12 USC 2605(e) creates a duty of a loan servicer to respond to the inquiries of borrowers regarding loans covered by RESPA. If the borrower believes there is an error in the mortgage account, he or she can make a "qualified written request" to the loan servicer. The request must be in writing, identify the borrower by name and account, and include a statement of reasons why the borrower believes the account is in error. The request should include the words "qualified written request". It cannot be written on the payment coupon, but must be on a separate piece of paper. The Department of Housing and Urban Development provides a sample letter.
The servicer must acknowledge receipt of the request within 20 days. The servicer then has 60 days (from the request) to take action on the request. The servicer has to either provide a written notification that the error has been corrected, or provide a written explanation as to why the servicer believes the account is correct. Either way, the servicer has to provide the name and telephone number of a person with whom the borrower can discuss the matter.
The Louisiana Qualified Written Request (BWR) is an important provision under Section 6 of the Real Estate Settlement Procedures Act (RESP) that provides homeowners in Louisiana with a recourse to inquire, dispute, or seek clarification regarding their mortgage loans. A BWR enables borrowers to request specific information and documentation from their loan services, ensuring transparency and accountability in the mortgage lending process. Here's a detailed description of the Louisiana Qualified Written Request under Section 6 of RESP: A Louisiana BWR, as outlined in Section 6 of RESP, allows borrowers to assert their rights and receive a formal response from their loan services when a mortgage is in question. This powerful tool empowers homeowners to challenge errors, discrepancies, or potential violations in the servicing of their mortgage loans, ensuring fair treatment and protection of their rights. The BWR provision obligates loan services to promptly acknowledge receipt of the written request and investigate the matter within strict timelines. The Louisiana BWR can cover various aspects related to a mortgage loan, including but not limited to: 1. Loan payment accounting: Borrowers can request an explanation of how their mortgage payments are applied, including the principal, interest, fees, and escrow amounts. This helps clarify any confusion or concerns over the loan's payment calculation. 2. Escrow accounts: Homeowners can request an itemized breakdown of their escrow account, detailing how funds are allocated for taxes, insurance, and other relevant expenses. This ensures transparency in handling escrow funds. 3. Loan ownership and assignment: Borrowers have the right to request information regarding the ownership and assignment of their loan. This includes the identification of the current loan owner and any transfers, assignments, or sales of the mortgage note. 4. Verification of debt: Louisiana BWR allows borrowers to seek written proof of the validity and amount of the debt, including information about the original loan contract, note, and any subsequent modifications. 5. Halt foreclosure proceedings: In certain cases, a BWR can be utilized to halt foreclosure proceedings temporarily, giving homeowners an opportunity to resolve any issues or disputes arising from their mortgage loan. If there are different types of Louisiana Qualified Written Requests under Section 6 of RESP, they are not explicitly mentioned in the RESP law itself. However, borrowers may customize there Was to address specific concerns, issues, or requests related to their mortgage loans, as long as they adhere to the general provisions set forth in Section 6 of RESP. In conclusion, the Louisiana Qualified Written Request under Section 6 of RESP offers homeowners in Louisiana a mechanism to seek information, address concerns, and resolve disputes related to their mortgage loans. This provision ensures transparency and accountability in the mortgage lending process, protecting borrowers' rights and promoting fair treatment by loan services.
