Posted by Art_MD on 5/14/07 12:24pm
Msg #190068

reviewing terms with borrower over phone

Just received an email (automated) with the tip of the week - -----

"Contact the borrower to confirm the terms are accurate"

guess they now want us to catch any errors ahead of time --- so they don' t have to pay when the borrower doesn't sign because the rate, term, index, etc is not what they expected.

AND, if you did go and you hadn't confirmed something and they don't sign, that is an error on your part - big deduct !!!

No, not my job - the LO can call and do a final review.

Reply by ME/NJ on 5/14/07 12:33pm
Msg #190070

LO's job.. not ours. Many a time terms have changed on the way to a appointment. (new HUD figures changed)

Unfair request by that company

Reply by NCLisa on 5/14/07 12:40pm
Msg #190072

IMO, both the LO and EO should call the borrower and confirm the terms of the loan. The EO is the last person to work on everything and prepare the HUD/Est Settlement Statement, so they should call with how much to bring in/get back, and then confirm interest rate, loan amount and payment. We all know that the LO won't call, and these days, don't often review the hud prior to close when things are so rush/rush.

Reply by pan/nd on 5/14/07 4:10pm
Msg #190113

OK, I agree it's the LO'S job or the escrow officer's job to go through things in advance of the

borrower signing.

But in a lot of cases, "it ain't gettin' done."

SO: As far as I'm concerned..it's easer for me to call the borrowers with the HUD and terms when I get the docs than it is to drive 100 miles, have the borrowers tell me it's all wrong and won't sign, then argue with the SS or Title over whether I get paid on a no-sign.

Oh sure..you can have a confirmation saying I'll get full fee if it's a no-sign and all that rot..but in a lot of those cases you have to go after the SS or Title to get paid.

And, in all honesty, the last thing I need right now is a bunch of HASSLE.

Now, if it's a local signing..I normally don't call. And, I figure if it's a no-go..I'm out a little of my time and some gas...compared to a 100 mile drive.

Reply by Kate/CA on 5/14/07 12:40pm
Msg #190073

I just got that request also. I agree. Not my JOB. At what point during the review do you tell them to call the borrower. They need to pay us alot more for this service.

Reply by Stephanie_CA on 5/14/07 12:55pm
Msg #190077

Re: reviewing terms with borrower over phone-Immediately! n/m

Reply by Stephanie_CA on 5/14/07 12:55pm
Msg #190078

Re: reviewing terms with borrower over phone-Immediately! n/m

Reply by Stephanie_CA on 5/14/07 12:55pm
Msg #190079

Re: reviewing terms with borrower over phone-Immediately! n/m

Reply by LisaWI on 5/14/07 1:03pm
Msg #190081

This is only opening a door for complications on a said loan. So "what if" the terms are not correct, we cant answer their questions anyway and that is exactly what would happen. They need to rethink this one.
On another situation I came across, the lender (this was a past posting) is REQUIRING no crossouts on the documents to include the notarial certificates. The correction can be made, but you may not crossout the wrong verbiage. And they will not allow loose certificates. Now it is down to they dictate how we are supposed to notarize a document????
IMO, they are completely taking away all authority on being a notary.

Reply by jba/fl on 5/14/07 1:26pm
Msg #190082

I love it when they have the venue wrong.

Reply by LisaWI on 5/14/07 1:40pm
Msg #190085

What they want a person to do, in my understanding of this, is to write in the correct verbiage using your imagination and initial. So say the venue is wrong with the wrong state, you would write the correct state as in "The correct state is yada yada".
I dont know about other states, but I think that would raise a recording concern here in Wisconsin. But according to the person Ive been communicating with, they have had no issues with this in other states. Which by the way this person has been very understanding and nice about all my questions.
I wouldnt feel comfortable not crossing out the incorrect info. I wont do their signings, but Im just trying to get into this lenders head to see where they are coming from. Ive dealt with a lot of picky lenders but never have they dictated how I proceed with incorrect info on the certificate.

Reply by jba/fl on 5/14/07 1:57pm
Msg #190088

I haven't either, but pointing out that if they are so picky, they are attempting to appear flawless, (Hah!) and then they can't get venue correct. After all, they have the legal description. (or supposed to)

Reply by MelissaCT on 5/14/07 3:24pm
Msg #190106

Also crossing the line into being an "employer" by telling

us "how" to perform the job. They can pay my benefits...

Reply by Loretta Reed on 5/14/07 1:27pm
Msg #190083

I try to contact the borrower before I go out to the closing. I just state their rate and payment along with any payoffs and cash back. I have had more "no signs" this year than I ever have and a few companies trying not to pay me because the loan did not close. It is not my job to do this but the loan officers have been so shady lately that some borrowers have no clue what they are getting into until I show up at the door.

Shame on those loan officers that try to "sneak attack" the borrower. *

(*) this was not intended for all l.o's so don't even try to bash me for the statement.

Reply by Carmen/123 on 5/14/07 3:16pm
Msg #190103

I have been going over the doc's before hand for a couple of years now. But I let them tell me what the interet rate, loan amount, terms etc should be. If the information doesn't match then I tell them so and suggest that they call there loan officer immediately. It is a life saver because we can take care of the problems beforehand.

Carmen

Reply by Charles_Ca on 5/14/07 2:26pm
Msg #190091

This has been frequently discussed and it seems to me that there is potential for a serious breach of privacy laws. How do you know that the person on the phone is in fact the borrower? Additionally it wold apear to me that when the various entities who hire notaries start dictating how the certificates are handled and the wording that is on them they are treading on thin ice. I knwo that in California there is specific wording now required and this explanatory correction would seem to violate the State requirements.

Reply by PAW on 5/14/07 4:11pm
Msg #190114

Under advisement of an attorney, I do not review, by phone, ANY terms or conditions of the loan or any papers other than verifying names as they appear on the documents by asking them to tell me what names are on their ID, and if there are funds that need to be brought to the table, how much and in what form. It is too easy to be talking to the "wrong" person or having the person misinterpret what you are saying. When you are at the table, in person, you can show them what you are saying so there's no misunderstanding.

Reply by Loretta Reed on 5/14/07 7:08pm
Msg #190156

Thanks PAW for the information. I am going to stop saying anything until I get to the borrowers home. I'll just make sure that I explain fully to the title company that I get full fee if the l.o. screws this thing up.

Reply by Linda_H/FL on 5/14/07 6:22pm
Msg #190147

Re: I try not to....

I try to stick to "I need your photo ID..." and any other items I need to pick up. However, if they hit me with "if it's an adjustable rate I'm not signing" THEN I'll try to respond to that with a yes or no and if they're not happy I'll refer them to their LO...and call my contact immediately and inform them. Mostly I've been able to avoid it by saying "I can't review your loan on the telephone with you - you'll see when I get there"....it's worked so far.

Reply by Joe Ewing on 5/14/07 8:18pm
Msg #190160

Just received an email (automated) with the tip of the week - -----"Contact the borrower to confirm the terms are accurate"

Yes this is Joe the Notary I just called to verify our 8pm appointment and to review the terms of the loan with you. It says on this note that you have a 7.38 %, 2 year fixed adjustable loan with a 36 month prepayment penalty and a 7.93% APR. Is this correct or should we postpone the appointment for you to get clarification from your loan officer? No I don't have her number. Yes I have your settlement statement right here. No you don't have an impound account... did you ask for one? My opinion of the loan! Well sir you do have a 3 day right to cancel if you are unhappy with these or any other terms.

Hello sir? hello sir?... HELLO!

Reply by LisaWI on 5/15/07 11:30am
Msg #190219

Re: reviewing terms with borrower over phone-Joe

Thats what Im talkin' about!! That was great!

Reply by MistarellaFL on 5/15/07 11:56am
Msg #190221

A trick I use to avoid that scenario

When the brw's start with them saying "if it's this, I'm not............"

I ask if they have had figures gone over by the LO recently.
I tell them I don't have figures, and I ask them what they are expecting in the loan.
If anything is off, I call the TC and let them know what the brw's expect, vs. what terms are in the loan. Like us, the TC's want the loan to be signed, and will usually get on the LO if the terms have not been gone over by the LO, or the terms are not what the brw is expecting.