Vt. Stat. Ann. tit. 8, § 2220 requires the Lender to provide notification to the borrower of any possibility that the lender may change roles in the loan process. VT Application Capacity Notice (Cx4816) is provided to comply with this provision, and prints in Initial disclosures for Vermont loans that have “Lender Is A Broker” set to ‘No’. Cx4816 incorrectly stated that if the lender acted as a lender throughout the loan process, then the lender would provide “a broker/prospective broker agreement.” Docutech has updated this form to correctly state that the lender will provide the borrower with a “Mortgage Loan Commitment Agreement,” per Vt. Admin. Code 4-2-5:4.
This change will be effective on June 21, 2016. If you have any questions or concerns about this change, please contact Client Support at 1.800.497.3584.