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.
A Texas Qualified Written Request (BWR) under Section 6 of the Real Estate Settlement Procedures Act (RESP) is a legal document that homeowners in Texas can submit to their mortgage service to seek information and resolution regarding potential errors, discrepancies, or issues related to their mortgage loan or the servicing of their loan. Under Section 6 of RESP, a Texas BWR allows homeowners to request detailed information and documentation from their mortgage service about the loan, including loan history, escrow account details, payments applied, fees charged, and any other relevant information. This request aims to ensure transparency and accountability in the handling of mortgage loans and to facilitate prompt resolution of any genuine concerns. Some important keywords relevant to a Texas BWR under Section 6 of RESP include: 1. Texas Qualified Written Request: This refers to the formal request submitted by a homeowner in Texas to their mortgage service seeking specific information related to their loan or addressing concerns regarding loan servicing. 2. Real Estate Settlement Procedures Act (RESP): RESP is a federal law that aims to protect consumers during the mortgage settlement process and prevent illegal practices such as kickbacks, excessive fees, and artificial inflation of costs. Section 6 of RESP pertains to the BWR provision. 3. Mortgage Service: A mortgage service is an entity responsible for collecting mortgage payments, managing escrow accounts, and handling other related loan servicing activities on behalf of the lender or investor who owns the loan. 4. Discrepancies or Errors: Homeowners can use the Texas BWR to request information and resolutions for potential errors or discrepancies related to their mortgage loan, such as incorrect application of payments, unauthorized fees, or other irregularities that affect the loan. 5. Loan History: Homeowners can request a detailed loan history, including all payments made, the application of those payments, interest charges, escrow account activity, and any other relevant data that sheds light on the mortgage servicing. 6. Escrow Account Details: Escrow accounts hold funds collected monthly along with mortgage payments to cover property taxes, insurance, and other related expenses. Homeowners can inquire about the status and activity of their escrow account through the Texas BWR. While there might not be specific types of Texas Was under Section 6 of RESP, the content of each request may vary depending on the specific concerns or questions raised by the homeowner. However, the general purpose of the Texas BWR remains consistent — to empower homeowners to obtain information and address potential issues with their mortgage loan servicing.
