| (VII) proof of payment of reasonable fees or charges
paid by the trustee in connection with the deed of trust or similar
instrument including fees for enforcing the lien against or posting
for sale, selling, or releasing the residential real estate secured
by the deed of trust; and
(VIII) the foreclosure deed upon sale of the property;
(D) for wrap mortgage loan transactions where the wrap
borrower provided an actionable notice of rescission and the wrap
lender registrant did not avoid the rescission, a copy of the notice
of rescission and documentation reflecting that the wrap lender registrant
refunded to the wrap borrower all amounts required by Finance Code §159.104(c);
(E) for wrap mortgage loan transactions where the wrap
lender avoided the rescission, documentation reflecting that the wrap
lender:
(i) paid the outstanding balance due on the debt owed
on the residential real estate to the superior lienholders;
(ii) paid any due and unpaid taxes or other governmental
assessments owed on the residential real estate;
(iii) paid to the wrap borrower as damages for noncompliance
the sum of $1,000 and any reasonable attorneys' fees incurred by the
wrap borrower; and
(iv) evidence of compliance with clause (i) or (ii)
above provided to the wrap borrower;
(F) for wrap mortgage loan transactions where the wrap
borrower has deducted from the amount owed to the wrap lender under
the terms of the wrap mortgage loan as authorized by Finance Code §159.202,
any records related to this action including the written notice from
the wrap borrower required by §78.201 of this title (relating
to Right to Deduct; Notice of Deduction), and any actions taken to
address the deductions;
(4) General Business Records. General business records
include:
(A) all servicing and sub-servicing agreements entered
into by the wrap lender registrant as a residential mortgage loan
servicer;
(B) policies and procedures related to the origination
and servicing of wrap mortgage loans by the wrap lender registrant,
including, but not limited to, Quality Control Policy / Compliance
Manual, Identify Theft Prevention Program / Red Flags Rule required
by 16 C.F.R. §681 et seq., Anti-Money Laundering Program required
by Title X of the Financial Institutions Regulatory and Interest Rate
Control Act of 1978, Personnel Administration / Employee Policies,
Ability-to-Repay Underwriting Policies, and an information security
program required by 16 C.F.R. §314.1 et seq.;
(C) records reflecting the disbursement of money to
pay the superior lienholders and payment of taxes and insurance for
which the wrap lender registrant has received from the wrap borrower;
(D) all checkbooks, check registers, bank statements,
deposit slips, withdrawal slips, and cancelled checks (or copies thereof)
relating to disbursements made in connection with wrap mortgage loans
by the wrap lender registrant;
(E) complete records (including invoices and supporting
documentation) for all expenses and fees paid in connection with the
wrap mortgage loan, including the date and amount of all such payments;
(F) copies of all written complaints or inquiries (or
summaries of any verbal complaints or inquiries) along with any and
all correspondence, notes, responses, and documentation relating thereto
and the disposition thereof;
(G) copies of all contractual agreements or understandings
with third parties in any way relating to a wrap mortgage loan transaction;
(H) copies of all reports of audits, examinations,
reviews, investigations, or other similar matters performed by any
third party, including any regulatory or supervisory authorities;
and
(I) copies of all advertisements in the medium (e.g.,
recorded audio, video, and print) in which they were published or
distributed;
(5) Record of the wrap borrower's account (payment
and collection history). A separate record must be maintained for
the servicing account of each wrap borrower and the record must contain
at least the following information on each wrap mortgage loan serviced
by the wrap lender registrant:
(A) loan identification number;
(B) loan repayment schedule and terms, itemized to
reflect:
(i) the date of the loan;
(ii) the number of installments;
(iii) the due date of installments;
(iv) the amount of each installment; and
(v) the maturity date;
(C) name, address, and phone number of the wrap borrower(s);
(D) legal description of the residential real estate;
(E) principal amount;
(F) total interest charges, including the scheduled
base finance charge, points (i.e., prepaid finance charge), and per
diem interest;
(G) amount of official fees for recording or releasing
a security interest that are collected at the time the loan is made;
(H) individual payment entries, itemized to show:
(i) the date payment was received (dual postings are
acceptable if the date of posting is other than the date of receipt);
(ii) actual amounts received for application to principal
and interest; and
(iii) actual amounts paid for default, deferment, or
other authorized charges;
(I) individual entries for disbursements of funds from
a wrap borrower under the terms of wrap mortgage loan to superior
lienholders, taxing authorities, insurance companies, or other payees,
itemized to show:
(i) the actual date of disbursement; and
(ii) the actual amounts disbursed;
(J) any refunds of unearned charges that are required
in the event a loan is prepaid in full, including records of final
entries, and entries to substantiate that refunds due were paid to
the wrap borrower(s), with refund amounts itemized to show interest
charges refunded, including the refund of any unearned points; and
(K) collection contact history, including a record
of each contact made by a wrap lender registrant with the wrap borrower
or any other person and each contact made by the wrap borrower with
the wrap lender registrant, in connection with amounts due, with each
record including the date, method of contact, contacted party, person
initiating the contact, and a summary of the contact.
(d) A wrap lender registrant must maintain such other
books and records as may be required to evidence compliance with applicable
state and federal laws, rules, and regulations, including, but not
limited to: the Real Estate Settlement Procedures Act, the Equal Credit
Opportunity Act, and the Truth in Lending Act.
(e) A wrap lender registrant must maintain such other
books and records as the Commissioner or the Commissioner's designee
may from time to time specify in writing.
(f) Production of Records. All books and records required
by this section must be maintained in good order and must be produced
for the Commissioner or the Commissioner's designee upon request.
(g) Records Retention Period. All books and records
required by this section must be maintained for three years or such
longer period(s) as may be required by applicable state or federal
laws, rules, and regulations.
(h) Records Retention After Dissolution. Within ten
days of termination of operations, a wrap lender registrant must provide
the Department with written notice of where the required records will
be maintained for the prescribed periods. If such records are transferred
to another wrap lender registrant, the transferee must provide the
Department with written notice within ten days after receiving such
records.
|
