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Commitment
of a Upfront Mortgage Broker™
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1.
The Lending Lady
will be the customer's representative or agent, and will
endeavor to act in the best interests of the customer.
2.
The broker will
establish a price for services upfront, in writing, based on
information provided by the customer.
*The price may be a fixed dollar amount, a percent of the
loan, an hourly charge for The Lending Lady's time, or a
combination of these.
*The price or prices will cover all the services provided
by The Lending Lady. This includes loan processing, for
which customers always pay The Lending Lady or len der.
*On third party services, such
as an appraisal, ordered by The Lending Lady but paid for
by the customer, The Lending Lady will provide the invoice
from the third party service provider at the customer’s
request. Alternatively, The Lending Lady may have the
payment made directly by the customer to the third party
service provider.
3. Any payments The Lending Lady receives from third parties
involved in the transaction will be credited to the
customer, unless such payments are included in The Lending
Lady's fee.
*If The
Lending Lady's fee is 1 point, for example, and The
Lending Lady collects 1 point from the lender as a “ yield
spread premium”, The Lending Lady either charges
the customer 1 point and credits the customer with the
yield spread premium, or charges the customer nothing and
retains the yield spread premium.
4.
The Lending Lady
will use best efforts to determine the loan type,
features, and lender services that best meet the customer's
needs, and to find the best wholesale price for that loan.
5.
The wholesale
prices from which The Lending Lady's selection is made will
be disclosed at the customer's request.
6.
When directed by the customer,
The Lending Lady will lock the terms (rate, points, and
other major features) of the loan, and will provide a copy
of the written confirmation of the rate lock as soon as it
has been received from the lender.
7.
If a customer
elects to float the rate/points, The Lending Lady will
provide the customer the best wholesale float price
available to that customer on the day the loan is finally
locked.
8.
The Lending Lady
will maintain a web site on which its commitment to its
customers is prominently displayed, along with any other
information The Lending Lady wishes to convey.
Commitment of Upfront Mortgage
Brokers--Copyright Jack Guttentag 2002
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