Posted by JimAZ on 6/13/12 6:41pm
Msg #423463

must be something in the water

I don't post often because 99.9% of my signings go without any issues, but in the last month I've had several weird ones that are starting to make me "gun shy" The latest:

Signing scheduled for a library in downtown Tucson. Confirmation calls go unreturned. Show up for signing and borrower also shows. After ID stuff, go over HUD and everthing seems OK. Show borrower where to sign on page 4 of the HUD and everthing starts going bad. Borrower states she will not sign anything until she has read "word for word" every page of the loan package. She says "after all, I'm an accountant". I explain her 3 day RTC and she restates nothing gets signed until I read the entire package.
Then she tells me her loan officer (Chase) told her I would wait until she read everything and was ready to sign. I explain that her loan officer could send her a loan package for her to read and when she is ready she can sign before a notary signing agent. She then tells me her loan officer told her I would explain "in detail" the loan papers when she is done reading them. I ask if she is ready to sign the HUD which is a Chase streamline with no cost to her and she says "NO". Signing aborted due to refusal to sign by borrower.

By the way, three recent problems, all three Chase loans. IMO Chase needs to hire loan officers and not salesmen.

Reply by MW/VA on 6/13/12 7:52pm
Msg #423476

Right, Jim. We are not there to do the LO's job. She

clearly did not understand our role as NSA's. Unfortunately, they don't see that it's their loss not to sign since they can lose a rate lock, etc.
Yes, things in the industry are getting stranger every day.

Reply by Buddy Young on 6/13/12 8:57pm
Msg #423486

Re: Right, Jim. We are not there to do the LO's job. She

Yea that would have taken hours.

I do agree with you, Jim but the borrower does have the right to read the docs.

I would have called the signing company and ask for a reschedule the next day giving the borrower time to read the docs.

I would have left the docs with her and asked her to call me when she was ready to sign.

Reply by MW/VA on 6/14/12 7:56am
Msg #423506

"I would have left the docs with her....". I never leave

the docs at a no-sign. We've always been instructed not to leave them & I wouldn't do that unless told to do so by the LO or tc. I guess the thought is that they will use those docs to "go shopping".

Reply by JanetK_CA on 6/15/12 4:03am
Msg #423596

Re: "I would have left the docs with her....". I never leave

I agree. Docs are the property of the lender and I would never leave a set with the borrower without permission, unless I was also leaving with another set that was signed.

Reply by BossLadyMD on 6/13/12 9:35pm
Msg #423490

I agree. I had a borrower very upset

that a Chase 'salesman' had told her no closing costs but had rolled the fee into the loan. She refused to sign and even asked who was paying me to be there! It was a nightmare and a hightailed out of there. I marked it as refusal.

Reply by Sha/CA on 6/13/12 10:45pm
Msg #423492

"No closing cost". "Oh?"

It is not music to my ears, but it is sounding very common, with lots of them. "No closing costs". What a ball of bats!

Reply by StaceyB/NJ on 6/14/12 12:19am
Msg #423499

Re: "No closing cost". "Oh?"

LOVE...no closing costs...borrowers think it's 'free'...then they see the breakdown..ugh! Thankfully my Chase loans have always closed smooth on a whole...now Provident...will so slam the phone when I hear that name!

Reply by Lee/AR on 6/13/12 11:49pm
Msg #423497

Been seeing some of these, too. Mostly with folks who don't need it; didn't ask for it; went along with 'lower rate & no closing costs'....until they saw it. They don't reschedule. Your last sentence said it all.

BTW, I expect all accountants and school teachers to be readers. Am rarely wrong. And accountants frequently check the math, too.

Reply by CopperheadVA on 6/14/12 6:49am
Msg #423504

I'm feeling confused as to what you all are talking about - the Chase loans are indeed no closing costs to the borrower. There is a credit on page 1 of the HUD (line 204) for all the closing costs. The credit excludes up-front daily interest for the remainder of the current month (line 901) and monies collected to establish the new escrow account (line 1001), but all the other fees listed on page 2 are paid for by Chase, shown as a lender credit on page 1.

Chase deducts the current escrow balance from the payoff on the borrower's current loan. Once borrowers understand that and also that the up front daily interest and the funds in the new escrow account are things they would be paying anyway on the existing loan, everything usually makes sense to them at that point. I have even added up all the closing costs and compared it to the lender credit - it matches every time.

With that said, I do feel it would be beneficial for the Chase loan officers to go over the HUD with the borrowers ahead of time. But I feel that way with every lender.

Reply by JimAZ on 6/14/12 8:46am
Msg #423508

I agree with everything you said. This loan was no closing costs. Just daily interest and initial escrow deposit. All other costs were credited on the first page which I explained to the borrower. That's why I couldn't understand her relunctance to sign. In retrospect, it was probably just two type "A's" not seeing eye to eye. In the end, however, I control the signing process, not the borrower or the loan officer.

Reply by Lee/AR on 6/14/12 9:22am
Msg #423519

From what I hear, they now realize they've traded a half or better-paid off mortgage for a new 15 or 30 year term for less than 1 point. They just aren't that impressed/eager any longer.

Reply by BossLadyMD on 6/14/12 2:32pm
Msg #423556

It depends on their credit worthiness, she did not get

credit for all the closing costs. She was in fact 'paying' some closing costs, although it was a small amount. Less than $1,000. I remember leaving and thinking this has to be the cheapest lady on earth!

Reply by Les_CO on 6/14/12 8:59am
Msg #423512

Re: Water here is just fine

I’ve done more than a dozen Chase loans this year, most at a branch bank. The Chase people could not have been nicer, and the LO although there just greeted us and let me do my thing. I’d like two-a-day!
PS: I’d guess we’ve all had readers before, just part of the gig. I’d have fully explained the docs and completed the signing, but that’s just me. JMO

Reply by HisHughness on 6/14/12 9:59am
Msg #423523

Most readers go in with a head of steam ...

... until they hit the 18-page deed of trust. Along about that point, closings tend to speed up considerably.

I do agree wholeheartedly that loan officers should be loan officers and not salesmen.

Reply by bagger on 6/14/12 10:27am
Msg #423527

Almost all of my "readers" have been accountants

Must be something in their water.

Reply by JimAZ on 6/14/12 11:16am
Msg #423531

Re: Almost all of my "readers" have been accountants

I would add engineers and PHD's in political science and philosophy.