Posted by Shoshana/AZ on 9/10/09 2:17pm
Msg #303436

Is it now SOP w/BOA to not have the RTC included on a refi?

I am getting awfully tired of calling on this.
TIA

Reply by PAW on 9/10/09 2:27pm
Msg #303440

Not their choice. Federal statutes dictate when there is a rescission period. Of course, the 'notification' can take almost any form so, there may not be a familiar RTC in the package, but on most refinancings (of primary residence), a rescission period is required. If you are getting packages without an RTC, and you call them only to find out that one should be there, I would contact the BofA loan officer's supervisor and let them know that you aren't getting the forms with the documents. The RTC is part of most, if not all, LOS packages. If it is consistently missing, then either the process or processor needs fixing.

Reply by Shoshana/AZ on 9/10/09 2:38pm
Msg #303442

It's not on the document check list. It's a primary res.

This is the second time that this has happened to me with this particular company. For the second time I have been told that there is no RTC on BOA loans.

Reply by MW/VA on 9/10/09 2:50pm
Msg #303444

Re: It's not on the document check list. It's a primary res.

That's scary. It shows how much that person understands about the loan process. I think Paul's suggestion to speak with a supervisor is appropriate. More to the point, it shouldn't be our job to do theirs.

Reply by Linda_H/FL on 9/10/09 5:07pm
Msg #303468

Re: It's not on the document check list. It's a primary res.

"I have been told that there is no RTC on BOA loans"

Maybe meaning they're refinancing a BOA through BOA with no money out? I think RTC can be waived in that instance...

Reply by Linda_H/FL on 9/10/09 5:09pm
Msg #303469

Sorry..disregard - should've read before posting...<G> n/m

Reply by MistarellaFL on 9/10/09 2:55pm
Msg #303447

SOP if it's a CW loan

I'm getting quite a few myself.

Reply by Shoshana/AZ on 9/10/09 3:01pm
Msg #303448

Re: SOP if it's a CW loan

It's Home Focus. I have a manager checking on it.
Thanks.

Reply by Bill/NY on 9/10/09 3:43pm
Msg #303456

Re: SOP if it's a CW loan

I believe RTC is not needed on an FHA streamline refi with same lender. Is that the scenario on these deals?

Reply by ReneeK_MI on 9/10/09 4:08pm
Msg #303461

No RTC needed if there is no increase in the secured amt or

the interest rate. Doesn't have to be an FHA. I think most lenders opt to provide the RTC if the original was not their own, regardless - but that's their choice.

Reply by PAW on 9/10/09 8:17pm
Msg #303481

Re: No RTC needed if there is no increase in the secured amt or

If there is a change in lenders, then a rescission period is required. The code (statute) states: "As provided in section 125(e) of the Act, the consumer does not have the right to rescind each credit extension made under the plan if such extension is made in accordance with a previously established credit limit for the plan." When switching lenders, the borrower is also switching plans. That's why the right to rescind (RTC) must be provided on refinances with different lenders.

Reply by ReneeK_MI on 9/11/09 5:48am
Msg #303496

Thanks Paul, I stand corrected =)

New lender = RTC, I was wrong.

Reply by Shoshana/AZ on 9/10/09 4:27pm
Msg #303462

Here's the scoop

If it's BOA to BOA, no RTC is needed.

Reply by Linda Juenger on 9/10/09 4:31pm
Msg #303467

Re: Here's the scoop

Does this mean "Countrywide" to BOA??

Reply by LynnNC on 9/10/09 8:43pm
Msg #303482

Re: Here's the scoop

Countrywide to BOA with no cash out and no increase in rate, RTC not required.

Reply by jba/fl on 9/10/09 9:16pm
Msg #303485

Re: Here's the scoop

Countrywide to BOA with no cash out and decrease in rate, RTC required.

Reply by JanetK_CA on 9/11/09 2:21am
Msg #303494

Re: Here's the scoop

Are you sure? Now that BOA owns Countrywide, I suppose it could be argued that it's not a change in lender. I've seen a number of these, as well, and have gotten the impression that some kind of "arrangement" was worked out to help the borrowers. It was for a full on refi, not a modification. I didn't want to pry, so I didn't ask about previous terms, but I had one borrower allude to something like that. I think most of the ones I've seen could fall under the "streamline" category.

Reply by jba/fl on 9/11/09 7:59am
Msg #303497

Re: Here's the scoop

Mine had 3 day RTC.