Compliance Memo C2019-04 Update to New VA Cash-Out Refinance Disclosure Requirements
Effective Immediately: May 2, 2019
This memo is in response to enhancements Ellie Mae has made in Encompass to meet the New VA Cash-Out Refinance Requirements pursuant to VA Circular 26-19-5 released on February 14, 2019.
On March 7, 2019, Compliance Memo 2019-01 VA Cash-Out Refinance Rule was sent with instructions for a work-around provided by Ellie Mae for the new VA Cash-out requirements. Ellie Mae has now completed system enhancements to accommodate this new requirement, and the work-around is no longer required.
Please find attached instructions for completing the new Cash-Out Refinance Screen located under Forms -VA Management. Please be aware that information will carry over from the Net Tangible Benefit (NTB) Worksheet located under Tools in additional to a few data fields that will require a manual entry on the new screen itself.
Fields listed in the instructions are mandatory fields which will ensure accurate data is reflected on the disclosures sent to the Borrower(s).