Cx2783 is a multi-state document which is provided for various states which require a written agreement in connection with the collection of advance fees (e.g. application, appraisal, and credit report fees).
One of the states that require this agreement is Tennessee, as follows:
“If a deposit is required in connection with an application for a residential mortgage loan, there shall be a written agreement, signed by the parties, pertaining to the disposition of the deposit, whether the loan is finally consummated or not, and the term for which the agreement is to remain in force before return of the deposit for nonperformance can be required. A licensee who receives deposits shall preserve and on request make available to the commissioner all information related to the deposits. The licensee shall further preserve all agreements between the parties involved in the transaction and all contracts, agreements and instructions pertaining to the transaction.” (Tenn. Code Ann. §45-13-206[c])
Originally, Cx2783 was provided pursuant to the provisions of Tenn. Code Ann. §45-13-109(c), which were substantially similar to those set forth in §45-13-206(c), but which was repealed. Cx2783 will now be re-configured for Tennessee, due to the provisions of the latter section.
These changes will take effect July 7, 2012. If you have any questions or concerns about these changes, please contact Client Support at 1.800.497.3584.
July 2, 2012
DR 126005