[Ginji244]

We received an application to purchase a lake house to be used as a vacation home. Early disclosures were mailed within three days, all is good right? Here is my issue, we have since received an additional application for same property. According to the officer, the borrowers now include the original applicant and a husband and wife. The original applicant and the wife are cousins. All three will own the property. I am not sure if we need to send out new disclosures to all three, just the two new applicants or not at all.

[rcooper]

From my understanding of what you have described, it sounds like the initial application was withdrawn. If that is the case then document that in that file and proceed on with the new application as normal.

[rcooper]

Another thought…if the application wasn’t withdrawn and she is simply adding co-applicants, in my opinion you would be fine in giving the new co-borrowers the early disclosures you have already given to the initial applicant. Your file will reflect when the applicants were added and therefore there shouldn’t be any questions as to why they received the disclosures later.

[Author]

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