Highlighted facts of the 845

Question 1

Highlighted fact #2:
Nothing of value can be given in exchange for the referral of business with the exception of …… that are allowed to exchange referrals between themselves

Answer 1

Real Estate Brokeage firms

Question 2

You have to memorize T.R.A.I.L. for 0% Tolerance. What does it stand for?

Answer 2

T- Transfer Taxes
R- Credit Report
A- Appraisal
I- Interest Rate
L - Loan Orgination Fee

Question 3

8 Factors of ATR of a qualified mortgage

MICE DOES

Answer 3

M - Monthly Mortgage
I - Income/Assets
C - Credit
E - Employment History
D - DTI
O - Other Debts
E - Expense
S - Simulatneous Mortgage

Question 4

What requires that the lender acknowledge receipt of the request within 5 business days and seek to resolve the issue/concern within 30 days (ith a 15 day extension if needed) in connection to notices of error submitted by the borrower?

Answer 4

QWR - Qualified Written Request

Question 5

According to RESPA Section 6, creditors must respond to a payoff request within how many business days?

Answer 5

7 business days

Question 6

Fact # 19:
According to RESPA Section 6, Lender must establish live contact within ……… with a borrower who has missed a mortgage payment

Answer 6

36 days

Question 7

Fact # 20:
According to RESPA Section 6, a creditor must provide a borrower with mortgage workout options (loan mods/forbearance options/short sale options/etc.) to the borrower within …… of a missed payment

Answer 7

45 days

Question 8

Fact # 21:
According to RESPA Section 6, A creditor must notify a borrower within …….. after submission of a complete loan workout application if there is an option to save the home

Answer 8

30 days

Question 9

Fact # 22:
According to RESPA Section 6, a creditor may not seek judicial foreclosure or a trustee’s sale action for at least ……. for a borrower who is delinquent

Answer 9

120 days

Question 10

Fact # 41:

Another for the intial escrow statement

Answer 10

“Hello Letter”

Question 11

Fact # 42:

Another name for the “Goodbye Letter”

Answer 11

Servicing Transfer Disclosure

Question 12

Fact # 70:
When a consumer requests the cancellarion of their escrow account, the lender must deliver an…. no later than…. before closure

Answer 12

Escrow Closing Notice; 3 business days

Question 13

Fact # 71:
If an escrow account is closed for any other reason besides the consumer rescinding or defaulting their escrow account, the … must be sent 30 business days prior to closure

Answer 13

Escorw Closing Notice

Question 14

Items on the Loan Estimate/Closing Disclosure that have a ____ tolerance limit:
Fees that the lender chooses or identifies such as gov’t recording fees, title insurance

Answer 14

10%

Question 15

Fact # 82:

Fees for services that the owners choose for themselves are considered to have a ___ tolerance limit

Answer 15

NO

Question 16

Fact # 119:

Total interest being charged on the loan, expressed as a percentage

Answer 16

TIP - total interest percentage. (Remember: TIP vs APR: TIP + finance charges= APR)

Question 17

Fact # 132:
According to TILA, if the borrower wasn’t notified of their “right to rescind”, the rescissino period could be extended for up to ______

Answer 17

3 years

Question 18

(Fact 144)
A loan will be considered a _______ (Section 32) loan if its APR exceeds the APOR
by more than _____ for a first lien of $50,000 or higher, ____ on a first lien less than
$50,000, and or ______ for a subordination lien,

Answer 18

High Cost; 6.5%; 8.5%; 8.5%