Loan Origination Services and Transfers
Issue/Inquiry
Bank A will accept mortgage loan applications from its customers, which will be assigned to Bank B. Bank B will make the TRID disclosures, do the underwriting, make the credit decision, and close the loans in its name. Bank A will perform origination services for Bank B prior to closing, for which it will be compensated. Bank B will then transfer the loans to Bank A, which will service the loans. Will this arrangement satisfy the requirements of RESPA?
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