Intent to proceed legal obligation mortgage

Is the receipt of Intent to Proceed required from only one applicant in the case of multiple applicants?

One and done, unless you require all:

2. Intent to proceed. Section 1026.19(e)(2)(i)(A) provides that a consumer may indicate an intent to proceed with a transaction in any manner the consumer chooses, unless a particular manner of communication is required by the creditor. The creditor must document this communication to satisfy the requirements of § 1026.25.

_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

37(a)(5) Applicants.
1. Multiple consumers. If there is more than one consumer applying for the credit, § 1026.37(a)(5) requires disclosure of the name and the mailing address of each consumer to whom the Loan Estimate will be delivered . If the names and mailing addresses of all consumers applying for the credit do not fit in the space allocated on the Loan Estimate, an additional page with that information may be appended to the end of the form. For additional information on permissible changes, see § 1026.37(o)(5) and its commentary.

We send disclosures by mail. For multiple borrowers, if you put a unique address for each borrower on the LE are you then required to mail each borrower the LE?

You need to look back to the disclosure requirements. Look at the 2nd comment to 1026.17(d).

You only need to send a copy to one borrower, which then means you'll only have one address. If there are other consumers with ROR then they should have the same address. Only scenario I can think of when you'll have multiple mailing addresses is when the borrower is using someone else's primary dwelling as collateral. You'll have to mail to the borrower's address and to primary owner's address.

You could have 4 borrowers with 4 addresses. Those will generally all be detailed with their individual addresses on an Addendum. You do NOT have to deliver the LE to all. The only time you ever deliver more than one is when you have more than one party with rescission rights and are delivering the CD. Even if they reside at the same address, you will want to seriously consider mailing to each person individually at that address

_________________________
My opinion only. Not legal advice.

Say you'll haunt me - Stone Sour

Just to emphasize what RRJ said -- You only need to provide one LE, regardless. And you only need to provide one CloD unless there are rescission rights involved, in which case a borrower who will be primarily liable and each consumer with rescission rights gets a copy of the CloD. But only borrowers are identified on the CloD under TRID 2.0.

_________________________
John S. Burnett
Bankers Online .com
Fighting for Compliance since 1976
Bankers' Threads User #8

Correct, my point was that if you have 4 borrowers with 4 different addresses then you only have to deliver to one, so you only need one address on the LE. I agree that you do need to deliver the CD to all consumers with right to rescind, but since they have the same address then again you will only have one address on the CD. Not sure why you would have an addendum for other mailing addresses in either situation. I guess it depends on how your loan document system is setup.

It's possible you would have four borrowers -- two couples (the Smiths and the Johnsons) who live at two separate addresses -- who are borrowing and who co-own a vacation home that's securing the loan. When you get to the CloD, even if you're only providing one CloD to Maryanne Smith -- no rescission here; it's a vacation home -- you list four borrowers and their mailing addresses, which means you will have four name and two addresses. And you will have an addendum.

Maryanne and John Smith
123 Smith Ave
Smithtown NY 12345

Sally and Frederick Johnson
456 Main St
Chappaqua, NY 12346

_________________________
John S. Burnett
Bankers Online .com
Fighting for Compliance since 1976
Bankers' Threads User #8