Who is responsible for reviewing and/or updating the Tangible Net Benefit form?
• The responsibility to avoid flipping (refinancing without affording a tangible net benefit to the borrower) accrues both to the loan broker (if one is used) and to the lender. The form attached as an appendix to the rule contains signature lines for both the broker and the lender. The form also indicates that, if the terms have changed during the underwriting process, then the lender needs to prepare and sign a new revised form.
