Things to Know from the Compliance Team
- When starting a file, if an address is added, regardless if you save, Encompass grabs and will trigger as a TRID application if other 5 pieces of information are also added. Changing to TBD does not clear the trigger.
- When adding a spouse after initial disclosure, you need to enter as a separate borrower, send them their initial application package, and then you can combine for future disclosures. *A spouse cannot be added after an initial CD has been issued.
- Once Econsent is obtained, if the name or email address is changed, encompass will require a new Econsent. From a compliance standpoint, if it is a minor name change, adding middle initial, spelling, etc. we will accept original Econsent, if an email address change, a new Econsent is required.
- When adding a fee to the 1300 section as “Can shop for” need to make sure you have a corresponding provider on your SSPL. If provider not already set up in your template, either need to have the provider added or you will need to manually add at time of adding fee.
- *See attached memo regarding placement of fees on the itemization and line designation for title fees as it relates to your SSPL. Seeing a lot of questions regarding alerts and the inability to send initial package.
- New URLA: Common fail for the disclosure when sending disclosures or AUS run is missing information for assets, liabilities or subordinate financing. In most instances either who the owner is (Borrower, co-borrower, or both) is missing or may need to be re-chosen; or there is a blank entry that needs to be deleted.
- If you know a change that was made requires redisclosure, please email Re-Disclosure at firstname.lastname@example.org. You do not need to wait for RD to email you. This will help in getting your loan disclosed quicker.
- Re-Disclosure only issues Loan Estimates (LE), they do not issue Closing Disclosures (CD), if an ICD has already been issued and something needs to be redisclosed, need to reach out to your closer.
- Respond to emails! If we do not receive a response we will redisclose loan as is. If an issue with lock validation, lock will be cancelled it not resolved and redisclosed on day 3.
Loan Status Corner
- Refinance transaction cannot be entered in system as TBD – current address will be added to property address, if available or loan will be closed out.
- Loan status can only issue a denial if due to credit score below minimum requirement. All other denials need to be issued by underwriting.
- Per Regulation B, loan much be dispositioned within 30 days of application. Documents needed for submittal of a credit decision are: Signed application, credit authorization, credit report, AUS, income and asset documentation, to include current tax returns for self-employed borrowers.. If documentation is in file and not submitted, loan will be closed out on day 30. Note: Loan Status sends emails on day 25 letting you know.
Post Consummation Corner
- Loans closing with inaccurate PMI factors. Please make sure you have the most updated mortgage insurance certificate in file and it matches in itemization. We should not be closing on a quote.
- Appraisal fees: If we are collecting at close, payee must reflect “Gold Star FBO…..”. If it does not, title does not pay appraisal fee and funding does not withhold from wire, results in check returned to us and a Post CD being issued.
- Seeing tolerance cures needed post-closing. Be sure you are checking fee increases or additions and applying either a valid COC when issuing CD or applying the tolerance cure. If we had a valid COC when disclosing, but did not issue, this will also result in a tolerance cure needed.
- Incorrect case #’s. Please double check the case number entered in encompass and that it matches your case assignment.
- Incorrect UFMIP refunds. Please compare refund to the Net Authorization form. When incorrect it is Gold Star who pays the difference.
- Still struggling in obtaining the fully executed HUD Settlement Certification on purchase transactions. This disclosure should be provided in the Pre-Closing package. Loans cannot be insured without.
In General Reminders:
Any suggestions, topics, or questions you may have, you can always reach out to me directly for review at email@example.com
If you are having any issues or need assistance, please reach out to Help Desk @ HELP@goldstarfinancial.com
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