The Denial/Withdrawn letter can be used in the event that a loan file is denied, withdrawn or cancelled in MortgagebotLOS. Users can edit or print this screen if they have the applicable user rights.
Borrower name and address information is disabled and populates from Forms & Docs > 1003 > Borrower tab.
Loan Amount, Interest Rate and Term information is disabled and populates from Forms & Docs > 1003 > Terms tab.
The Mailed On date field is used to clear the Compliance Alert > ECOA Decision Delivery Notice Delivery > Date Decision Sent.
Tip: The Mailed On date for the Commitment Letter will clear the ECOA Decision Notice Delivery compliance alert as well, if applicable.
If the application is a denial, a date can be entered in the Date Denied field.
Tip: If set-up on the Admin Site, the loan status will automatically update to Denied.
If the application is cancelled, a date can be entered in the Date Cancel/Withdrawn field.
Tip: If set-up on the Admin Site, the loan status will automatically update to Cancelled.
If the application is withdrawn, a date can be entered in the Date Cancel/Withdrawn field along with marking Withdrawal By Applicant check box in the reason for denial > section E. Other.
Tip: If set-up on the Admin Site, the loan status will automatically update to Withdrawn.
If a counter offer exists, users can mark the Contains Counter Offer check box. A text box will open and users can type in the counter offer details. Users will enter the date in which the applicant must accept the counter offer in the date field.
The next section is available to mark all the check boxes that apply to why the application was denied or withdrawn. If there are multiple borrowers on the loan, each borrower will be listed next to Select a Borrower: in the section header. Users can mark specific reasons for denial for each borrower.
If the Information obtained in a report from a consumer reporting agency is marked and credit is submitted though MortgagebotLOS, the credit information will populate on the printed Denial letter.
Users can mark the applicable check box for Information obtained from an outside source other than a consumer reporting agency.
If the Additional Statement check box is marked, an open text box will appear and additional text can be entered for the Denial letter.
The Completion of letter by will populate with the first user to access the Denial/Withdrawn screen, however, with the applicable user rights, these fields can be manually updated if needed.
There are three drop-down lists available to indicate HMDA Reasons for Denial. This information will populate to Top Navigation > Reports > Compliance > HMDA Reports.
Tip: If Forms & Docs > U/W Conditions/Decision > Underwriting Status > Denied is selected, the HMDA Reasons for Denial fields will be available to fill out here as well. If they are completed on the U/W Conditions/Decision screen, they will populate to the Denial/Withdrawn Letter as well.
If Date Excluded From HMDA is entered, the loan will not populate to Top Navigation > Reports > Compliance > HMDA Reports.
Users can also enter Date Pre-Approval Denied and Date Pre-Approval Not Accepted if applicable.
Once the screen has been completed, click save. On the left-side navigation > Denial Letter, click on the print icon. A Print Denial Letter screen will populate. Select the borrower name or SSN hyperlink to view the printable version of the denial letter for that specific borrower.