HPA Flashcards
1
Q
What is HPA?
A
Homeowners Protection ACT
2
Q
Who regulates the HPA?
A
FTC
3
Q
Who enforces the HPA?
A
CFPB
4
Q
What is the purpose of the HPA?
A
Help to facilitate cancelation of private mortgage insurance
5
Q
What disclosures are part of HPA?
A
Notice of Right to Cancel or Annual Notice
6
Q
What happens when the LTV reaches 78%?
A
PMI is automatically terminated the following month when current
7
Q
When can the borrower request the PMI to be removed?
A
80% LTV or 20% Equity
8
Q
What must the borrower have/do in order to request removal of PMI?
A
Must be current: NO 60 day lates past 24 months NO 30 day lates past 12 months Value has not decreased since funding/consummation NO subordinate liens
9
Q
What is exempt from HPA?
A
Government Issued Loans, LPMI loans, 2nd homes/investment homes
