To the Students from the July 18, 2013 Cornerstone LO CE Class in Bellevue, WA

Hi Everyone,

Here’s the follow up from the LO CE class you attended last week:

Here is a link to the CFPB Consumer Compliant database. There’s a menu running across the page, not at the top but near the top. It’s inside a gray table.  It says “Data By Product.”  For the dbase we played around with, click on “mortgages”

For branch managers, here’s the link to the proposed Social Media Guidelines. See the link at the bottom of the press release.

If anyone is interested in using these upcoming 2014 changes to be a trusted advisor w/your Realtors, here’s the new 2014 combined GFE/ TILA and also the new HUD 1. I think it would be helpful to Realtors to know about this change.

Here’s a link to the CFPB website with more info on all the Dodd-Frank rules and when they will go into effect.

Q: How is the Total Interest Percentage on page 3 of the new GFE calculated?
A: The Total Interest Percentage disclosure is mandated under Section 1419 of the Dodd Frank Act so the CFPB does not have the option to exclude it.

First figure out the total interest paid over the life of the loan as follows:
Principal and Interest x the loan term
761.78 x 360 = $274,241.

Now take the total interest paid over the life of the loan and subtract out the principal amount of the loan:
$274,241. – 162,000 = $112,241.

$112, 241 represents the total interest paid over the life of the loan.
Now take the total interest paid over the life of the loan and divide by the principal loan amount:

112,241 / 162,000 = 69.28%

This doesn’t quite match the GFE example given to us by the CFPB. So what’s missing? Prepaid interest. Add that in as part of the interest and your math should match.

There was a request for information on how the UST will be scored. Here is a link to the main UST page within the NMLS Resource center. And here’s the direct link to the scoring method.

And here’s a link to the Macklemore/Ryan Lewis website. Bret says we should watch The Town video. I just watched the whole thing. He’s right. Amazing. A real Seattle home grown success story. One of the reasons I like this hip/hop group is because of his back-story.

Thanks for coming to class today! You all were awesome!

 

To the Students from the LO CE class at TPCAR/Guild on June 14, 2013

Hi Everyone,

Here’s the follow up from today’s class.

Here’s the news story about predatory lender Emeil Kandi, from the Tacoma area.

Here is a link to the CFPB Consumer Compliant database. There’s a menu running across the page, not at the top but near the top. It’s inside a gray table.  It says “Data By Product.”  For the dbase we played around with, click on “mortgages”

For branch managers, here’s the link to the proposed Social Media Guidelines. See the link at the bottom of the press release.

If anyone is interested in using these upcoming 2014 changes to be a trusted advisor w/your Realtors, here’s the new 2014 combined GFE/ TILA and also the new HUD 1. I think it would be helpful to Realtors to know about this change.

Here’s a link to the CFPB website with more info on all the Dodd-Frank rules and when they will go into effect.

Q: How is the Total Interest Percentage on page 3 of the new GFE calculated?
A: The Total Interest Percentage disclosure is mandated under Section 1419 of the Dodd Frank Act so the CFPB does not have the option to exclude it.

First figure out the total interest paid over the life of the loan as follows:
Principal and Interest x the loan term
761.78 x 360 = $274,241.

Now take the total interest paid over the life of the loan and subtract out the principal amount of the loan:
$274,241. – 162,000 = $112,241.

$112, 241 represents the total interest paid over the life of the loan.
Now take the total interest paid over the life of the loan and divide by the principal loan amount:

112,241 / 162,000 = 69.28%

This doesn’t quite match the GFE example given to us by the CFPB. So what’s missing? Prepaid interest. Add that in as part of the interest and your math should match.

This is as close as I could get to a news story on the electric company scam. 

Here  is a link to the website from our non-traditional lending case study: Net Life Financial.

 

To the Students from the LO CE class on May 21, 2013 at Guild Mortgage Kent

Hi Everyone,

Here’s the follow up from today’s class.

Here’s the article I wrote about NACA as published on Seattle Bubble. NACA is the org that’s bringing their zero down loan to town soon.

Here is a link to the CFPB Consumer Compliant database. There’s a menu running across the page, not at the top but near the top. It’s inside a gray table.  It says “Data By Product.”  For the dbase we played around with, click on “mortgages”

For branch managers, here’s the link to the proposed Social Media Guidelines. See the link at the bottom of the press release.

If anyone is interested in using these upcoming 2014 changes to be a trusted advisor w/your Realtors, here’s the new 2014 combined GFE/ TILA and also the new HUD 1. I think it would be helpful to Realtors to know about this change.

Q: How is the Total Interest Percentage on page 3 of the new GFE calculated?
A: The Total Interest Percentage disclosure is mandated under Section 1419 of the Dodd Frank Act so the CFPB does not have the option to exclude it.

First figure out the total interest paid over the life of the loan as follows:
Principal and Interest x the loan term
761.78 x 360 = $274,241.

Now take the total interest paid over the life of the loan and subtract out the principal amount of the loan:
$274,241. – 162,000 = $112,241.

$112, 241 represents the total interest paid over the life of the loan.
Now take the total interest paid over the life of the loan and divide by the principal loan amount:

112,241 / 162,000 = 69.28%

This doesn’t quite match the GFE example given to us by the CFPB. So what’s missing? Prepaid interest. Add that in as part of the interest and your math should match.

There was a question about the stand alone UST:
Q: If I take the UST can I just let those test results sit there on the shelf as having “passed” and then make up my mind to activate my license in one or all of those states (that recognize the UST) at a later date?

A: I answered that you’d have to license right away….but I was only 98% sure of my answer and I like to be 100% sure so I asked the NMLS this question last night and they responded. here is her response:

“Hi Jillayne Per the 5 Year Test Retake rule in the SAFE Act: Test results do not expire, unless an MLO fails to maintain (or achieve) a valid license in at least one state or Federal registration for a period of five years or more.  More on this will be coming next year as that is when this rule will be become relevant.”

So that means after you pass the stand-alone UST you will need to activate the license in at least one additional state within 5 years of having passed the test. This matches the 5 year test-retake rule in the SAFE Act.

All New 2013 Loan Originator CE Classes Now Available!

NAMF has received approval for the 2013 LO CE class!

Note: If you took the CE course from me last year, this is an all new course.  There is no rule against using the same course provider every year. Instead, LOs may not take the same course year after year. The 2013 course is all new with a new course number!
Course Outline:
3 Hours Federal Law
2 Hours Ethics, Consumer Protection, Fraud, Fair Housing
2 Hours Non-Traditional Lending
1 Hour Undefined: CFPB Proposed Rules on LO Compensation
also included at no extra cost:
1 Hour WA State Law

For 2013 we will cover ability to repay and the Qualified Mortgage Rule, homeownership counseling for high cost loans, appraisal rules for high priced mortgage loans, finalization of loan originator compensation rules under the Dodd Frank Act, a review of the final new Good Faith Estimate, prohibited advertising practices, Mortgage Assistance Relief Service Provider Rules, The CFPB Consumer Complaint Database, zero-down loans, reverse mortgage lending case study, Fair Housing “disparate impact” case study, a local mortgage fraud case study, your annual required SARS/AML education, and a new draft model code of ethics for the industry, written by loan originators for loan originators.

NAMF is an NMLS Approved Course Provider

Provider ID: 1400068
8 Hr SAFE Comprehensive NMLS Approved Course Number C-3464
(approved in all 50 states)
1 Hr WA State Law CE NMLS Approved Course Number C-3441
(this is for LOs who are licensed in WA State and is taught along with the all day 8 hour class)

Read more here

Schedule of upcoming classes

To the Students from the October 4, 2011 SAFE LO CE Class at First American Title, Lynnwood

Here are links to some of the things we’ll talk about in class today.

Here’s the WA State Foreclosure Fairness Act and here’s the new WA State Foreclosure Resource Guide This is a VERY GOOD PDF for distressed homeowners.

Here’s our new federal regulator: The Consumer Finance Protection Bureau.,.,..and their request for help and feedback on designing a new TIL and GFE.….and here’s the CFPB Consumer Access website

Here’s Rhonda Porter’s twitter account, which provides a great example of how to follow the new WA State DFI advertising rules.

Here’s the story about the indictment of Shawn Portmann…and the Seattle PI story Tom referenced.

Here’s an article I wrote asking the question: “Are those Cash Call radio ads deceptive?”

and another recent article asking the question: Should All Short Sale Negotiators be Banned?

Here’s more reading material on short sale fraud…Here’s the 2011 Core Logic report.

Here’s a link to the  delinquency graphs I showed at the beginning of class.  Follow the menu at the top of the web site and tab over to ‘delinquencies.’

Here’s Jon Stewart interviewing Elizabeth Warren.

Here’s the Ben Bernanke comments from today’s Econ Outlook.

Here’s Bill Black’s article on Bank of America.

And thanks to Donna Blaylock from Firstam Title and Escrow!

Here’s the firstam demo website.

 

To the Students from the Sept 15, 2011 SAFE LO CE Class at Sterling Savings, Seattle

Here are links to some of the things we’ll talk about in class today.

Thanks so much to Wayne North from the Seattle HUD OIG office for talking w/us about mortgage fraud. Wayne mentioned a case in Bakersfield Calif. Here’s an article about the Crisp mortgage fraud case.

Here’s our new federal regulator: The Consumer Finance Protection Bureau.,.,..and their request for help and feedback on designing a new TIL and GFE.….and here’s the CFPB Consumer Access website

Here’s Rhonda Porter’s twitter account, which provides a great example of how to follow the new WA State DFI advertising rules.

Here’s the story about the indictment of Shawn Portmann that was mentioned by Wayne North from HUD.

Free, HUD-Approved Non-Profit Agencies can be found here for WA State homeowners.

Here’s an article I wrote asking the question: “Are those Cash Call radio ads deceptive?”

I sent an email to Deb Bortner at DFI asking about the Paramount Equity Consent Order:  Q: What is the money used for that DFI collected as a fine from PE?

There was a request for more reading material on short sale fraud…Here’s the 2011 Core Logic report.

there was a request for the delinquency graphs I showed after the Faye v. Santos case.  Follow the menu at the top of the web site and tab over to ‘delinquencies.’