Cx15944 is provided due to the provisions of N.C. Gen. Stat. Ann. § 53-244.109, which requires (in relevant part) the following:
“Any mortgage broker engaged in the mortgage business as defined by G.S. 53-244.030(11)a,. in addition to duties imposed by other statutes or at common law, shall do all of the following:
(5) Timely and clearly disclose to the borrower material information that may be expected to influence the borrower’s decision and is reasonably accessible to the mortgage broker, including the total compensation the mortgage broker expects to receive from any and all sources in connection with each loan option presented to the borrower.”
The North Carolina Commissioner of Banks publishes a model form for this requirement on their website (http://www.nccob.gov/public/FinancialInstitutions/Mortgage/MortgageForms.aspx; “Model Mortgage Broker Disclosure Form”), of which Cx15944 is a duplicate.
We are updating the text of Cx15944 to match the latest version of the model form. Such a revision includes the deletion, in the middle of the first page of the form, of the section disclosing a breakdown of the fees being paid directly or indirectly to the mortgage broker, as well as revising the caption of the loan officer’s signature lines to refer to the “Mortgage Loan Originator” or “MLO,” rather than the “Loan Officer.”
In addition, we will be configuring Cx15944 to print on a generic, rather than an “upon request” basis. It will print under the following conditions:
1. When “Document Package Type” equals “Initial Disclosure” or “Processing.”
2. When “Lender is a Broker” equals “Yes.”
These changes will take effect on January 21, 2014. If you have any questions or concerns about these changes, please contact Client Support at 1.800.497.3584.
January 14, 2014