortgage loan, setting charges in categories to match the GFE for all charges imposed on borrower and seller by the lender. The HUD-1 or HUD-1A must be completed according to the instructions in This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix A (Opens new window) of Regulation X. Charges on HUD-1 or HUD-1A must not exceed those on GFE beyond application tolerances; if not, the lender must refund the excess to the borrower. The HUD-1 or HUD-1A is not required for open-end lines of credit (home equity plans) covered by the Truth in Lending Act and Regulation Z. |
Review Area No Fee< |
Requirements / Recommendations
No fee can be charged by a lender for preparing the HUD-1 or HUD-1A Settlement Statement, escrow account statements, or required Truth-in- Lending disclosures. |
Review Area Kickbacks and Unearned Fees |
Requirements / Recommendations
Ensure that the prohibition against kickbacks and fee-splits regarding settlement services is accurately reflected in the policy statement and is adhered to by all personnel involved in originating or processing federally-related mortgage loans. No referral fees. No splitting charges except for actual services performed. (See § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.14 (Opens new window) ) Note regulatory exemptions for:
|
Review Area Affiliated Business Arrangement |
Requirements / Recommendations
In the case of “affiliated business arrangements,” the person making the referral must provide a written disclosure to each person whose business is referred at the time of referral or the time the GFE is given (if the lender makes the referral). This disclosure must be provided on a separate sheet of paper. The disclosure is designed to (i) specify the relationship between the parties giving and receiving the referral and (ii) describe the estimated charges generally made by the provider of settlement services. An “affiliated business arrangement” is an arrangement in which: (1) a person who is in a position to refer settlement business or an associate of the person has either an affiliate relationship with or an ownership interest of more than one percent in a provider of settlement services and (2) either of such persons refers business to that provider or positively influences the selection of that provider. |
Review Area Record Retention |
Requirements / Recommendations
Keep documents showing any reason for providing a revised GFE. Keep copy of completed HUD-1 or HUD-1A and related documents (until transfer to new owner or loan or new servicer) Keep documents provided according to § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.14 (Opens new window) (Prohibition Against Kickbacks and unearned Fees). Keep documents provided according to § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.15 (Opens new window) (Affiliated Business Arrangements). Keep records showing the handling of each borrower’s escrow account. Unless a “small servicer,” must keep records that document actions taken regarding a borrower's mortgage loan account until one year after a mortgage loan is discharged or servicing of a mortgage loan is transferred by the servicer to a transferee servicer. Although not specified in Regulation X, keeping other notices and disclosures such as the Servicing Transfer Notice and the Good Faith Estimate is recommended. |
Review Area Directing Use of Title Company |
Requirements / Recommendations
If a lender holds legal title to property being sold, the lender as seller may not directly or indirectly require the borrower to purchase title insurance from any particular title company as condition for selling the property. |
Review Area Escrow Accounts |
Requirements / Recommendations
When a borrower is required to make payments into an escrow account to pay taxes, insurance premiums, or other charges with respect to a federally related mortgage loan, the lender must:
Shortages/Deficiencies/Surpluses
Ensure that all payments from escrow accounts are made in a timely manner. Note special rule for paying hazard insurance premiums from escrow account, even when borrower is delinquent. Determine whether small servicer exception applies. Adhere to aggregate accounting method. Note that § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.17 (Opens new window) sets out detailed requirements for establishing and maintaining escrow accounts, including acceptable accounting methods that may be used. |
Review Area Homeownership Counseling Organization List |
Requirements / Recommendations Provide borrower list of organizations from website maintained by the CFPB, or from data made available by the CFPB or HUD. § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.20 (Opens new window) |
Review Area Servicing Disclosure Statement |
Requirements / Recommendations Provide loan applicants with a Servicing Disclosure Statement which explains the process of transferring servicing rights in the form described in § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.33 (Opens new window) . All servicing disclosures must be clear and conspicuous, in writing, and in a form that the recipient can keep. Electronic disclosures that comply with E-Sign are allowed. |
Review Area Servicing Transfer Notice |
Requirements / Recommendations
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. An extended notice period is allowed when the transfer of servicing is preceded by:
Special provisions apply for the transfer of servicing, relating to:
|
Review Area Borrower Notice of Error |
Requirements / Recommendations Implement procedures for responding promptly to borrower error notices. |
Review Area Borrower Request for Information |
Requirements / Recommendations Implement procedures for responding promptly to borrower request for information. |
Review Area Force-Placed Insurance |
Requirements / Recommendations Provide notices and follow procedures required before imposing a charge for force-placed insurance on borrower according to § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37 (Opens new window) . |
Review Area Servicing Obligations |
Requirements / Recommendations Unless a “small servicer,” establish servicing policies, early intervention practices, continuity of contact, loss mitigation, and foreclosure requirements under §§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.38 – 1024.41 (Opens new window) . If a small servicer, implement applicable foreclosure suspension rules under § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41 (Opens new window) . |
Review Area Training |
Requirements / Recommendations Training employees involved in the origination or processing of federally related mortgage loans or whose duties are otherwise impacted by the requirements of RESPA and Regulation X. |
Review Area Updating |
Requirements / Recommendations Update policies, procedures, disclosures, and notices as necessary to show changes in the regulation or changes in equipment or internal operations / processes as appropriate. Ensure effective communication and distribution of updated notices and disclosures. |
Review Area Internal Review |
Requirements / Recommendations Conduct an internal review at least once a year to test compliance with the regulation and conformity of a credit union’s practices with its policies and procedures. |
REAL ESTATE SETTLEMENT PROCEDURES (RESPA)
REGULATION X
EXAMINATION CHECKLIST
RESPA Compliance Readiness
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 1 |
Description Do written loan policies regarding federally related mortgage loans comply with RESPA? |
Yes |
No |
N/A |
Item 2 |
Description Does the credit union have operating procedures that address RESPA? |
Yes |
No |
N/A |
Item 3 |
Description Do mortgage lending personnel know about the requirements of RESPA? |
Yes |
No |
N/A |
Special Information Booklet
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 4 |
Description For purchases of 1-4 family homes, is the Special Information booklet, called “Your home loan toolkit,” provided within three business days after the credit union or broker receives or prepares a written application for a first lien closed-end loan? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.6 (Opens new window) ) |
Yes |
No |
N/A |
Good Faith Estimate - For transactions not covered by TRID
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 5 |
Description For transactions not covered by TRID, does the credit union use the standard/required Good Faith Estimate (GFE)? |
Yes |
No |
N/A |
Item 6 |
Description Is a GFE of charges for settlement services, if required, provided within three business days after receiving an application or enough information to complete an application by the lender or mortgage broker? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.7(a)) (Opens new window) |
Yes |
No |
N/A |
Item 7 |
Description Does the GFE appear in the exact form required by This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix C (Opens new window) ? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.7(d) (Opens new window) ) |
Yes |
No |
N/A |
Item 8 |
Description Does the GFE contain the following elements: |
Yes |
No |
N/A |
Item 8(a) |
Description Interest rate expiration date? |
Yes |
No |
N/A |
Item 8(b) |
Description Settlement charges expiration date? |
Yes |
No |
N/A |
Item 8(c) |
Description Rate lock period? |
Yes |
No |
N/A |
Item 8(d) |
Description Number of days before settlement the interest rate must be locked, if applicable? |
Yes |
No |
N/A |
Item 8(e) |
Description Summary of loan information? |
Yes |
No |
N/A |
Item 8(f) |
Description Escrow account information? |
Yes |
No |
N/A |
Item 8(g) |
Description Estimates for settlement charges? |
Yes |
No |
N/A |
Item 8(h) |
Description Left-hand column on trade-off table completed for loan in the GFE? |
Yes |
No |
N/A |
Item 8(i) |
Description For all loans, are all third-party fees, including those paid by the credit union in the case of no-cost loans, itemized and listed in the appropriate blocks on the second page of the GFE? |
Yes |
No |
N/A |
Item 8(j) |
Description Did the credit union provide a separate sheet that identifies the settlement service providers for the services listed? ( This is an external link to a website belonging to another federal agency, private organization, or commercial entity. §§ 1024.7 (Opens new window) , This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix C (Opens new window) ) |
Yes |
No |
N/A |
Item 9 |
Description If the credit union provided a revised GFE because of changed circumstances, borrower-requested changes, or interest-rate-dependent changes, did it issue a new GFE within three business days of receiving enough information to establish changed circumstances, and did the new GFE reflect only permissible changes? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.7(f)) (Opens new window) |
Yes |
No |
N/A |
Uniform Settlement Statement (HUD-1 or HUD-1A) - Other than for transactions covered by TRID
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 10 |
Description Other than for transactions covered by TRID, does the credit union use the appropriate Uniform Settlement Statement (HUD-1 or HUD-1A)? (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.8 (Opens new window) , This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix A (Opens new window) ) |
Yes |
No |
N/A |
Item 11 |
Description Does the HUD-1 or HUD-1A contain the following? |
Yes N/A |
No N/A |
N/A N/A |
Item 11(a) |
Description Charges properly itemized for both borrower and seller according to the instructions for completing the HUD-1 or HUD-1A? |
Yes |
No |
N/A |
Item 11(b) |
Description All charges paid to someone other than the lender, itemized and with the recipient named? |
Yes |
No |
N/A |
Item 11(c) |
Description 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? |
Yes |
No |
N/A |
Item 11(d) |
Description When an average charge was listed for a settlement service, was the charge calculated according to the requirements in This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.8(b)(2) (Opens new window) ? |
Yes |
No |
N/A |
Item 12 |
Description From a review of the HUD-1 or HUD-1A prepared for each GFE reviewed, are amounts shown on the GFE the same as the fees actually paid by the borrower? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.7(i)) (Opens new window) |
Yes |
No |
N/A |
Item 13 |
Description If a charge stated on the HUD-1 or HUD-1A exceeds the charges stated on the GFE by more than the permitted tolerance, does the credit union cure the tolerance violation by reimbursing the borrower the amount the tolerance was exceeded at settlement, or by delivering or placing the payment in the mail within 30 calendar days after settlement? ( This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.7(i) (Opens new window) ) |
Yes |
No |
N/A |
Item 14 |
Description If the credit union conducts settlement: |
Yes N/A |
No N/A |
N/A N/A |
Item 14(a) |
Description Is the borrower, upon request, allowed to inspect the HUD-1 or HUD-1A at least one day before settlement? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.10(a)) (Opens new window) |
Yes |
No |
N/A |
Item 14(b) |
Description Is the HUD-A or HUD-1A provided to the borrower and seller at or before settlement? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.10(b)) (Opens new window) |
Yes |
No |
N/A |
Item 14(c) |
Description In cases when the right to delivery is waived or the transaction is exempt, is the statement mailed as soon as possible after settlement? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§§ 1024.10(b), (c), and (d)) (Opens new window) |
Yes |
No |
N/A |
Item 15 |
Description If there is an accidental or technical error on the HUD-1 or HUD-1A, does the credit union provide a revised HUD-1 or HUD-1A to the borrower within 30 calendar days after settlement? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.8(c)) (Opens new window) |
Yes |
No |
N/A |
Item 16 |
Description If the credit union retains its interest in the mortgage and/or services it, is the HUD-1 or HUD-1A form kept for five years? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.10(e)) (Opens new window) |
Yes |
No |
N/A |
Item 17 |
Description If the credit union disposes of its interest in the mortgage and does not service the loan, is the HUD-1 or HUD-1A transferred to the new asset owner with the loan file? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.10(e)) (Opens new window) |
Yes |
No |
N/A |
Payment or Receipt of Referral or Unearned Fees
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 20 |
Description Is credit union management aware of the prohibitions against payments or receipt of kickbacks and unearned fees? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.14) (Opens new window) |
Yes |
No |
N/A |
Item 21 |
Description Are federally related mortgage loan transactions referred by brokers, affiliates, or other parties? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.14) (Opens new window) |
Yes |
No |
N/A |
Item 21(a) |
Description OR Does the credit union refer services to brokers, affiliates, or other parties? |
Yes |
No |
N/A |
Item 22 |
Description If fees were paid to the credit union or any parties identified, were all fees paid to the broker, affiliate, service provider, or other party for goods or facilities furnished or services performed? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.14(g)) (Opens new window) |
Yes |
No |
N/A |
Item 23 |
Description Is the compensation the lender receives in connection with an Affiliated Business Arrangement limited to a return on an ownership interest or other amounts permissible under RESPA? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.15(b)) (Opens new window) |
Yes |
No |
N/A |
Affiliated Business Agreements
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 24 |
Description Does the credit union refer borrowers to affiliated settlement service providers? |
Yes |
No |
N/A |
Item 25 |
Description If the credit union refers borrowers to affiliated settlement service providers, is the Affiliated Business Disclosure statement provided to each borrower according to This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix D (Opens new window) ? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.15(b)(1)) (Opens new window) |
Yes |
No |
N/A |
Item 26 |
Description Other than an attorney, credit reporting agency, or appraiser representing the lender, does the credit union prohibit requiring the borrower use an affiliate? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.15(b)(2)) (Opens new window) |
Yes |
No |
N/A |
Required Title Insurance as Condition of Sale
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 27 |
Description When the credit union owns the property being sold, does it ensure that it does not require the borrower to purchase title insurance for a particular company as a condition of the sale? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.16) (Opens new window) |
Yes |
No |
N/A |
Escrow Accounts
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 28 |
Description Does the credit union perform an escrow analysis at the creation of the escrow account? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.17) (Opens new window) |
Yes |
No |
N/A |
Item 29 |
Description Other than for transactions covered by TRID, is the initial escrow statement given to the borrower at settlement or within 45 calendar days after the escrow account is established? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.17) (Opens new window) |
Yes |
No |
N/A |
Item 30 |
Description Does the initial escrow statement itemize: |
Yes N/A |
No N/A |
N/A N/A |
Item 30(a) |
Description Amount of monthly mortgage payment? |
Yes |
No |
N/A |
Item 30(b) |
Description Portion of the monthly payment being placed in escrow? |
Yes |
No |
N/A |
Item 30(c) |
Description Charges to be paid from the escrow account during the first 12 months? |
Yes |
No |
N/A |
Item 30(d) |
Description Disbursement date? |
Yes |
No |
N/A |
Item 30(e) |
Description Amount of cushion? |
Yes |
No |
N/A |
Item 31 |
Description Is the annual escrow statement provided within 30 days of the end of the escrow account computation year? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.17) (Opens new window) |
Yes |
No |
N/A |
Item 32 |
Description Does the annual escrow statement itemize: |
Yes N/A |
No N/A |
N/A N/A |
Item 32(a) |
Description Current mortgage payment and portion going to escrow? |
Yes |
No |
N/A |
Item 32(b) |
Description Amount of last year’s mortgage payment and portion that went to escrow? |
Yes |
No |
N/A |
Item 32(c) |
Description Total amount paid into the escrow account during the past computation year? |
Yes |
No |
N/A |
Item 32(d) |
Description Total amount paid from the escrow account during the past year for taxes, insurance premiums, and other charges? |
Yes |
No |
N/A |
Item 32(e) |
Description Balance in the escrow account at the end of the period? |
Yes |
No |
N/A |
Item 32(f) |
Description Explanation of how any surplus is handled? |
Yes |
No |
N/A |
Item 32(g) |
Description Explanation of how any shortage or deficiency will be paid by the borrower? |
Yes |
No |
N/A |
Item 33 |
Description If applicable, the reason(s) why the estimated low monthly balance was not reached? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.17(i)(1)(viii)) (Opens new window) |
Yes |
No |
N/A |
Item 34 |
Description 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? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.17(c)(1)(ii)) (Opens new window) |
Yes |
No |
N/A |
Item 35 |
Description Does the servicer notify the borrower at least annually if there is a shortage in the escrow account? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.17(f)(5)) (Opens new window) |
Yes |
No |
N/A |
Force-Placed Insurance
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 36 |
Description Was the credit union permitted to purchase forced placed insurance for a borrower who had established an escrow account for the payment of hazard insurance under This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.17(k)(5) (Opens new window) ? |
Yes |
No |
N/A |
Item 37 |
Description If the credit union is a “small servicer,” was the cost charged to each borrower of the force-placed insurance less than the amount the credit union would have needed to disburse from the borrower’s escrow account to ensure that hazard insurance charges were paid in a timely manner? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.17(k)(5)(iii)) (Opens new window) |
Yes |
No |
N/A |
List of Home Ownership Counseling Organizations
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 38 |
Description Does the credit union provide applicants a list of home ownership counseling agencies within three business days of receiving an application? (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.20(a) (Opens new window) ) |
Yes |
No |
N/A |
Item 39 |
Description Does the credit union obtain the list of home ownership counseling agencies from the CFPB’s or HUD’s website and is the list obtained no more than 30 days prior to the time the list was provided to the applicant? (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.20(a) (Opens new window) ) |
Yes |
No |
N/A |
Item 40 |
Description For HELOCs, does the credit union comply with either the three business day timeframe or with Regulation Z’s timeframe listed in § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1026.40(b) (Opens new window) ? (§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.20(b) (Opens new window) ) |
Yes |
No |
N/A |
Mortgage Servicing Statement Disclosure
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 41 |
Description Is the language in the mortgage servicing disclosure statement substantially the same as the model disclosure in This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix MS-1 (Opens new window) ? |
Yes |
No |
N/A |
Item 42 |
Description Does the lender provide the mortgage servicing disclosure statement within three business days after receiving the application? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.33(a)) (Opens new window) |
Yes |
No |
N/A |
Item 43 |
Description Does the disclosure state whether the loan may be assigned or transferred while outstanding? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.33(a)) (Opens new window) |
Yes |
No |
N/A |
Notice to Borrower of Transfer of Mortgage Servicing
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 44 |
Description If the credit union has transferred servicing rights, was the borrower notified at least 15 days prior to the effective date of the transfer? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.33) (Opens new window) |
Yes |
No |
N/A |
Item 45 |
Description If the credit union has received servicing rights, was the borrower notified within 15 days after the effective date of the transfer? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.33) (Opens new window) |
Yes |
No |
N/A |
Item 46 |
Description Does the notice by transferor and transferee include the following information as contained in This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix MS-2 (Opens new window) ? |
Yes N/A |
No N/A |
N/A N/A |
Item 46(a) |
Description The effective date of the transfer? |
Yes |
No |
N/A |
Item 46(b) |
Description The new servicer’s name, address, and toll-free or collect call telephone number of the transferor servicer? |
Yes |
No |
N/A |
Item 46(c) |
Description A toll-free or collect call telephone number of the present servicer to answer questions about the transfer? |
Yes |
No |
N/A |
Item 46(d) |
Description The date the present servicer will stop accepting payments and the date the new servicer will begin accepting payments for the transferred loan? |
Yes |
No |
N/A |
Item 46(e) |
Description 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? |
Yes |
No |
N/A |
Item 46(f) |
Description A statement that the transfer does not affect the terms or conditions of the mortgage other than terms directly related to its servicing? |
Yes |
No |
N/A |
Item 47 |
Description Does the credit union ensure that no late fees are imposed during the 60 days following a transfer of servicing and that no timely payments are treated as late when the transferor receives them instead of the transferee? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.33) (Opens new window) |
Yes |
No |
N/A |
Responding to Borrower Inquiries
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 48 |
Description Are qualified written requests addressed under the credit union’s procedures for responding to Borrower Notice of Errors or Borrower Requests for Information? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36) (Opens new window) |
Yes |
No |
N/A |
Subpart C – Mortgage Servicing
Mortgage Servicing Transfer Disclosures – This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.33 (Opens new window)
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 49 |
Description Did the credit union provide a servicing disclosure statement to the borrower within three days (excluding legal public holidays, Saturdays, and Sundays) after receiving the application? |
Yes |
No |
N/A |
Transfers of Mortgage Servicing Rights – Disclosures
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 50 |
Description Was the notice of mortgage servicing transfer sent to the borrower at least 15 days before the transfer? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.33(b)(3)) (Opens new window) |
Yes |
No |
N/A |
Item 51 |
Description If the credit union received mortgage servicing rights for a loan, did it notify the borrower within 15 days after the transfer occurred? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.33(b)(3)) (Opens new window) |
Yes |
No |
N/A |
Item 52 |
Description Does the notice sent by the credit union include the following information: This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.33(b)(4)) (Opens new window) |
Yes N/A |
No N/A |
N/A N/A |
Item 52(a) |
Description The effective date of the transfer? |
Yes |
No |
N/A |
Item 52(b) |
Description The name, address, and toll-free or collect-call telephone number for an employee or department of the transferee servicer that the borrower can call for answers to servicing transfer inquiries? |
Yes |
No |
N/A |
Item 52(c) |
Description The date the transferor servicer will stop accepting payments for the loan and the date the transferee servicer will begin to accept payments. The dates must either be the same or consecutive? |
Yes |
No |
N/A |
Item 52(d) |
Description Whether the transfer will affect the terms or the availability of optional insurance and any action the borrower must take to maintain such coverage? |
Yes |
No |
N/A |
Item 52(e) |
Description A statement that the transfer does not affect the terms or conditions of the mortgage (except as directly related to servicing) ( This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Appendix MS-2 (Opens new window) )? |
Yes |
No |
N/A |
Item 53 |
Description Was the notice by the transferor and transferee sent to the borrower’s address listed in the mortgage loan documents, unless the borrower notified the credit union of a new address according to the credit union’s requirements? ( This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Comment 1024.33(b)(3)(1)) (Opens new window) |
Yes |
No |
N/A |
Transfers of Mortgage Servicing Rights – Treatment of Post-Transfer Payments
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 54 |
Description Did the credit union not treat as late any payments the borrower sent to the wrong party within 60 days of the transfer? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.33(c)(1)) (Opens new window) |
Yes |
No |
N/A |
Item 55 |
Description Did the transferor servicer either: |
Yes N/A |
No N/A |
N/A N/A |
Item 55(a) |
Description Forward the payment to the transferee servicer? |
Yes |
No |
N/A |
Item 55(b) |
Description Return the payment and informed the payer where to send the payment if the borrower sent any payment within 60 days of the transfer? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.33(c)(2)) (Opens new window) |
Yes |
No |
N/A |
Timely Escrow Payments and Treatment of Escrow
Account Balances – This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.34 (Opens new window)
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 56 |
Description Did the credit union made payments from the escrow account in a timely manner? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.34) (Opens new window) |
Yes |
No |
N/A |
Item 57 |
Description Did the credit union return amounts remaining in escrow within 20 days (excluding legal public holidays, Saturdays, and Sundays) after the borrower paid the mortgage loan in full? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.34(b)) (Opens new window) |
Yes |
No |
N/A |
Error Resolution Procedures – This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.35 (Opens new window)
Address for Error Notices
Acknowledgement of Error Notices
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 62 |
Description Did the credit union properly acknowledged the error notice by providing written acknowledgement to the borrower within five days (excluding legal public holidays, Saturdays, and Sundays) after receiving an error notice? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(d)) (Opens new window) |
Yes |
No |
N/A |
Item 63 |
Description If an acknowledgment was not given, was it not required for one of the following reasons: |
Yes N/A |
No N/A |
N/A N/A |
Item 63(a) |
Description The credit union corrected the errors asserted and notified the borrower in writing within five days (excluding legal public holidays, Saturdays, and Sundays) of receiving the error notice? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(f)) (Opens new window) |
Yes |
No |
N/A |
Item 63(b) |
Description 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? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(g)) (Opens new window) |
Yes |
No |
N/A |
Item 63(c) |
Description The error notice related to violations of certain loss mitigation procedures under This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.35(b)(9) or (10) (Opens new window) and the credit union received it seven or fewer days before a foreclosure sale? |
Yes |
No |
N/A |
Response to Error Notices
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 64 |
Description Did the credit union properly responded to a borrower’s written error notice by either: |
Yes N/A |
No N/A |
N/A N/A |
Item 64(a) |
Description Correcting the errors identified by the borrower as well as any other errors that were discovered during the investigation and providing written notice to the borrower of the corrections, the date the corrections took effect, and contact information for further assistance? |
Yes |
No |
N/A |
Item 64(b) |
Description 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 borrower’s right to request documents the credit union relied on in reaching its determination and how to do so, and contact information for further assistance? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(e)) (Opens new window) |
Yes |
No |
N/A |
Item 65 |
Description AND If the alleged error was a failure to provide an accurate payoff balance amount, did the credit union responded within seven days (excluding legal public holidays, Saturdays, and Sundays)? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(e)(3)(A)) (Opens new window) |
Yes |
No |
N/A |
Item 65(a) |
Description
If the alleged error was either (1) making the first notice or filing for a judicial or non-judicial foreclosure process in violation of This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.41(f) or (j) (Opens new window) , or (2) moving for foreclosure judgment or order of sale or conducting a foreclosure sale in violation of This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.41(g) or (j) (Opens new window) , did the credit union respond by either of 30 days (excluding legal public holidays, Saturdays, and Sundays) or the date of a foreclosure sale, whichever comes first? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(e)(3)(B)) (Opens new window) Note: If the credit union received the error notice seven or fewer days before a foreclosure sale, the credit union is not required to respond in writing, but must make a good faith attempt to respond orally or in writing to the borrower and either correct the error or state the reason the credit union determined that no error occurred This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(f)(2)) (Opens new window) |
Yes |
No |
N/A |
Item 65(b) |
Description For all other alleged errors, did the credit union respond within 30 days (excluding legal public holidays, Saturdays, and Sundays) unless, before the expiration of that 30-day period, the credit union extended the time for responding by an additional 15 days (excluding legal public holidays, Saturdays, and Sundays) by notifying the borrower in writing of the extension and the reasons for it? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(e)(3)) (Opens new window) |
Yes |
No |
N/A |
Item 66 |
Description If the credit union did not respond, did it determine that the above responses were not required because either: |
Yes N/A |
No N/A |
N/A N/A |
Item 66(a) |
Description The credit union corrected the errors asserted and notified the borrower in writing within five days (excluding legal public holidays, Saturdays, and Sundays) of receiving the error notice? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(f)) (Opens new window) |
Yes |
No |
N/A |
Item 66(b) |
Description 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? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(g)) (Opens new window) |
Yes |
No |
N/A |
Item 66(c) |
Description The error notice related to violations of certain loss mitigation procedures under This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.35(b)(9) or (10) (Opens new window) and was received by the credit union seven or fewer days before a foreclosure sale. For such error notices, the credit union must make a good faith attempt to respond orally or in writing to the borrower and either correct the error or state the reason the credit union determined that no error occurred? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(f)(2)) (Opens new window) |
Yes |
No |
N/A |
Determination that No Error Occurred
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 67 |
Description Was the supporting documentation the credit union relied up to determine that no error occurred provided to the borrower within 15 days (excluding legal public holidays, Saturdays, and Sundays) of the borrower’s request? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(e)(4)) (Opens new window) |
Yes |
No |
N/A |
Item 68 |
Description Was written notification provided to the borrower within 15 days (excluding legal public holidays, Saturdays, and Sundays) if the credit union withheld documents that included confidential, proprietary, or privileged information? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(e)(4)) (Opens new window) |
Yes |
No |
N/A |
Determination that No Response was Required
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 69 |
Description Was it determined that one of the following three exemptions applied—nullifying the credit union’s requirement to respond: |
Yes N/A |
No N/A |
N/A N/A |
Item 69(a) |
Description The error asserted is substantially the same as an error previously asserted by the borrower that the credit union already complied with? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(d)) (Opens new window) |
Yes |
No |
N/A |
Item 69(b) |
Description The error notice was overbroad? |
Yes |
No |
N/A |
Item 69(c) |
Description The error notice was untimely? |
Yes |
No |
N/A |
Asserted Errors Related to Non-Bona Fide Fees
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 70 |
Description 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? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(b)(5)) (Opens new window) |
Yes |
No |
N/A |
Impermissible Fees and Conditions and Other Restrictions
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 71 |
Description Did the credit union not require the borrower to provide supporting documents as a condition of investigating the alleged error? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(e)(2)(i)) (Opens new window) |
Yes |
No |
N/A |
Item 72 |
Description Did the credit union refrain from determining that no error occurred without conducting a reasonable investigation due to the borrower’s failure to provide any requested information? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(e)(2)(ii)) (Opens new window) |
Yes |
No |
N/A |
Item 73 |
Description Did the credit union not charge a fee or require the borrower to make any payments as a condition to responding to an error notice? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(h)) (Opens new window) |
Yes |
No |
N/A |
Item 74 |
Description 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? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.35(i)) (Opens new window) |
Yes |
No |
N/A |
Requests for Information – This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.36 (Opens new window)
Address for Information Requests
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 75 |
Description If the credit union gave a specific address for requests for information, did the credit union provide written notice of the address where the borrower must send information requests, along with a statement informing the borrower that the provided address must be used to request information? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(b)) (Opens new window) |
Yes |
No |
N/A |
Item 76 |
Description Did the credit union provide the borrower with the address in each of the following communications: |
Yes N/A |
No N/A |
N/A N/A |
Item 76(a) |
Description Any periodic statement or coupon book required under This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 12 CFR § 1026.41 (Opens new window) ? |
Yes |
No |
N/A |
Item 76(c) |
Description Any website the credit union maintains for servicing the loan? |
Yes |
No |
N/A |
Item 76(d) |
Description Any notice required by §§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.39 (Opens new window) (early intervention) or This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41 (Opens new window) (loss mitigation) that includes contact information for assistance? (Comment 1024.36(c)(2)) |
Yes |
No |
N/A |
Item 77 |
Description Did the credit union give the same address for receiving information requests? (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.35(c) (Opens new window) and This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36(b) (Opens new window) ) |
Yes |
No |
N/A |
Item 78 |
Description Does the credit union respond to information requests sent to any of its offices? ( This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Comment 1024.36(b)(1) (Opens new window) ) |
Yes |
No |
N/A |
Acknowledgement of Information Requests
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 79 |
Description Was written acknowledgement provided to the borrower within five days (excluding legal public holidays, Saturdays, and Sundays) of the credit union receiving the information request? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(c)) (Opens new window) |
Yes |
No |
N/A |
Item 80 |
Description If no such acknowledgment was provided, did the credit union determine that acknowledgement was not required because either: |
Yes N/A |
No N/A |
N/A N/A |
Item 80(a) |
Description The credit union provided the borrower with the information requested and contact information (including telephone number) for further assistance within five days (excluding legal public holidays, Saturdays, and Sundays)? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(e)) (Opens new window) |
Yes |
No |
N/A |
Item 80(b) |
Description The credit union determined that it was not required to respond and provided the borrower written notice with the reason for its determination not to respond to the request to the borrower within five days (excluding legal public holidays, Saturdays, and Sundays) after making the determination? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(f)) (Opens new window) |
Yes |
No |
N/A |
Response to Information Requests
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 81 |
Description Did the credit union properly responded to the information request by either: |
Yes N/A |
No N/A |
N/A N/A |
Item 81(a) |
Description Providing the requested information and contact information for further assistance? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(d)(1)(i)) (Opens new window) |
Yes |
No |
N/A |
Item 81(b) |
Description Conducting a reasonable search for the requested information and providing the borrower with a written notice telling the borrower that the credit union has determined that the requested information is not available, the reason for the credit union’s determination, and contact information for further assistance? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(d)(1)(ii)) (Opens new window) |
Yes |
No |
N/A |
Item 82 |
Description Did the credit union comply with the following time frames: |
Yes N/A |
No N/A |
N/A N/A |
Item 82(a) |
Description The credit union responded within 10 days (excluding legal public holidays, Saturdays, and Sundays) to borrower request for the identity of or contact information for the owner or assignee of a mortgage loan? |
Yes |
No |
N/A |
Item 82(b) |
Description The credit union responded within 30 days (excluding legal public holidays, Saturdays, and Sundays) to all other information requests, unless, before the expiration of that 30-day period, the credit union extended the time for responding by an additional 15 days (excluding legal public holidays, Saturdays, and Sundays) by notifying the borrower in writing of the extension and the reasons for it? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(d)) (Opens new window) |
Yes |
No |
N/A |
Item 83 |
Description If the credit union did not respond to the borrower’s request for information, was it determined that the above responses were not required because: |
Yes N/A |
No N/A |
N/A N/A |
Item 83(a) |
Description The credit union provided the borrower with the information requested and contact information (including telephone number) for further assistance within five days (excluding legal public holidays, Saturdays, and Sundays)? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(e)) (Opens new window) |
Yes |
No |
N/A |
Item 83(b) |
Description The credit union determined that it was not required to respond and provided the borrower written notice with the reason for its determination not to respond to the request to the borrower within five days (excluding legal public holidays, Saturdays, and Sundays) after making the determination? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(f)(2)) (Opens new window) |
Yes |
No |
N/A |
Information Requests Regarding the Identity or Contact Information of the Owner or Assignee of a Mortgage Loan
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 84 |
Description If the information requested is the identity or contact information of the owner or assignee of a mortgage loan, did the credit union comply by identifying the person on whose behalf the credit union receives payments? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (Comment 1024.36(a)(2)) (Opens new window) |
Yes |
No |
N/A |
Determination that No Response was Required
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 85 |
Description If the credit union was exempt from the requirement to respond, did they determine whether one of the following five exemptions applied: |
Yes N/A |
No N/A |
N/A N/A |
Item 85(a) |
Description The information requested is substantially the same as information the borrower previously requested, and the credit union has already complied with the requirements for responding to the first request? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(f)(1)(i)) (Opens new window) |
Yes |
No |
N/A |
Item 85(b) |
Description The information requested is confidential, proprietary, or privileged? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(f)(1)(ii)) (Opens new window) |
Yes |
No |
N/A |
Item 85(c) |
Description The information requested is not directly related to the borrower’s mortgage loan account? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(f)(1)(iii)) (Opens new window) |
Yes |
No |
N/A |
Item 85(d) |
Description The information request is overbroad or unduly burdensome. A request is overbroad if the borrower requests that the credit union provide an unreasonable volume of documents or information. A request is unduly burdensome if a diligent credit union could not respond within the time periods in This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.36(d)(2) (Opens new window) or would incur costs (or have to dedicate resources) that would be unreasonable under the circumstances? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(f)(1)(iv)) (Opens new window) |
Yes |
No |
N/A |
Item 85(e) |
Description The information request is sent more than one year after either the mortgage loan balance was discharged or the credit union transferred the mortgage loan to another servicer? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(f)(1)(v)) (Opens new window) |
Yes |
No |
N/A |
Determination that Information Request was Overbroad
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 86 |
Description If a submitted request was overbroad or unduly burdensome, could the credit union have reasonably identified a valid information request in the submission? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(f)(1)(iv)) (Opens new window) |
Yes |
No |
N/A |
Impermissible Fees and Conditions
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 87 |
Description Did the credit union not charge a fee or require a borrower to make a payment as a condition of responding to an information request? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.36(g)) (Opens new window) |
Yes |
No |
N/A |
Force-Placed Insurance – § 1024.37
Assessing Charges or Fees Related to Force-Placed Insurance
Reasonable Basis
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 88 |
Description Did the credit union have a reasonable basis to believe that the borrower did not comply with the mortgage loan contract’s requirement to maintain hazard insurance? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.37(b)) (Opens new window) |
Yes |
No |
N/A |
Initial Notice
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 86 |
Description Did the credit union provide the initial written notice to the borrower at least 45 days before assessing a fee or charge? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.37(c)) (Opens new window) |
Yes |
No |
N/A |
Item 87(a) |
Description The date of the notice? |
Yes |
No |
N/A |
Item 87(b) |
Description The credit union’s name and mailing address? |
Yes |
No |
N/A |
Item 87(c) |
Description The borrower’s name and mailing address? |
Yes |
No |
N/A |
Item 87(d) |
Description A statement that requests the borrower provide hazard insurance information for the borrower’s property and that identifies the property by its physical address? |
Yes |
No |
N/A |
Item 87(e) |
Description A statement that the borrower’s hazard insurance has expired or is expiring (as applicable), that the credit union lacks evidence that the borrower has hazard insurance coverage past the expiration date, and (if applicable) that identifies the type of hazard insurance lacking? |
Yes |
No |
N/A |
Item 87(f) |
Description A statement that hazard insurance is required on the borrower’s property and that the credit union has purchased or will purchase insurance at the borrower’s expense? |
Yes |
No |
N/A |
Item 87(g) |
Description A request that the borrower promptly provide the credit union with insurance information? |
Yes |
No |
N/A |
Item 87(h) |
Description A description of the requested insurance information, how the borrower may provide such information, and (if applicable) that the requested information must be in writing? |
Yes |
No |
N/A |
Item 87(i) |
Description A statement that the insurance coverage the credit union has purchased or will purchase may cost significantly more than, and provide less coverage than, hazard insurance purchased by the borrower? |
Yes |
No |
N/A |
Item 87(j) |
Description The credit union’s phone number for borrower questions? |
Yes |
No |
N/A |
Item 87(k) |
Description A statement advising that the borrower review additional information provided in the same mailing (if applicable)? |
Yes |
No |
N/A |
Item 88 |
Description Was the initial notice in the correct form? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§§ 1024.37(c)(3) to (4)) (Opens new window) |
Yes |
No |
N/A |
Reminder Notice
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 89 |
Description Did the credit union provide a reminder notice (i) at least 30 days after mailing or delivering the initial notice, and (ii) at least 15 days before assessing any charges or fees for force-placed insurance if they had received no hazard insurance information? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.37(d)(1)) (Opens new window) |
Yes |
No |
N/A |
Item 90 |
Description For borrowers who did not provide hazard insurance information, did the reminder notice: |
Yes N/A |
No N/A |
N/A N/A |
Item 90(a) |
Description Contain the date of the reminder notice and all of the other information provided in the initial notice? |
Yes |
No |
N/A |
Item 90(b) |
Description Advise that it is a second and final notice? |
Yes |
No |
N/A |
Item 90(c) |
Description Identify the annual cost of force-placed insurance or, if unknown, a reasonable estimate? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.37(d)(2)(i)) (Opens new window) |
Yes |
No |
N/A |
Item 91 |
Description When the credit union receives hazard insurance information but does not receive evidence of continuous coverage, did the reminder notice include the following information: This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.37(d)(2)(ii)) (Opens new window) |
Yes N/A |
No N/A |
N/A N/A |
Item 91(a) |
Description The date of the reminder notice? |
Yes |
No |
N/A |
Item 91(b) |
Description The credit union’s name and mailing address? |
Yes |
No |
N/A |
Item 91(c) |
Description The borrower’s name and mailing address? |
Yes |
No |
N/A |
Item 91(d) |
Description A statement requesting that the borrower provide hazard insurance information for the borrower’s property and that identifies the property by its physical address? |
Yes |
No |
N/A |
Item 91(e) |
Description The credit union’s phone number for borrower questions? |
Yes |
No |
N/A |
Item 91(f) |
Description A statement advising that the borrower review additional information provided in the same mailing (if applicable)? |
Yes |
No |
N/A |
Item 91(g) |
Description A statement that it is the second and final notice? |
Yes |
No |
N/A |
Item 91(h) |
Description The annual cost of force-placed insurance, or if unknown, a reasonable estimate? |
Yes |
No |
N/A |
Item 91(i) |
Description A statement that the credit union has received the hazard insurance information that the borrower provided? |
Yes |
No |
N/A |
Item 91(j) |
Description A request that the borrower provide the missing information? |
Yes |
No |
N/A |
Item 91(k) |
Description A statement that the borrower will be charged for insurance the credit union purchases for the time period in which the credit union cannot verify coverage? |
Yes |
No |
N/A |
Item 92 |
Description Was the reminder notice in the correct form? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§§ 1024.37(d)(3) to (4)) (Opens new window) |
Yes |
No |
N/A |
Item 93 |
Description By the end of the 15-day period after the credit union sent the reminder notice, did the borrower provide evidence of hazard insurance that complies with the loan contract continuously in place? (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.37(c)(1)(iii) (Opens new window) and This is an external link to a website belonging to another federal agency, private organization, or commercial entity. Comment 1024.37(c)(1)(iii)(2) (Opens new window) ) |
Yes |
No |
N/A |
Assessing Charges or Fees for Renewing or Replacing Force-Placed Insurance
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 94 |
Description Did the credit union provide a written renewal notice to the borrower at least 45 days before assessing any fee or charge? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.37(e)(1)(i)) (Opens new window) |
Yes |
No |
N/A |
Item 95 |
Description Does the renewal notice include: |
Yes N/A |
No N/A |
N/A N/A |
Item 95(a) |
Description The date of the renewal notice? |
Yes |
No |
N/A |
Item 95(b) |
Description The credit union’s name and mailing address? |
Yes |
No |
N/A |
Item 95(c) |
Description The borrower’s name and mailing address? |
Yes |
No |
N/A |
Item 95(d) |
Description A statement that requests the borrower to update the hazard insurance information for the borrower’s property and that identifies the property by its physical address? |
Yes |
No |
N/A |
Item 95(e) |
Description A statement that the credit union previously purchased force-placed insurance at the borrower’s expense because the credit union did not have evidence that the borrower had hazard insurance coverage? |
Yes |
No |
N/A |
Item 95(f) |
Description A statement that the force-placed insurance has expired or is expiring, as applicable, and that the credit union intends to renew or replace it because hazard insurance is required on the property? |
Yes |
No |
N/A |
Item 95(g) |
Description A statement that the insurance coverage the credit union has purchased or will purchase may cost significantly more than, and provide less coverage than, insurance purchased by the borrower, and identifying the annual premium cost of force-placed insurance or a reasonable estimate? |
Yes |
No |
N/A |
Item 95(h) |
Description A statement that if the borrower purchases hazard insurance, the borrower should promptly provide the credit union with insurance information? |
Yes |
No |
N/A |
Item 95(i) |
Description A description of the requested insurance information and how the borrower may provide such information, and if applicable, that the requested information must be in writing? |
Yes |
No |
N/A |
Item 95(j) |
Description The credit union’s telephone number for borrower questions? |
Yes |
No |
N/A |
Item 95(k) |
Description A statement advising the borrower to review additional information provided in the same mailing (if applicable)? |
Yes |
No |
N/A |
Item 96 |
Description Was the renewal notice in the correct form? |
Yes |
No |
N/A |
Item 97 |
Description Does the notice provide certain information in bold text other than the specific statements listed above? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§§ 1024.37(e)(3) and (4)) (Opens new window) |
Yes |
No |
N/A |
Item 98 |
Description 45 days after sending the renewal notice, did the credit union receive evidence that the borrower had purchased hazard insurance coverage? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.37(e)(1)(ii)) (Opens new window) |
Yes |
No |
N/A |
Item 99 |
Description Did the credit union require a copy of the borrower’s hazard insurance policy declaration page, the borrower’s insurance certificate, the borrower’s insurance policy, or other forms of written confirmation as evidence? |
Yes |
No |
N/A |
General Mailing Requirements, Canceling Force-Placed Insurance, and Bona Fide and Reasonable Fee Requirements
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 100 |
Description If the credit union mailed any of the written initial reminder, or renewal notices did the servicer use a class of mail not less than first-class mail? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.37(f)) (Opens new window) |
Yes |
No |
N/A |
Item 101 |
Description If the credit union received evidence that the borrower had the required hazard insurance coverage in place, did the credit union perform each of the following within 15 days: |
Yes |
No |
N/A |
Item 101(a) |
Description Cancel the force-placed insurance? |
Yes |
No |
N/A |
Item 101(b) |
Description Refund force-placed insurance premiums charges and fees for the period the coverage overlapped? |
Yes |
No |
N/A |
Item 101(c) |
Description Remove all force-placed charges and fees from the borrower’s account for the period the coverage overlapped? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.37(g)) (Opens new window) |
Yes |
No |
N/A |
Item 102 |
Description Are all fees or charges assessed on the borrower related to force-placed insurance bona fide and reasonable (except for charges subject to state regulation and charges authorized by the Flood Disaster Protection Act of 1973)? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.37(h)) (Opens new window) |
Yes |
No |
N/A |
General Servicing Policies, Procedures, and Requirements – This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.38 (Opens new window)
Policies and Procedures – Accessing and Providing Timely and Accurate Information
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 103 |
Description [Not applicable to “small servicers.”] Does the credit union maintain policies and procedures that ensure that it has access to and provides timely and accurate information? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§§ 1024.38(a) and (b)(1)) (Opens new window) |
Yes |
No |
N/A |
Item 103(a) |
Description Do these policies and procedures ensure that the credit union: |
Yes N/A |
No N/A |
N/A N/A |
Item 103(b) |
Description Provide accurate and timely disclosures to the borrower? |
Yes |
No |
N/A |
Item 103(c) |
Description Investigate, respond to, and make corrections in response to borrowers’ complaints, including promptly obtaining information from service providers to investigate and if applicable correct errors resulting from actions of service providers? |
Yes |
No |
N/A |
Item 103(d) |
Description Provide borrowers with accurate and timely information and documents in response to borrower requests for information about the borrower’s mortgage loan? |
Yes |
No |
N/A |
Item 103(e) |
Description Provide owners and assignees of mortgage loans with accurate and current information and documents about all the mortgage loans they own, including information about the credit union’s evaluations of borrowers for loss mitigation options and loss mitigation agreements with borrowers? |
Yes |
No |
N/A |
Item 103(f) |
Description Submit accurate and current information and documents that comply with applicable law during the foreclosure process? |
Yes |
No |
N/A |
Item 103(g) |
Description Upon learning of a borrower’s death, promptly communicate with the borrower’s successor in interest about the secured property? |
Yes |
No |
N/A |
Policies and Procedures – Proper Evaluation of Loss Mitigation Applications
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 104 |
Description [Not applicable to “small servicers.”] Does the credit union maintain policies and procedures that ensure that its personnel properly evaluate loss mitigation applications? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§§ 1024.38(a) and (b)(2)) (Opens new window) |
Yes |
No |
N/A |
Item 105 |
Description Do these policies and procedures ensure that the credit union: |
Yes N/A |
No N/A |
N/A N/A |
Item 105(a) |
Description Provide accurate information regarding available loss mitigation options from the owner or assignee of the borrower’s loan? |
Yes |
No |
N/A |
Item 105(b) |
Description Specifically identify all loss mitigation options a borrower may be eligible for, including identifying, with respect to each owner or assignee, all of the loss mitigation options the credit union may consider when evaluating a borrower, as well as the criteria the credit union should apply for each option? |
Yes |
No |
N/A |
Item 105(c) |
Description Provide the loss mitigation personnel assigned to the borrower’s mortgage loan pursuant to § This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.40 (Opens new window) with prompt access to all of the documents and information that the borrower submitted for loss mitigation option? |
Yes |
No |
N/A |
Item 105(d) |
Description Identify the documents and information a borrower must submit to complete a loss mitigation application? |
Yes |
No |
N/A |
Item 105(e) |
Description 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 This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.41 (Opens new window) ? |
Yes |
No |
N/A |
Policies and Procedures – Oversight of Servicer Providers
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 106 |
Description [Not applicable to “small servicers.”] Does the credit union maintain policies and procedures for service provider oversight and compliance? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§§ 1024.38(a) and (b)(3)) (Opens new window) |
Yes |
No |
N/A |
Item 107 |
Description Do these policies and procedures ensure that the credit union: |
Yes N/A |
No N/A |
N/A N/A |
Item 107(a) |
Description Provide appropriate personnel with access to accurate and current documents and information concerning the service providers’ actions? |
Yes |
No |
N/A |
Item 107(b) |
Description Allow periodic reviews of service providers? |
Yes |
No |
N/A |
Item 107(c) |
Description Allow sharing accurate and current information about the status of a borrower’s loss mitigation application and any foreclosure proceeding among appropriate credit union personnel. These include the loss mitigation personnel assigned to the borrower’s mortgage loan, and appropriate service provider personnel, including service provider personnel responsible for handling foreclosure proceedings? |
Yes |
No |
N/A |
Policies and Procedures – Transfer of Information
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 108 |
Description [Not applicable to “small servicers.”] Does the credit union maintain policies and procedures for transferring information during servicing transfers? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§§ 1024.38(a) and (b)(4)) (Opens new window) |
Yes |
No |
N/A |
Item 109 |
Description Do these policies and procedures ensure that a transferor servicer timely and accurately transfers all information and documents in its possession and control related to a transferred mortgage loan to the transferee servicer? Is this done in a way that ensures its accuracy and that allows the transferee to comply with the terms of the mortgage loan and applicable law, including any information about the status of any loss mitigation agreements or discussions with the borrower and any analysis performed regarding potential recovery from non-performing mortgage loans? |
Yes |
No |
N/A |
Item 109(a) |
Description AND that a transferee servicer identify necessary documents or information that may not have been transferred, obtain the missing documentation or information from the transferor servicer (for documents and information related to loss mitigation, the transferee’s policies and procedures must require it to attempt to obtain the missing documents from the transferor servicer before attempting to obtain such documents from the borrower)? |
Yes |
No |
N/A |
Policies and Procedures – Notifying Borrowers of Error Notice and Information Request Procedures
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 110 |
Description [Not applicable to “small servicers.”] Does the credit union maintain policies and procedures that inform borrowers about procedures for submitting written error notices and written information requests? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§§ 1024.38(a) and (b)(5)) (Opens new window) |
Yes |
No |
N/A |
Item 111 |
Description Do these policies and procedures ensure that the credit union informs borrowers who are not satisfied with the credit union’s response to oral complaints or information requests about the procedures for submitting written error notices? ( This is an external link to a website belonging to another federal agency, private organization, or commercial entity. §§ 1024.35 (Opens new window) , This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.36 (Opens new window) ) |
Yes |
No |
N/A |
Records Maintenance – Accurate Records
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 112 |
Description [Not applicable to “small servicers.”] For any mortgage loan, does the credit union keep accurate records that document actions regarding the mortgage loan account (which includes any mortgage loan that has been transferred or paid in full)? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.38(c)(1)) (Opens new window) |
Yes |
No |
N/A |
Item 113 |
Description Are these records kept by the credit union until one year after the loan is discharged or until the credit union transfers servicing for the mortgage loan to a transferee servicer? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.38(c)(1)) (Opens new window) |
Yes |
No |
N/A |
Records Maintenance – Facilitating Aggregation of Information
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 114 |
Description [Not applicable to “small servicers.”] For documents or information created on or after January 10, 2014, does the credit union keep 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: |
Yes N/A |
No N/A |
N/A N/A |
Item 114(a) |
Description A schedule of all credits and debits to the account (including escrow accounts and suspense accounts)? |
Yes |
No |
N/A |
Item 114(b) |
Description A copy of the security instrument that establishes the lien securing the mortgage loan? |
Yes |
No |
N/A |
Item 114(c) |
Description Any notes created by credit union personnel regarding communications with the borrower concerning the account? |
Yes |
No |
N/A |
Item 114(d) |
Description A report of the data fields for the borrower’s account created by the credit union’s electronic systems (if applicable)? |
Yes |
No |
N/A |
Item 114(e) |
Description Copies of any information or documents the borrower provided to the credit union regarding written error notices or loss mitigation? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.38(c)(2)) (Opens new window) |
Yes |
No |
N/A |
Early Intervention Requirements for Certain Borrowers – This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.39 (Opens new window)
Live Contact
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 115 |
Description [Not applicable to “small servicers.”] Did the credit union the credit union make good faith efforts to establish live contact with the borrower within 36 days after each time the borrower became delinquent? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.39(a)) (Opens new window) |
Yes |
No |
N/A |
Item 116 |
Description After establishing live contact, did the credit union promptly inform the borrower of loss mitigation options, if appropriate (based on the credit union’s discretion)? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.39(a)) (Opens new window) |
Yes |
No |
N/A |
Early Intervention Requirements for Certain Borrowers – This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.39 (Opens new window)
Live Contact
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 115 |
Description [Not applicable to “small servicers.”] Did the credit union the credit union make good faith efforts to establish live contact with the borrower within 36 days after each time the borrower became delinquent? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.39(a)) (Opens new window) |
Yes |
No |
N/A |
Item 116 |
Description After establishing live contact, did the credit union promptly inform the borrower of loss mitigation options, if appropriate (based on the credit union’s discretion)? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.39(a)) (Opens new window) |
Yes |
No |
N/A |
Written Notice
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 117 |
Description [Not applicable to “small servicers.”] Did the credit union send a written notice to the borrower within 45 days after borrower became delinquent? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.39(b)(1)) (Opens new window) |
Yes |
No |
N/A |
Item 118 |
Description Does the notice include: |
Yes N/A |
No N/A |
N/A N/A |
Item 118(a) |
Description A statement encouraging the borrower to contact the credit union? |
Yes |
No |
N/A |
Item 118(b) |
Description The telephone number to access assigned loss mitigation personnel? |
Yes |
No |
N/A |
Item 118(c) |
Description A brief description of examples of loss mitigation options that may be available to the borrower (if applicable)? |
Yes |
No |
N/A |
Item 118(d) |
Description 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? |
Yes |
No |
N/A |
Item 118(e) |
Description Either the CFPB’s or HUD’s website to access homeownership counselors or counseling organizations lists and HUD’s toll-free number to access homeownership counselors or counseling organizations? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.39(b)(2)) (Opens new window) |
Yes |
No |
N/A |
Continuity of Contact This is an external link to a website belonging to another federal agency, private organization, or commercial entity. – § 1024.40 (Opens new window)
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 119 |
Description [Not applicable to “small servicers.”] Does the credit union maintain policies and procedures to assign personnel to a delinquent borrower by the time the written early intervention notice was provided, and in any event, within 45 days after the borrower became delinquent? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.40(a)) (Opens new window) |
Yes |
No |
N/A |
Item 120 |
Description Does the credit union maintain policies and procedures to ensure the assigned personnel’s availability, via telephone, to answer the borrower’s 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? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.40(a)(2)) (Opens new window) |
Yes |
No |
N/A |
Item 121 |
Description Does the credit union maintain policies and procedures to ensure that, if a borrower contacts the assigned personnel and does not immediately receive a live response, the credit union can provide a live response in a timely manner? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.40(a)(3)) (Opens new window) |
Yes |
No |
N/A |
Item 122 |
Description Does the credit union maintain policies and procedures to ensure that the assigned personnel can perform each of the following tasks: |
Yes N/A |
No N/A |
N/A N/A |
Item 122(a) |
Description 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)? |
Yes |
No |
N/A |
Item 122(b) |
Description Provide the borrower with accurate information about the status of any loss mitigation application submitted? |
Yes |
No |
N/A |
Item 122(c) |
Description Provide the borrower with accurate information about the circumstances when the credit union may refer the account to foreclosure? |
Yes |
No |
N/A |
Item 122(d) |
Description Provide the borrower with accurate information about loss mitigation deadlines? |
Yes |
No |
N/A |
Item 122(e) |
Description Timely retrieve a complete record of the borrower’s payment history and all written information the borrower has provided to the credit union (or the credit union’s predecessors) regarding a loss mitigation application, and provide these documents to other persons required to evaluate the borrower for available loss mitigation options? |
Yes |
No |
N/A |
Item 122(f) |
Description Provide the borrower with information about submitting a written error notice or written request for information? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.40(b)) (Opens new window) |
Yes |
No |
N/A |
Loss Mitigation Procedures – This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.41 (Opens new window)
Applicability
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 123 |
Description [Not applicable to “small servicers.”] Does the credit union understand the required loss mitigation procedures apply only to loans secured by the borrower’s principal residence and not to reverse mortgage loans?Has the credit union claiming small servicer status properly determined that it is a small servicer? |
Yes |
No |
N/A |
Calculating Time Periods:
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 124 |
Description In determining time periods for required actions, does the credit union consider a complete loss application received when there is no foreclosure sale scheduled to be more than 90 days before a foreclosure sale? |
Yes |
No |
N/A |
Definition of First Notice or Filing:
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 125 |
Description 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? |
Yes |
No |
N/A |
Loss Mitigation Applications Received at Least 45 Days Before a Foreclosure Sale (Review for Completeness)
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 126 |
Description Did the credit union promptly determine whether the loss mitigation application was complete? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(b)(1)) (Opens new window) |
Yes |
No |
N/A |
Complete Applications – Written Acknowledgement
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 127 |
Description If the application was complete, did the credit union provide acknowledgement to the borrower within five days (excluding legal public holidays, Saturdays, and Sundays) after receiving the loss mitigation application? |
Yes |
No |
N/A |
Item 128 |
Description 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? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(b)(2)(i)(B)) (Opens new window) |
Yes |
No |
N/A |
Facially Complete Applications – Additional Information or Corrected Documents Required
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 129 |
Description Upon discovering that additional information or corrected documents were required to complete the application, did the credit union (both): |
Yes N/A |
No N/A |
N/A N/A |
Item 129(a) |
Description Promptly request the missing information or corrected documents? |
Yes |
No |
N/A |
Item 129(b) |
Description Give the borrower a reasonable opportunity to complete the application? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(c)(2)(iv)) (Opens new window) |
Yes |
No |
N/A |
Item 130 |
Description If an application was facially complete, but later the servicer requests additional needed information, does the credit union treat the borrower’s application as complete for purposes of This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.41(f)(2) (Opens new window) (“Application received before foreclosure referral”) and This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.41(g) (Opens new window) (“Prohibition on foreclosure sale”) until the borrower was given a reasonable opportunity to submit additional information or corrected documents? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(c)(2)(iv)) (Opens new window) |
Yes |
No |
N/A |
Incomplete Applications – Written Acknowledgement, Reasonable Diligence, and Short-Term Forbearance
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 131 |
Description [Not applicable to “small servicers.”] Did the credit union provide written acknowledgement to the borrower within five days (excluding public holidays, Saturdays, and Sundays) after receiving the loss mitigation application? |
Yes |
No |
N/A |
Item 132 |
Description Does the written acknowledgement: |
Yes N/A |
No N/A |
N/A N/A |
Item 132(a) |
Description State that the application was incomplete? |
Yes |
No |
N/A |
Item 132(b) |
Description Identify the additional information needed to complete the application? |
Yes |
No |
N/A |
Item 132(c) |
Description Identify a reasonable date by which the borrower must submit the additional information? |
Yes |
No |
N/A |
Item 132(d) |
Description Include a statement that the borrower should contact servicers of any mortgage loans secured by the same property to discuss loss mitigation options? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(b)(2)) (Opens new window) |
Yes |
No |
N/A |
Item 133 |
Description Did the credit union exercise reasonable diligence in obtaining documents and information to complete the application? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(b)(1)) (Opens new window) |
Yes |
No |
N/A |
Item 134 |
Description If the credit union offered the borrower a short term forbearance plan based upon information contained in an incomplete loss mitigation application, and the borrower is performing under the plan, did the credit union refrain from: |
Yes N/A |
No N/A |
N/A N/A |
Item 134(a) |
Description Making the first notice of filing for any judicial or non-judicial foreclosure process? |
Yes |
No |
N/A |
Item 134(b) |
Description Moving for foreclosure judgment or an order of sale? |
Yes |
No |
N/A |
Item 134(c) |
Description Conducting a foreclosure sale? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(c)(2)(iii) (Opens new window) ) |
Yes |
No |
N/A |
Complete Applications Received More Than 37 Days Before a Foreclosure Sale (Evaluation of Application)
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 135 |
Description Within 30 days, did the credit union: |
Yes N/A |
No N/A |
N/A N/A |
Item 135(a) |
Description Evaluate the borrower for all available loss mitigation options? |
Yes |
No |
N/A |
Item 135(b) |
Description
AND Provide the borrower with a notice stating the following:
|
Yes |
No |
N/A |
Item 136 |
Description 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? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(d)) (Opens new window) |
Yes |
No |
N/A |
Denial of Loan Modification Option Based Upon Investor Criteria; Use of a Waterfall
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 137 |
Description In its notice to the borrower, did the credit union identify the following: |
Yes N/A |
No N/A |
N/A N/A |
Item 137(a) |
Description The owner or assignee of the mortgage loan? |
Yes |
No |
N/A |
Item 137(b) |
Description The specific criteria the borrower did not meet? (§§ This is an external link to a website belonging to another federal agency, private organization, or commercial entity. 1024.41(d) (Opens new window) , Comment 1024.41(d)(1)) |
Yes |
No |
N/A |
Item 137(c) |
Description If the borrower’s application was evaluated under an investor’s waterfall and the borrower qualified for a particular option, did the credit union inform the borrower that the investor’s requirements include a ranking of options and that an offer of a loan modification option means that any other options ranked below the options offered will be denied? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (Comment 1024.41(d)(1)) (Opens new window) |
Yes |
No |
N/A |
Denial Based Upon Net Present Value Calculation
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 138 |
Description Did the credit union disclose the inputs used in the net present value calculation? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (Comment 1024.41(d)(2)) (Opens new window) |
Yes |
No |
N/A |
Denial Using Hierarchy of Eligibility Criteria
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 139 |
Description Did the credit union identify in the notice: |
Yes N/A |
No N/A |
N/A N/A |
Item 139(a) |
Description The reason or reasons why the borrower was rejected? |
Yes |
No |
N/A |
Item 139(c) |
Description That the borrower was not evaluated on other criteria? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (Comment 1024.41(d)(4)) (Opens new window) |
Yes |
No |
N/A |
Time for Acceptance of an Offered Loss Mitigation Option
Complete Applications Received at Least 90 Days Before a Foreclosure Sale
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 140 |
Description [Not applicable to “small servicers.”] If the credit union offered a loss mitigation option and received the complete application at least 90 days before a foreclosure sale, did the credit union provide the borrower with at least 14 days to accept or reject any offered loan modification option after the servicer notified the borrower about the offer? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(e)) (Opens new window) |
Yes |
No |
N/A |
Item 141 |
Description To extend the acceptance period, if within 14 days, did the credit union allow the borrower to appeal a denial of any loan modification option? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(e)(2)(iii)) (Opens new window) |
Yes |
No |
N/A |
Item 142 |
Description In the event of an appeal, was the borrower’s time for acceptance extended to 14 days after the credit union provided a notice of its determination of the appeal under This is an external link to a website belonging to another federal agency, private organization, or commercial entity. § 1024.41(e)(2)(iii) (Opens new window) ? |
Yes |
No |
N/A |
Complete Applications Received Between 37 and 90 days Before a Foreclosure Sale
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 143 |
Description [Not applicable to “small servicers.”] If the credit union offered a loss mitigation option and received the complete application fewer than 90 days before a foreclosure sale but more than 37 days before the sale, did the credit union provide the borrower with at least seven days to accept or reject any offered loss mitigation options after the servicer notified the borrower about the offer? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(e)(1)) (Opens new window) |
Yes |
No |
N/A |
No Borrower Response to Offered Trial Loan Modification Plan
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 144 |
Description [Not applicable to “small servicers.”] If the credit union offered a borrower a trial modification plan and the borrower did not respond within seven or 14 days did the credit union: |
Yes N/A |
No N/A |
N/A N/A |
Item 144(a) |
Description Find out if the borrower submitted payments in accordance with the offered plan? |
Yes |
No |
N/A |
Item 144(b) |
Description If so, did the credit union give the borrower a reasonable period of time to fulfill any remaining requirements to accept the plan? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(e)(2)(ii)) (Opens new window) |
Yes |
No |
N/A |
Prohibitions on Commencing Foreclosure Proceedings and Dual Tracking
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 145 |
Description Did the credit union meet one of these conditions when it made any first judicial or non-judicial foreclosure notices or filings: |
Yes N/A |
No N/A |
N/A N/A |
Item 145(a) |
Description The borrower was more than 120 days delinquent? |
Yes |
No |
N/A |
Item 145(b) |
Description The foreclosure is based on a borrower’s violation of a due-on-sale clause? |
Yes |
No |
N/A |
Item 145(c) |
Description The credit union is joining the foreclosure action of a subordinate lienholder? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(f)(1)) (Opens new window) |
Yes |
No |
N/A |
Complete Applications Received During the Pre-foreclosure Period
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 146 |
Description For applications received during a pre-foreclosure period, did the credit union make the first foreclosure notice or filing only after at least one of the following occurred: |
Yes N/A |
No N/A |
N/A N/A |
Item 146(a) |
Description The credit union notified the borrower of his or her ineligibility for any loss mitigation option and, if an appeal was available, the appeal period expired or the appeal was denied? |
Yes |
No |
N/A |
Item 146(b) |
Description The borrower rejected all the offered loss mitigation options? |
Yes |
No |
N/A |
Item 146(c) |
Description The borrower did not perform under a loss mitigation agreement? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(f)(2)) (Opens new window) |
Yes |
No |
N/A |
Complete Applications Received More Than 37 Days Before a Foreclosure Sale
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 147 |
Description Did the credit union refrain from improperly conducting a foreclosure sale or moving for foreclosure judgment before one of the following: |
Yes N/A |
No N/A |
N/A N/A |
Item 147(a) |
Description The credit union notified the borrower that it had denied the loss mitigation application and, if an appeal was available, either the appeal period expired or the appeal was denied? |
Yes |
No |
N/A |
Item 147(b) |
Description The borrower rejected all the offered loss mitigation options? |
Yes |
No |
N/A |
Item 147(c) |
Description The borrower did not perform under a loss mitigation agreement? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(g)) (Opens new window) |
Yes |
No |
N/A |
Appeal Process
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 148 |
Description For any borrower who timely appealed a denial of an available loan modification option, did the credit union provide a notice to the borrower within 30 days stating: |
Yes N/A |
No N/A |
N/A N/A |
Item 148(a) |
Description Whether the credit union will offer the borrower a loss mitigation option based on the appeal? |
Yes |
No |
N/A |
Item 148(b) |
Description If applicable, how long the borrower has to accept or reject this loss mitigation option or a previously offered loss mitigation option? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(h)(4)) (Opens new window) |
Yes |
No |
N/A |
Item 149 |
Description For any appeal that the credit union granted, did the credit union give the borrower 14 days to accept or reject any offered loan modification option? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(h)(4)) (Opens new window) |
Yes |
No |
N/A |
Item 150 |
Description Did the credit union use different personnel to evaluate the appeal than the personnel who evaluated the borrower’s loss mitigation application? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(h)(3)) (Opens new window) |
Yes |
No |
N/A |
Small Servicers
Item | Description | Yes | No | N/A |
---|---|---|---|---|
Item 151 |
Description If the credit union is a small servicer, did the credit union refrain from making the first foreclosure notice or filing before the borrower was more than 120 days delinquent, unless the foreclosure was based on a borrower’s violation of a due-on-sale clause or the servicer is joining a subordinate lienholder’s foreclosure action? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(j)) (Opens new window) |
Yes |
No |
N/A |
Item 152 |
Description If the credit union is a small servicer and the borrower is performing according to the terms of a loss mitigation agreement, did the credit union refrain from any of the following: |
Yes N/A |
No N/A |
N/A N/A |
Item 152(a) |
Description Making the first foreclosure notice or filing? |
Yes |
No |
N/A |
Item 152(b) |
Description Moving for a foreclosure judgment or order of sale? |
Yes |
No |
N/A |
Item 152(c) |
Description Conducting a foreclosure sale? This is an external link to a website belonging to another federal agency, private organization, or commercial entity. (§ 1024.41(j)) (Opens new window) |
Yes |
No |
N/A |