Required Contents of Individual Borrower Files

Required Contents of Individual Borrower Files The individual borrower files of mortgage brokers and lenders shall contain the original or a copy (unless otherwise specified below) of all documentation dated and signed by the applicant (unless otherwise specified below), including, but not limited to, the documents listed below. All documents listed below are required to be maintained by a mortgage lender, regardless of whether the company originally closed the loan or bought the loan in the secondary market. Mortgage brokers are responsible for those documents the company was required to issue or otherwise issued. The required documents must be kept in the following order or well-organized and marked for ease of identification by mortgage examiners. Please note that the use of correction fluid on any document associated with the mortgage loan is considered a fraudulent activity. 1. Promissory Note 2. Deed of Trust 3. Closing Disclosure (CD) or HUD01 4. Final Truth in Lending (when applicable) 5. Initial application signed by the loan originator at the time the application is taken. 6. Intent to Proceed Acknowledgement. Required if LE is not used or the licensee uses a GFE (Good Faith Estimate). 7. Loan Estimate (LE) provided to the applicant within three (3) working days of taking the application. If mailed, the licensee must retain a copy of the cover letter stating the date and address to which the LE was mailed. If hand delivered, the licensee must develop a separate document to be signed by the applicant acknowledging receipt of the LE. 8. Credit File (Authorizations to order credit report, verifications, credit reports, etc.) Required if a credit report is ordered. Invoices for the credit report are also required if the borrower is charged for the credit report. 9. Proof of Assignment (transfer) of loan (if applicable). Only required when the licensee is transferring servicing or if the licensee is a broker closing in the broker’s name. 10. Servicing Disclosure (if funding the loan.) If utilizing the LE, the licensee may fulfill this requirement by completing the servicing intention under the “Other Considerations” section of the LE. 11. Notice of Right to Receive Copy of Appraisal. Required only if the licensee orders an appraisal for the subject property. 12. Lock-in agreement from lender ( when applicable) 13. Multiple Role (Dual Agency) Disclosure (when applicable) 14. Affiliated Business Agreement (when applicable) 15. Credit Score Disclosure & Notice to Home Applicant 16. Initial Privacy Notice 17. Homeownership Counseling Organizations List (provided within three (3) days of application) 18. Verification that the applicant received the “Settlement Cost Booklet” (when applicable) 19. Ability to Repay documentation 20. Adjustable Rate Mortgage Program Disclosure (when applicable) 21. Two (2) copies of the Notice of Right of Rescission (when applicable) 22. Mortgage Origination Agreement containing information outlined in Section 81-18- 33(1)(a) (provided within three (3) days of application) 23. Equal Credit Opportunity Act disclosure (provided within three (3) days of application), stating in part that the creditor is prohibited from discriminating against applicants on the basis of race, color, religion, national origin, sex, marital status, or age. The notice must also identify the federal agency that oversees compliance with this law. 24. Final Application signed and dated by the applicant(s) at the time of closing 25. Complete copy of appraisal and invoice from appraiser, not required to be signed by applicant or loan originator. Only applicable if an appraisal is conducted on the subject property. 26. Notice of Action Taken (provided within three (3) business days of receiving notice that the loan is denied or within thirty (30) calendar days of receiving an application denied by the licensee). The following federal regulations may also be used as guides to supplement the minimum recordkeeping requirements stated above: Regulation B, Regulation X, and Regulation Z. Forms issued in compliance with federal regulations may be used as guides for compliance with the minimum recordkeeping requirements stated herein. However, the requirements outlined above are separate and apart from any record-keeping requirements stated in federal regulations. Additionally, compliance with the provisions of this policy cannot be relied upon for ensuring compliance with federal regulations.