If the borrower wants to waive the escrow account after the interest rate has been locked by the borrower, how can we show the escrow account waiver charge on the GFE?
If a borrower asks to waive the escrow account after the interest rate has been locked, the loan originator may issue a revised GFE based upon the borrowers requested change. Charges associated with the escrow account waiver should be disclosed by adjusting Block 2 on the revised GFE. Please note that an escrow waiver cannot be considered a borrower requested change and the GFE cannot be revised to reflect an escrow account waiver charge if the initial GFE stated that there was no escrow account on the loan.
Related Questions
- If a GFE has been provided and the interest rate has not been locked, can the loan originator provide a revised GFE when the borrower later locks the interest rate?
- Can a lender charge a borrower at closing a one time charge for setting up an account with a tax service to arrange for tax payments?
- Where on the GFE do I disclose an escrow waiver fee?
