Can Creditors Collect Information Beyond The 6 Required Pieces?

 

In addition to the required pieces:

  • Name
  • Income
  • Social Security Number
  • Property Address
  • Estimated Property Value
  • Mortgage Amount Sought

a creditor may collect whatever additional information they deem necessary.

However, as soon as you have provided the 6 required pieces, the creditor has 3 business days to provide a Loan Estimate for approved loans.

What 6 Pieces of Information Make A TRID Loan Application?

 

Submitting these 6 pieces of information:

  • Name
  • Income
  • Social Security Number
  • Property Address
  • Estimated Value of Property
  • Mortgage Loan Amount sought

constitutes a valid loan application under the TRID rule.

You may apply and submit these in writing OR in oral form; a live conversation, or a phone call, backed by a written record of the conversation is a legitimate application.

Once these 6 pieces of information are submitted a creditor MUST supply a Loan Estimate for approved loans within 3 business days.

What Disclosures Are Used For Loans Not Covered By TRID?

 

Creditors must continue to use the Good Faith Estimate, Truth-In-Lending Disclosure and the HUD-1 form for reverse mortgages, HELOCs, mobile home or other non-attached dwelling loans and others NOT covered by TRID.

Housing assistance loans for low- and moderate-income consumers are partially exempt from TRID disclosures, and have specific rules.

Creditors are not required to provide Loan Estimate and Closing Disclosure forms and related booklets and statements for these loans.

What Kinds Of Loans Do TRID Disclosures Cover?

 

TRID rules apply to MOST consumer credit transactions secured by real property. These include mortgages, refinancing, construction-only loans closed-end home-equity loans, and loans secured by vacant land or by 25 or more acres.

The rule does NOT apply to Home Equity Line of Credit transactions reverse mortgages mortgages secured by a mobile home or other dwelling that is not attached to real property.

Also, TRID rules do NOT apply to loans made by a person or business that makes 5 or fewer mortgages in a calendar year.

What Do Lenders Have To Tell You About Your Real Estate Loan?

 

Federal “disclosure” forms define the information that creditor businesses MUST provide to consumers applying for real estate loans.

As of Oct 1, 2015 lenders must provide TWO New “TRID” disclosure forms. for the most common kinds of real estate loans First, the Loan Estimate, which covers the key features, costs and risks of a mortgage loan.

For an approved loan this must be returned to the consumer within 3 business days of loan application. If the loan goes forward, the Closing Disclosure form, covering key transaction costs, must be delivered at least 3 business days before loan consummation.

Homeowners

Buyers
Are you buying a home? You need to be certain that the seller truly owns the property and that no outstanding issues affecting title carry over to you.

Why? Because if there are problems with the title it can limit the use of the property and ultimately result in financial loss. That’s where Shafritz and Dean can help you by conducting a comprehensive title search that will cover your investment with a title insurance policy to give you peace of mind.
The cost is minimal and is only paid once. There are no renewal premiums, and there is no expiration date on the policy. Yet the protection lasts as long as you, or your heirs, retain an interest in the property.
Be sure you download this list of buyer tips to prepare yourself for closing: BUYERS CLICK HERE

Sellers
If you are selling your house, Shafritz and Dean will work with you to coordinate any satisfactions of liens and prepare all the necessary closing documentation to make the experience for you and the buyer as smooth as possible. We promise competitive rates, consistent communication and fantastic service.
Be sure you download this list of seller tips to prepare yourself for closing: SELLERS CLICK HERE

Susan Smith

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Builder

You may receive orders from builders. Describe your value proposition to the builder community and list your promises to give them confidence that you are their trusted partner for all their closing needs.

Lenders

You may receive refinance orders from lenders. Describe your value proposition to the lender community and list your promises to give them confidence that you are their trusted partner for all their refinance closing needs.

Realtor

Shafritz and Dean serves as a trusted partner within the real estate community. We understand your needs and want to help you stay focused on closing more sales. Our superior communication will give you confidence that once you drop off a contract all the elements of the sale will be taken care of, we will follow up with you every step of the way and let you know once closing is ready.

The end result for you is smooth closings that don’t irritate any parties because of poor communication or forgotten paper work. Everything will be handled and ordered in a professional, personal manner.

YOU NEED A TRUSTWORTHY PARTNER WHO UNDERSTANDS YOUR NEEDS

Here are the promises Shafritz and Dean makes to you as a Realtor:

Responsiveness and Turnaround Time – Shafritz and Dean delivers fast turnaround times, while also giving you accurate estimates on when you can expect things to finalize.

Promise 2 – Describe promise 2

Promise 3 – Describe promise 3

Promise 4 – Describe promise 4

Promise 5 – Describe promise 5

Success Tools – We have invested in tools to help your success. You can now get instant net sheets in 30 seconds or less to share with your clients directly from our website or via our mobile app. Designed to help you get to contract even faster!

To download our mobile app: Click Here

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