Wells Fargo Newsflash C11-061 dated October 26, 2011 modified earlier Newsflash C11-048 by removing the state limitation on the two month escrow cushion for the RD annual fee. The newer Newsflash in part states:
An escrow reserve of two months’ annual fee payments is required for all GRH Loans delivered to Wells Fargo for purchase. State restrictions applicable to escrow “cushions” do not apply to the escrow reserve of annual fee payments.
Therefore, effective today ConformX will set the cushion on the RD annual fee for Wells Fargo loans to two months to ensure compliance with this requirement.
December 2, 2011