Servicing Disclosure Statement
By Amy Kudlacek
With the effective date (January 16, 2009) for the new Servicing Disclosure Statement quickly approaching, many banks are scrambling to get this disclosure in order. To make matters worse, we have heard from several clients that their vendors have indicated they will not have the disclosure available in time. In an effort to make this a bit easier for you, we have a sample Servicing Disclosure Statement available on our website on the "free downloads" page.
You will need to customize this disclosure to fit your bank. First, you will need to select the appropriate statement under "Servicing Transfer Information" and delete the rest. You should also remove the "Instructions to Preparer" section from the final disclosure. You could further customize this disclosure by adding your bank's logo or printing it on bank letterhead etc.
Keep in mind with the new disclosure come some different delivery requirements. First, the disclosure no longer needs to be signed by the applicant. Second, the disclosure no longer needs to be provided at the time of application; within three business days of application is sufficient. Lastly, if co-applicants list different addresses on their application, a disclosure must be delivered to each applicant, at each address.
Let us know if we can be of further service to you during these changing times!