| (iv) copies of any title insurance policies with endorsements
or title search reports obtained in connection with the loan, and
if a fee is paid by or imposed on the mortgage applicant for such
title insurance policies or title search reports, invoices and proof
of payment for the title insurance policy or title search report;
and
(v) if applicable, the flood determination certificate
obtained in connection with the loan, and if a fee is paid by or imposed
on the mortgage applicant for such flood certificate, invoices and
proof of payment for the flood determination certificate;
(C) Truth in Lending Act (TILA). For transactions that
are subject to the requirements of TILA (15 U.S.C. §1601 et seq.)
and Regulation Z (12 C.F.R. §1026.1 et seq.), the following records:
(i) the initial Truth-in-Lending statement for home
equity lines of credit and reverse mortgage transactions required
by Regulation Z, 12 C.F.R. §1026.19;
(ii) if the transaction is an adjustable rate mortgage
transaction, the adjustable rate mortgage program disclosures;
(iii) records relating to the mortgage applicant's
ability to repay the loan, as required by Regulation Z, 12 C.F.R. §1026.43(c);
(iv) if the mortgage applicant is permitted to shop
for a settlement service, the written list of providers required by
Regulation Z, 12 C.F.R. §1026.19(e)(1)(vi)(C);
(v) the notice of intent to proceed with the transaction
required by Regulation Z, 12 C.F.R. §1026.19(e)(2)(i)(A);
(vi) if applicable, records related to a changed circumstance
required by Regulation Z, 12 C.F.R. §1026.19(e)(3)(iv);
(vii) the notice of right to rescission required by
Regulation Z, 12 C.F.R. §1026.15 or §1026.23;
(viii) for high-cost mortgage loans, the disclosures
required by Regulation Z, 12 C.F.R. §1026.32(c);
(ix) for high-cost mortgage loans, the certification
of counseling required by Regulation Z, 12 C.F.R. §1026.34(a)(5)(i);
and
(x) any other notice or disclosure required by TILA
or Regulation Z;
(D) Real Estate Settlement Procedures Act (RESPA).
For transactions that are subject to the requirements of RESPA (12
U.S.C. §2601 et seq.) and Regulation X (12 C.F.R. §1024.1
et seq.), the following records:
(i) records reflecting delivery of the special information
booklet required by Regulation X, 12 C.F.R. §1024.6;
(ii) any affiliated business arrangement disclosure
statement provided to the mortgage applicant in accordance with Regulation
X, 12 C.F.R. §1024.15;
(iii) records reflecting delivery of the list of homeownership
counseling organizations required by Regulation X, 12 C.F.R. §1024.20;
and
(iv) any other notice or disclosure required by RESPA
or Regulation X;
(E) Equal Credit Opportunity Act - Transactions Not
Resulting in Approval. For residential mortgage loan applications
where a notice of incompleteness is issued, a counteroffer is made,
or adverse action is taken, as provided by Regulation B (12 C.F.R. §1002.1
et seq.), the following records, as applicable:
(i) the notice of incompleteness required by Regulation
B, 12 C.F.R. §1002.9(c)(2);
(ii) the counteroffer letter sent to the mortgage applicant
in accordance with Regulation B, 12 C.F.R. §1002.9; and
(iii) the adverse action notification (a/k/a turndown
letter) required by Regulation B, 12 C.F.R. §1002.9(a);
(F) Home Equity Transactions. For home equity loan
or home equity line of credit transactions, the following records
(references in this subparagraph to Section 50 refers to Article XVI,
Section 50, Texas Constitution):
(i) the preclosing disclosures required by Section
50(a)(6)(M)(ii) and §153.13 of this title (relating to Preclosing
Disclosures: Section 50(a)(6)(M)(ii); as provided by such section,
the closing disclosure or account-opening disclosures required by
Regulation Z fulfills this requirement);
(ii) the consumer disclosure required by Section 50(g)
and §153.51 of this tile (relating to Consumer Disclosure: Section
50(g));
(iii) if an attorney-in-fact executes the closing documents
on behalf of the owner or owner's spouse, a copy of the executed power
of attorney and any other documents evidencing execution of such power
of attorney at the permanent physical address of an office of the
lender, an attorney at law, or a title company, as required by §153.15
of this title (relating to Location of Closing: Section 50(a)(6)(N));
(iv) if the borrower (mortgage applicant) uses the
proceeds of the loan to pay off a non-homestead debt with the same
lender, a written statement, signed by the mortgage applicant, indicating
the proceeds of the home equity loan were voluntarily used to pay
such debt (see Section 50(a)(6)(Q)(i));
(v) notice of the right of rescission, as required
by Section 50(a)(6)(Q)(viii) (as provided by §153.25 of this
title (relating to Right of Rescission: Section 50(a)(6)(Q)(viii)),
the notice of right of rescission required by TILA and Regulation
Z fulfills this requirement);
(vi) the written acknowledgement as to the fair market
value of the homestead property, as required by Section 50(a)(6)(Q)(ix)
and §153.26 of this title (relating to Acknowledgement of Fair
Market Value: Section 50(a)(6)(Q)(ix)); and
(vii) if the home equity loan is refinanced into a
non-home equity loan, the Texas Notice Concerning Refinance of Existing
Home Equity to Non-Home Equity Loan, as required by Section 50(f)(2)(D)
and §153.45 of this title (relating to Refinance of an Equity
Loan: Section 50(f));
(G) Wrap Mortgage Loans. For wrap mortgage loan transactions
subject to the requirements of Finance Code Chapter 159, the following
records:
(i) the disclosure statement required by Finance Code §159.101
and §78.101 of this title (relating to Required Disclosure),
signed and dated by each mortgage applicant, and any foreign language
disclosure statement required by Finance Code §159.102;
(ii) the disclosure statement required by Tex. Prop.
Code §5.016 provided to each existing lienholder (the disclosure
statement required by Finance Code §159.101 and §78.101
of this title (relating to Required Disclosure) referenced in clause
(i) of this subparagraph fulfills this requirement if it was provided
to each existing lienholder); and
(iii) documents evidencing that the wrap mortgage loan
was closed by an attorney or a title company, as required by Finance
Code §159.105;
(H) Home Improvement Loans. For home improvement transactions
(including repair, renovation, and new construction), the following
records:
(i) the mechanic's lien contract;
(ii) documents evidencing the transfer of lien from
the contractor to the lender;
(iii) the residential construction contract;
(iv) notice of the right of rescission required by
Article XVI, Section 50(a)(5)(C), Texas Constitution (the notice of
right of rescission required by TILA and Regulation Z fulfills this
requirement); and
(v) any other notice or disclosure required by Texas
Property Code Chapter 53;
(I) Reverse Mortgages. For reverse mortgage transactions,
the following records:
(i) the disclosure required by Article XVI, Section
50(k)(9), Texas Constitution;
(ii) the certificate of counseling required by Article
XVI, Section 50(k)(8), Texas Constitution;
(iii) the servicing disclosure statement required by
Regulation X, 12 C.F.R. §1024.33(a);
(iv) the disclosures required by Regulation Z, 12 C.F.R. §1026.33(b);
and
(v) any other notice or disclosure required by federal
or state law to originate a reverse mortgage;
(3) General Business Records. General business records
include:
(A) all checkbooks, check registers, bank statements,
deposit slips, withdrawal slips, and cancelled checks (or copies thereof)
relating to residential mortgage loan origination business;
(B) complete records (including invoices and supporting
documentation) for all expenses and fees paid on behalf of a mortgage
applicant, including a record of the date and amount of all such payments
actually made by each mortgage applicant;
(C) all federal tax withholding forms, reports of income
for federal taxation, and evidence of payments to all mortgage company
employees, independent contractors and all others compensated by the
mortgage company in connection with residential mortgage loan origination
business;
Cont'd... |
