A loan team is about to close a file involving TRID Loan Estimate Revisions. Which action should occur first?
Correct Answer
A) Use third-party records for ATR support
Origination files need reliable documentation of income, assets, employment, debts, and changed facts. The best answer is "Use third-party records for ATR support".
Why This Is the Correct Answer
Origination files need reliable documentation of income, assets, employment, debts, and changed facts. The best answer is "Use third-party records for ATR support".
More Origination Questions
A branch manager asks about a loan file because a processor wants to omit known monthly obligations from underwriting. What should happen?
In a mortgage origination file, the person preparing the valuation would be paid more if the value is higher. Which action should be taken?
An MLO is reviewing procedures for a case where the person preparing the valuation would be paid more if the value is higher. What is the proper handling?
A quality-control reviewer flags a case because the person preparing the valuation would be paid more if the value is higher. What correction is appropriate?
Before closing, the team discovers that a processor wants to omit known monthly obligations from underwriting. What is the safest compliant answer?
A compliance review finds that the consumer locks the interest rate after the initial disclosure package. What should the MLO do next?
A borrower-facing employee is unsure what to do when a processor wants to omit known monthly obligations from underwriting. What is the correct response?
An MLO is reviewing procedures for a case where a HELOC will provide funds for the down payment on the same dwelling. What is the proper handling?
A quality-control reviewer flags a case because a HELOC will provide funds for the down payment on the same dwelling. What correction is appropriate?
During intake, a manager proposes higher pay for loans with a higher interest rate. What is the best compliant response?
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Previous Question
A processor asks how to handle a file where the borrower pays the broker directly and the creditor also offers compensation. Which response is most accurate?
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An MLO is reviewing procedures for a case where a valid changed circumstance raises a fee before the Closing Disclosure has been issued. What is the proper handling?