Tweet
Application gets to me for processing. $40,000 home equity loan. Paying off the existing home equity loan with us, with $15,000 cash out
Initial comments in the application from the loan officer include:
"borrower needs 10-15k for home repairs"
I prepare a loan estimate and send to the borrower, along with other initial disclosures, which includes a mention of $25k toward payoffs and $15k cash out.
We are insane slammed, so initial phone calls are being done by a temp. We have a script, which basically starts with "did you receive and review the initial disclosures?" IF borrower states yes ask "Do you intend to proceed?" According to the temp, customer agreed that the disclosures were reviewed and was good to proceed.
As an additional, the disclosure copies sent via a document signer programs were "signed" electronically.
I process the loan services, get everything ready for closing. Let the customer know I need to send a Closing Disclosure 3 business days ahead of the closing appointment (if emailed).
Closing disclosure details the payoffs, which is the current home equity . Also states, on the first page that there is $15k cash out going to the borrower.
Customer electronically signs that the closing disclosure was reviewed.
Borrowers actually do the closing appointment with a loan officer. Physical signatures. Can't say how well the loan officer went over the paperwork, but the closing disclosure is physically signed. Copy of all paperwork provided to the borrowers.
Three day right to cancel passes.
New home loan funds. $25k payoff off the old home loan. $15k deposits to the customer's account.
Less than an hour later, customer is at the branch screaming at a loan rep who was not part of any of this that they needed $40,000 cash out.
...
But it gets worse.
Because it goes to my manager.
And my manager is all "well you need to make sure they understand the old loan is being paid off"
really?
REALLY?
I have a three layer thick WRITTEN verification that the customer was disclosed this, plus the original loan officer's notes (who you didn't even wait to ask about it, they being off work today) and a closing loan officer who may or may not have spelled out that point again (also out of office today
) but because I cannot say that I personally explained this point verbally over the phone to the customers, this is my fault?
I need to make sure they understand...?
I am working 50 hours a week and do not have the time to make my own initial calls, which is why YOU hired a temp. When I set up a closing appointment, I go over closing date, what to bring to closing, right to cancel period, 1st payment date and the fact that I will be sending a closing disclosure that you need to review at least 3 days before closing so you can make certain everything is correct or if you have any questions before coming in to sign. Would you like me to READ the closing disclosure word for word to the customer?
But yeah. This is my fault.
And now I get to do a no-charge refinance for the customers for "customer service".
..guess maybe I'm a bit more upset at my manager than the customer. Why do we even have disclosures if you aren't going to read them?
Initial comments in the application from the loan officer include:
"borrower needs 10-15k for home repairs"
I prepare a loan estimate and send to the borrower, along with other initial disclosures, which includes a mention of $25k toward payoffs and $15k cash out.
We are insane slammed, so initial phone calls are being done by a temp. We have a script, which basically starts with "did you receive and review the initial disclosures?" IF borrower states yes ask "Do you intend to proceed?" According to the temp, customer agreed that the disclosures were reviewed and was good to proceed.
As an additional, the disclosure copies sent via a document signer programs were "signed" electronically.
I process the loan services, get everything ready for closing. Let the customer know I need to send a Closing Disclosure 3 business days ahead of the closing appointment (if emailed).
Closing disclosure details the payoffs, which is the current home equity . Also states, on the first page that there is $15k cash out going to the borrower.
Customer electronically signs that the closing disclosure was reviewed.
Borrowers actually do the closing appointment with a loan officer. Physical signatures. Can't say how well the loan officer went over the paperwork, but the closing disclosure is physically signed. Copy of all paperwork provided to the borrowers.
Three day right to cancel passes.
New home loan funds. $25k payoff off the old home loan. $15k deposits to the customer's account.
Less than an hour later, customer is at the branch screaming at a loan rep who was not part of any of this that they needed $40,000 cash out.
...
But it gets worse.
Because it goes to my manager.
And my manager is all "well you need to make sure they understand the old loan is being paid off"
really?
REALLY?
I have a three layer thick WRITTEN verification that the customer was disclosed this, plus the original loan officer's notes (who you didn't even wait to ask about it, they being off work today) and a closing loan officer who may or may not have spelled out that point again (also out of office today
) but because I cannot say that I personally explained this point verbally over the phone to the customers, this is my fault?I need to make sure they understand...?
I am working 50 hours a week and do not have the time to make my own initial calls, which is why YOU hired a temp. When I set up a closing appointment, I go over closing date, what to bring to closing, right to cancel period, 1st payment date and the fact that I will be sending a closing disclosure that you need to review at least 3 days before closing so you can make certain everything is correct or if you have any questions before coming in to sign. Would you like me to READ the closing disclosure word for word to the customer?
But yeah. This is my fault.
And now I get to do a no-charge refinance for the customers for "customer service".
..guess maybe I'm a bit more upset at my manager than the customer. Why do we even have disclosures if you aren't going to read them?
Comment