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# What's New 2014

The following describes key enhancements and important changes made to the product.

Date | Description
--- | ---
12/30/14 | Regulation Z requires particular disclosures to be made, and establishes limitations on some features, for certain mortgage loans that are high-cost (HOEPA). Regulation Z also establishes limitations on mortgage loans that meet the definition of a Qualified Mortgage (QM). The points and fees for the loan are a measure of determining whether the total points and fees are above the HOEPA or the Qualified Mortgage (QM) thresholds. Please, review the following, if you made closed-end loans covered by HOEPA requirements, or made loans under the Qualified Mortgage (QM) rules, with financed fees that do not affect the APR, between November 6, 2014 and December 19, 2014: We identified and corrected an issue that could affect loans covered by HOEPA requirements for closed-end loans (that is, non-exempt consumer, closed-end, principal-dwelling secured transactions), or loans made under the Qualified Mortgage (QM) rules (non-exempt consumer, closed-end, dwelling-secured loans). Please, read the information below to determine, if this issue affected your loans. The points and fees thresholds for purposes of HOEPA and QM determination are based on the percentage of the “total loan amount,” among other factors. Review the loans that you made between November 6, 2014 and December 19, 2014. If you made a loan with fees that you indicated as not affecting the APR and financed, the loan may have been incorrectly identified as not high cost, or as meeting Qualified Mortgage (QM) requirements. This may have occurred because the “total loan amount” was overstated by the amount of financed fees that do not affect the APR for loans that included such fees. Because percentage calculations were based on an overstated amount, some loans may have been determined not to exceed the HOEPA or QM points and fees thresholds although they did exceed the thresholds. We corrected this issue on December 19, 2014. This change became available immediately and was not part of a release. Note: If you have closed transactions in our production environment, it is likely that you do not have loans that were affected by these issues, but it is important for you to review your loans because there are penalties for violating HOEPA requirements; the loan could lose the Qualified Mortgage (QM) status; and there may be ways to cure some violations. The Truth-in-Lending Act (TILA) states: “A creditor…has no liability…for any failure to comply with any requirement imposed under this chapter…if within sixty days after discovering an error…the creditor or assignee notifies the person concerned of the error and makes whatever adjustments in the appropriate account…” See 15 USC §1640(b). In addition, 12 C.F.R. 1026.31(h) describes cure options for HOEPA loans and 12 C.F.R. 1026.43(e)(3)(iii) – for Qualified Mortgages (QM). These rules are complicated, and you will need to consult with your attorney, if you have any loans that are affected.
12/09/14 | The Loan Amount from the Calculations page defaults to the Maximum Amount Secured on the Mortgage/Deed of Trust. A creditor can be added to the liabilities on the Financial Analysis page.
11/18/14 | The product is defaulting totals based on data from the Calculations page for Estimated Prepaid Items, Estimated Closing Costs, PMI, MIP, Funding Fee, Discount (if Applicant will pay) and Applicant's closing costs paid by Seller within the Transaction Worksheet section of the Credit Application Real Estate document and the Details of Transaction on the Uniform Residential Loan Application. The product provides a validation warning on the Print page when more than 30 fees have been entered on the transaction. The Escrow Payment Date now saves the date if you manually entered it and did not use the calendar for selecting the date. The product supports being able to disclose a fee at application time and not charge it at closing time. The product supports printing the amount of interest per day to the Good Faith Estimate regardless if there are odd days to the first payment. There was an issue with document policies in Administration, the Payment cut off time if before lobby closing under the Mortgage Loan Payments section was not saving. The issue has been fixed.
11/06/14 | When recalling existing transactions in the Customer Test environment that were created prior to this release any fees entered during the application phase will be gone. This is because of changes made to make sure the data was printing correctly on the HUD Settlement Statements. Please create new transactions for your testing. There is an issue we are researching regarding the Federal HOEPA APR for variable rate transactions that have a premium or discounted rate and PMI is applicable. The Actual APR shown on the Wiz Sentinel report is overstated; therefore, there is the potential that a determination would indicate that the loan is a high cost loan based on the APR test when in fact it shouldn’t.
10/24/14 | The product supports the ability to leave the Variance Type blank. This gives you the flexibility to exclude items, such as non-borrower paid fees, from the comparison chart found on the Calculations page during the closing phase. Additional policy items have been added into Administration. Affiliated Business Arrangements - Service Providers can be defined which will trigger the Affiliated Business Arrangement Disclosure during the application phase. Application Documents - Include or exclude some optional documents based on your business practice. Closing Documents - Include or exclude some optional documents based on your business practice, define some terms on accepting mortgage loan payments, and select the type of home ownership counseling agencies. Signatures - Include or exclude attest lines, lender signatures, seals, and witness lines . The preparer information from the flood certification is printed on the Standard Flood Hazard Determination.
10/07/14 | When completing a transaction where the first payment is due on any day except for the last day of the month, for example, 11-1-2014, and the policy had If the first payment is due on the last day of the month make all subsequent payments occur on the last day of the month indicator set to true, incorrect language was printing on the Note. Even though the payment was not due on the last day of the month, the Note was printing "A payment of $977.84 will be due on November 1, 2014 and on the last day of each month... ". This issue has now been fixed.
9/12/2014 | The product supports requesting a flood determination using the Flood menu option. The product supports selecting a loan officer for the transaction on the Loan Defintion page.
08/26/2014 | The product supports running Ability to Repay (ATR), Home Ownership and Equity Protection Act (HOEPA), Higher-Priced Mortgage Loans (HPML) and Qualified Mortgage (QM) determinations. The product supports doing a credit check with CBC Innovis or Kroll Factual Data.
08/05/2014 | The product supports creating variable rate transactions. The product supports a simplified Adjustable Rate Mortgage Early Disclosure for variable rate transactions.