Mid America Mortgage Seeking TRID Scratch & Dent Mortgages

Mid America Mortgage Inc. Owner and Chief Executive Officer Jeff Bode has announced the firm’s interest in purchasing Scratch & Dent loans with TILA-RESPA Integrated Disclosure (TRID) infractions, even if a previous investor has rejected the loan for purchase.

“With TRID now in effect for two months, loans with the new disclosures have begun making their way to investors and been rejected for purchase due to minor TRID infractions to more significant errors. It is to be expected, with a change this voluminous, to have errors during the first months of loans,” Bode said. “While the industry has diligently striven to have systems in place, training delivered, and testing fully vetted, errors cannot be completely avoided. Mid America feels confident in its ability to cure these defects while providing lenders with an outlet for investor-rejected TRID loans."

Examples of defects include:

►Disclosure timing outside of required timelines
►Missing NMLS information
►Missing real estate broker information
►Extraneous logos on the Loan Estimate (LE) or Closing Disclosure (CD)
►Title fees missing and/or not including “Title” before the fee name