[sbs1]

Our bank does not require or charge a courier or wire fee nor does any of the closing agents that are on our provider list. So if a customer selects an attorney/closing agent that is not on our list and that agent charges a fee for the overnight delivery, we have shown the fee on the closing disclosure in the “other category”. We were told during our loan audit(that we hire) that it should go in Section C- services you can shop for. I have been checking and have seen where some say that it should go in Section B – Services that you can not shop for. But we do not require the charge nor do any of the attorneys on our list. Any advice?

Thank you.

Topic

[rcooper]

I tend to agree with your auditor that it would be included under C as this is a fee resulting from the use of the provider selected by the borrower rather than providers on your list. Even though this specific fee isn’t required by your bank, you are requiring the use of an attorney and this is a fee required by the provider the borrower selected. If they had gone with someone on your list of providers the fee would not have been charged.

[jholzknecht]

The reply from rcooper is correct, but let me add that the initial Loan Estimate (LE) would not reflect the charge, since it is not required by your bank or by any of the attorney’s on your list. Once you become aware of the charge then the charge would be reflected in Section C of any revised LE or Closing disclosure.

[Author]

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