As 2017 quickly winds down, I want to take this opportunity to wish you a wonderful holiday season. Based on your feedback, we have been on a journey to transform our business to make your experience better.
We know many customers are facing challenges from Hurricane Irma. Here’s a glimpse of how Chase is helping customers in FEMA-declared areas:
- Automatically waiving or refunding through September 24
- Late fees for mortgage, credit card, business banking and auto loans and leases
- Overdraft, service and ATM fees on consumer and business checking and savings accounts
- Automatically starting a 90-day grace period to delay payment on mortgage and home equity payments; we’ll work together with customers on how to catch up on these payments. During the 90-day grace period, we won’t charge late fees or send negative information to the credit bureaus. Learn more.
As announced in CB17-22 Product Updates, Chase removed the following overlays:
- Requirement for escrow holdback funds to be held by title company and allowing funds to be held by Correspondent (applies to Agency and Non-Agency transactions)
- Requirement for Solar Panel Questionnaire Form has been removed (applies to Agency and Non-Agency transactions)
- Comparable Sales for Agency transactions
- Employment contract overlay for Agency transactions
As a reminder, the Agencies will require the UCD file for all loans delivered with Note dates on or after September 25, 2017.
What do I need to know or do?
- Correspondents must assign/transfer the UCD file to Chase prior to loan delivery
- Lenders must submit their UCD files to both Agencies and provide Chase with proof of a successful submission by including a copy of both of the UCD Feedback Certificates with the closed loan package
- All pages of the UCD Feedback Certificate must be provided, including all edit messages
- Successful UCD submission response validates the UCD file has met the Agency requirements
- Correspondents and technology solution providers are encouraged to take advantage of the UCD file validation and testing offered by the Agencies to ensure the XML file maps to MISMO V3.30 and UCD data requirements
- Review and update your internal processes and procedures to support these changes, as needed
The DU-LP Overlay Matrix and Government Overlay Matrix were updated as follows for Hazard Insurance:
For individual hazard insurance policies, the amount of coverage must be lesser of:
- 100% of the insurable value of the improvements as established by the insurer, or
- Unpaid Principal Balance (insurance cannot go below 80% of the insurable value)
Note: Flood and master policy requirements remain the same.
For complete details, review CB17-17 Hazard Insurance Updates.
To align with Agency requirements, the Agency High Balance products were updated to indicate cash-out refinances are available on second home and investment transactions.
For complete details, review CB17-19 Product Updates.
We're Right Here providing tools and resources you need for your Delegated Non-Agency business. Chase introduces self-service training featuring Underwriting Hot Topics. You have the option to download the training presentation or view a recorded session hosted by a Chase subject matter expert. Updates will be provided on a monthly basis to provide additional support for your Delegated Non-Agency loans.
Download the training presentation or view the recording by visiting the ChaseLoanManager Resource Center. From the home page, go to Topics > Underwriting.
Based on your feedback, we have removed additional overlays and in most cases are aligning to Agency guidelines. For complete details and effective dates, review CB16-44 Overlay Removals and Matrix Updates.
We're right here making it easier to do business by removing several overlays for FHA and VA loans. From credit score to LTV and 4506-T, we continue to act on your feedback.
J.P. Morgan has released their summer reading list which was chosen from nearly 450 works of nonfiction nominated by our offices around the world. Click here to view the 10 titles that encompass themes from the historical to the creative, from the scientific to the visionary.
Based on loans recently reviewed, we have developed these resources which can help manage your pipeline and drive down suspense rates when submitting Non-Agency loans to Chase. Resources are available in the ChaseLoanManager Resource Center:
- Non-Agency Collateral Best Practices Job Aid
- Non-Agency Appraisal Underwriting FAQs
- Delegated Non-Agency Underwriting Training Presentation
Effective with Best Efforts loans locked and Mandatory Commitment taken on or after January 4, 2016, Chase has removed the down payment overlay and updated Eligible Funds section in the Agency Amortizing ARM, Fannie Mae Amortizing Fixed and Freddie Mac Amortizing Fixed guides to indicate:
Gifts permitted for Primary Residence and Second/Vacation Homes:
- 1 Unit Primary Residence: Gift funds may fund all or part of the down payment and closing costs
- 2-4 Unit Primary and 1 Unit Second Homes: Minimum 5% from borrower’s own funds required for LTV/CLTV/HCLTVs >80%
See CB15-67 for additional details.
Chase will remove the requirement for Rent Loss insurance for all investment properties when rental income is used to qualify.
Note: Chase will continue to require the co-op corporation to maintain Rent Loss insurance when there are co-op units not occupied by tenant-shareholders Disaster Inspections
Our obligation to veterans and their families does not end when they take off the uniform.
We know many of you were impacted by Hurricane Harvey and hope you are safe. Chase stands by the Greater South and Houston communities and is committing $1 million for relief efforts, including those of the American Red Cross and other nonprofits.
Did you know? Transport Layer Security (TLS) is a secure way to email Chase without using iSentry. It automatically encrypts all content except the Subject Line. Both the sender and recipient can send emails normally and avoid logging into a separate system.
If you need technical support for Enforced TLS, contact Application Support at:
- (877) ASK-CHASE (275-2427), Option 4
The overlay for corporate relocations on Agency loans was removed. The guides were also updated to indicate loans meeting the applicable Agency requirements are eligible for delivery to Chase. For complete details, review CB17-22 Product Updates.
As announced in CB17-19 Product Updates, requirements for Chase-to-Chase VA IRRRL (Interest Rate Reduction Refinance Loan) transactions to be income qualified were removed.
Note: Minimum 640 credit score requirements continue to apply.
Based on your feedback, the Chase Funding Request Form was simplified and consolidated to two pages.
This updated Funding Request Form can be found in the Chase Online Guide.
Do you have customers ask what they need to do after closing? Chase now offers a Next Steps flyer providing these details. This helpful tip sheet details what borrowers should do 7-10 days after closing, how to schedule their first payment and the mortgage tools available to them at chase.com/MyHome. Shipping is free and the inserts come 25 per pack. To place your order, simply send us an email with your mailing address.
As our valued partner, we are providing awareness to the upcoming Uniform Closing Dataset (UCD) requirements that will impact the way you do business.
What is the Uniform Closing Dataset?
The UCD is a common industry dataset that allows information on the TILA/RESPA Closing Disclosure to be communicated electronically. The GSEs have developed the UCD as part of the Uniform Mortgage Data Program® (UMDP), an ongoing initiative to enhance loan quality and consistency for single-family loans.
What do I need to know?
In 2017, all lenders will be required to provide all data on the Closing Disclosure for Agency transactions electronically to the GSEs. Each GSE will implement its own separate collection solution for lenders. Collection and delivery of the UCD will be mandated on September 25, 2017.
This will improve the accuracy of how the Closing Disclosure information is communicated.
What if I don't sell directly to the Agencies?
The Agencies will allow you to submit data to the UCD portal even if you are not a direct seller. Chase will require that all lenders submit their UCD files to both GSEs and provide proof to Chase of a successful submission via the UCD Findings Report. You will receive more information regarding Chase's requirements in upcoming Bulletins.
Where can I find more information?
Based on your feedback, we have removed additional overlays for FHA and VA transactions. For complete details and effective dates, review CB16-44 Overlay Removals and Matrix Updates.
We're right here supporting you. Chase has gathered the following TRID FAQs from customers and will continue to update this information based on your feedback. Visit this page often to check for updates.
If you have additional questions, please contact Correspondent Customer Support at (877) ASK-CHASE, Option 7, Option 1 or email@example.com.
New Condo Project List
The Chase Condominium Project List is updated daily and contains projects that are currently approved or declined by Chase. Projects appearing on this list as Approved are eligible for FNMA, Freddie Mac and Non-Agency transactions. This tool replaced the Declined Condo List on the ChaseLoanManager Resource Center.
Chase is enhancing the Condominium Project Review Investor Concentration to allow project approval with 50% investor concentration for Agency and Non-Agency Loan products. See CB15-69 for complete details and effective dates.