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.
Oregon Qualified Written Request (BWR) under Section 6 of the Real Estate Settlement Procedures Act (RESP) is a powerful tool for homeowners in Oregon to address mortgage loan servicing issues and obtain necessary information from their loan services. A BWR is a written correspondence sent by the borrower to the loan service seeking information or assistance. Under Section 6 of RESP, a borrower in Oregon can submit a Qualified Written Request to their loan service. This request must be in writing, and it should contain detailed and specific information, as outlined by RESP regulations. A BWR must include the borrower's name, account information, explanation of the error or information sought, and relevant supporting documents or evidence. A Valid Oregon BWR can help homeowners in multiple ways: 1. Error Resolution: If the borrower believes there is an error in their mortgage loan payments, such as incorrect charges, fees, or escrow handling, they can use a BWR to request an investigation and resolution of the issue. Loan services are required to acknowledge the receipt of the BWR within five business days and respond within 30 business days, providing a resolution or an explanation. 2. Request for Information: A borrower can also submit a BWR to obtain specific information and documentation related to their mortgage loan, including loan history, payment records, or any other relevant details. The loan service is obligated to acknowledge the receipt of the BWR within five business days and provide the requested information within 30 business days. 3. Loss Mitigation: Oregon BWR also allows borrowers to request information about loss mitigation options available to them, such as loan modifications, forbearance, or repayment plans. This can help homeowners in distress explore alternative solutions to prevent foreclosure and resolve financial difficulties. The service should acknowledge the BWR within five business days and provide the loss mitigation information within 30 business days. It is important to mention that while RESP and BWR protection apply nationwide, each state may have its specific laws and regulations that could provide additional rights and protections for borrowers. In Oregon, there are currently no specific subtypes or variations of the Oregon BWR under Section 6 of RESP. However, borrowers may still consult legal counsel or sources familiar with Oregon state law to ensure compliance and understand any additional rights they may have. Overall, the Oregon BWR under Section 6 of RESP empowers borrowers with the ability to communicate effectively with their loan services, obtain necessary information, and address potential errors or issues related to their mortgage loan. Utilizing this mechanism can help homeowners protect their rights, ensure transparency in loan servicing practices, and find solutions to financial challenges they may face.
