There are several lending laws and regulations that require escrowing of taxes, insurance, and similar fees. Not only are there rules that require escrows, the Real Estate Settlement Procedures Act (RESPA) then mandates the accounting for the escrow be maintained pursuant to specific rules. In addition, there are several exceptions in the rules where small servicers are exempt from maintaining escrows if certain requirements are met. Learn about escrow regulations and best practices for managing escrows in your financial institution.
What You’ll Learn
- Escrowing under flood insurance rules – when escrow must be maintained, as well as notices
- Reg. Z escrow rules – HPML rules that mandate escrow accounts, plus opt-out possibilities
- RESPA requirements – what is an escrow account?
- Can we maintain a “voluntary escrow” and avoid the RESPA requirements?
- Calculating the initial deposit into the escrow account – aggregate accounting rules
- How to complete initial and final disclosures with escrow information
- Required notices and statements – initial, annual, and short-year
- The 3 documents that must be sent each escrow accounting year
- Dealing with surpluses, shortages, and deficiencies
Who Should Attend
Anyone on the residential mortgage side of the business who is responsible for establishing or maintaining escrows, as well as attorneys, closing agents, loan officers, compliance officers, auditors, testers, and management will benefit from the information in this webinar.