has released a new offering, Date Forward, that allows lenders to accurately disclose closing costs to borrowers even if the fees are scheduled to change before the closing date, thus protecting them from TRID violations. Date Forward allows the lender to estimate fees accurately as of the expected closing date, not just the application date.
"Fees change all the time. Last year we saw over 12,000 fee changes, a record high from previous years," said Gregory E. Teal, President and Chief Executive Officer of Ernst Publishing. "This exposes the lender to significant risk, especially in a purchase money environment where taking the time to re-disclose is subject to the three-day change of circumstance requirement. Not re-disclosing means lender cures. Date forward gives the lender the confidence to disclose the fees accurately from their first quote, even if they will change before the loan gets to the closing table."
Last year, Ernst's systems found that fee changes handed down by County Recorders in the state of Louisiana alone resulted in millions of dollars in additional fees for consumers. Lenders that failed to disclose these additional fees were forced to choose between delaying the closing or paying the difference themselves.
Ernst's patented monitoring program works together with its date forward calculator to validate for the lender and title closing agent that the anticipated fee change actually went into effect. Together the two programs provide a complete solution for disclosing accurate closing costs, even if they change during loan processing.