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# What is the purpose of 'Payment Attributable to Borrower'

The Payment Attributable to Borrower option is used to indicate Transfer Taxes that should be disclosed on the Loan Estimate. Transfer Taxes that are attributable to the Borrower (i.e. the Transfer Taxes amount that the Borrower is liable for and should be prepared to pay in the transaction) must be disclosed on the Loan Estimate.

Loan Estimate – Fee Detail

Within Administration, Payment Attributable to Borrower is available for Transfer Taxes.

Administration > Fees and Charges

For transactions with policy groups, users should go into Administration and select Payment Attributable to Borrower on any Transfer Taxes that they want indicated as Payment Attributable to Borrower at transaction time.

For transactions without a policy group, users need to make the appropriate Payment Attributable to Borrower selection at transaction time.

In the Application Phase, Payment Attributable to Borrower is available for Transfer Taxes and defaults as selected when Transfer Taxes is selected and the fee is Paid By Borrower.

Closing Disclosure – Fee Detail

When completing the Closing Disclosure, it is important to remember that Fee Detail (for any fee, including Transfer Taxes) impacts the Closing Disclosure as follows:

- Fees that were disclosed on the Loan Estimate will be included in Total Closing Costs (J) in the Loan Estimate column of the Calculating Cash to Close table.
- Fees that were NOT disclosed on the Loan Estimate, but apply at closing, will be included in Closing Cost Details and (if Paid By = Borrower) in Total Closing Costs (J) in the Final column of the Calculating Cash to Close table.
- Fees with Variance Type of 10% or 0% that apply at closing will be considered in the comparison of Loan Estimate and Closing Disclosure fees for good faith (i.e., tolerance) purposes.

For Transfer Taxes, specifically, selecting Payment Attributable to Borrower in the Application Phase (or in a Policy Group) indicates that the Transfer Taxes amount should be disclosed on the Loan Estimate. Such a fee will be included in Total Closing Costs (J) in the Loan Estimate column of the Calculating Cash to Close table of the Closing Disclosure, and will be considered in the comparison of Loan Estimate and Closing Disclosure fees for good faith (i.e., tolerance) purposes according to the selected Variance Type.

Leaving Payment Attributable to Borrower unselected indicates that the Transfer Taxes amount should NOT be disclosed on the Loan Estimate. If such a fee applies at closing, it will NOT be included in Total Closing Costs (J) in the Loan Estimate column, but WILL be included in Closing Cost Details and (if Paid By = Borrower) in Total Closing Costs (J) in the Final column of the Calculating Cash to Close table of the Closing Disclosure. The user must select the appropriate Variance Type in Fee Detail for tolerance comparison purposes.