Washington Origination Reference Guide
- Kacey Olson
Owned by Kacey Olson
Aug 30, 2017
4 min read
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| Citation | Topic | Requirement |
| Consumer Loan Act / Wash. Admin. Code §208-620-513 | Copies of Disclosures to Broker | A mortgage lender must also provide copies of any disclosures provided to the borrower to a mortgage broker, following the initial disclosures, within 10 business days of providing the disclosures to the borrower. |
Mortgage Broker Practices Act / Wash. Rev. Code Ann. §19.146.080 | Copies of Third Party Services | If a borrower is unable to obtain a loan for any reason and the borrower has paid the mortgage broker for third-party provider services, and the borrower makes a written request, the licensee must provide the borrower with copies of the product from any third-party provider. These products include, but are not limited to, an appraisal, title report, or credit report. The copies must be provided within 5 business days of the borrower's request. |
| Consumer Loan Act / Wash. Admin. Code §208-620-700(3) | Dual Capacity Disclosure - CLA | A mortgage loan originator may act as a loan originator and a real estate agent in the same transaction or for the same borrower in different transactions. If either of these occur, the loan originator must provide to the borrower a Dual Capacity Disclosure. |
| Mortgage Broker Practices Act / Wash. Rev. Code Ann. §19.146.0201(14) | Dual Capacity Disclosure - MBPA | In transactions in which a loan originator also acts or has acted as a real estate broker, prior to providing mortgage services to a borrower, the loan originator, in addition to other disclosures required by the MBPA and other laws, must provide to the borrower a Dual Capacity Disclosure. |
| Consumer Loan Act / Wash. Rev. Code Ann. §31.04.530(1) | Important Notice to Reverse Mortgage Loan Applicant | A lender must provide notice to an reverse mortgage applicant within 3 business days of receipt of a completed loan application. |
| Consumer Loan Act / Wash. Admin. Code §208-620-510(3) | Interest Rate Lock Agreement | Within business 3 days (including Saturdays) of receipt of a residential loan application a lender must provide the borrower with the following disclosure about the interest rate: (1) if a rate lock agreement has not been entered into, that the disclosed interest rate and terms are subject to change; or (2) if a rate lock agreement has been entered into, the lender must disclose to the borrower whether the rate lock agreement is guaranteed, whether and under what conditions any rate lock fees are refundable to the borrower, and (i) the number of days in the rate-lock period; (ii) date of the lock and expiration date of the rate lock; (iii) the rate of interest locked; (iv) any other terms of the rate lock agreement; and (v) the date the rate lock agreement was provided to the borrower. With respect to item (1) above, compliance with the federal good faith estimate or loan estimate will be deemed to be sufficient. If the borrower wants to lock the rate after the initial disclosure, a lender must provide a rate agreement within 3 business days of the rate lock date that includes the information included in item (2) above. |
| Consumer Loan Act / Wash. Rev. Code Ann. §31.04.284 | NMLS Unique Identifier | The unique identifier of any mortgage loan originator must be clearly shown on all residential mortgage loan application forms, solicitations, or advertisements, including business cards or web sites, and any other documents as established by rule, regulation, or order of the Department of Financial Institutions (Department). This requirement does not apply to consumer loan companies. |
| Business Regulations - Miscellaneous / Wash. Rev. Code Ann. §19.36.140 | Oral Agreement Notice | A lender must give a borrower an oral agreement notice on a separate document or incorporated into 1 or more of the documents relating to a credit agreement. The notice must be in type that is bold face, capitalized, underlined, or otherwise set out from surrounding written materials so it is conspicuous, and must state substantially the following: Oral agreements or oral commitments to loan money, extend credit, or to forbear from enforcing repayment of a debt are not enforceable under Washington law. |
| Mortgage Insurance / Wash. Rev. Code Ann. §61.10.020 | Private Mortgage Insurance Disclosure | If a borrower is required to obtain and maintain mortgage insurance as a condition of entering into a residential mortgage transaction, the lender must disclose to the borrower whether and under what conditions the borrower has the right to cancel the mortgage insurance in the future. The disclosure must be made in writing at the time the transaction is entered into, at no cost to the borrower. |
| Unfair Practices and Frauds / Wash. Rev. Code Ann. §48.30.260 | Right to Choose Insurance Provider | Every borrower, when property insurance of any kind is required in connection with the loan, must have reasonable opportunity and choice in the selection of the agent, broker, and insurer providing insurance. Every person who lends money or extends credit and who solicits insurance on real and personal property must explain to the borrower in prominently displayed writing that the insurance related to the loan or credit extension may be purchased from an insurer or agent of the borrower's choice, subject only to the lender's right to reject a given insurer or agent. |
| Consumer Loan Act / Wash. Admin. Code §208-620-510(5) | Shared Appreciation Mortgage Disclosure | A lender must provide a borrower with a written disclosure within 3 business days following receipt of a loan application for a shared appreciation mortgage (SAM), or a mortgage with a shared appreciation provision. |
| Residential Mortgage Loan Closing - Valuation Disclosure / Wash. Rev. Code Ann. §19.149.020 | Waiver of Residential Property Value Report(s) | Prior to the closing of a purchase money residential mortgage loan, a lender must provide to the borrower, true and complete copies of all appraisals or other documents relied upon by the lender in evaluating the value of the dwelling to be financed. A borrower may waive in writing the lender's duty to provide the appraisals or other documents prior to closing; however, this written waiver will not any way limit the lender's duty to provide the information to the borrower at a reasonable later date. |
| Mortgage Loan Servicing / Wash. Rev. Code Ann. §19.148.030 | Transfer of Servicing Notice | Must be provided at or prior to the loan closing if the servicing for the loan is subject to sale, transfer, or assignment. |