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 Utah Qualified Written Request (BWR) is a formal written letter used by borrowers in the state of Utah to request information and clarify questions regarding their mortgage loan under Section 6 of the Real Estate Settlement Procedures Act (RESP). This legal provision aims to protect consumers by ensuring transparency, accountability, and fair practices in the mortgage loan servicing process. A Utah BWR can be submitted to the loan service or lender when a borrower encounters issues with their mortgage loan, such as errors in billing, escrow account discrepancies, or unclear communication. By initiating a BWR, borrowers can gain access to important information and documentation about their loan, promoting a clearer understanding of their rights, obligations, and potential solutions. The content of a Utah BWR should be comprehensive and thorough to effectively address the borrower's concerns. It should include specific details and relevant keywords to facilitate the clarification process and prompt a timely and accurate response from the service or lender. Some important elements to include in a Utah BWR are: 1. Borrower Information: Clearly state the borrower's full name, address, loan number, and contact information at the beginning of the letter. 2. Detailed Description of Concerns: Articulate the specific issues or concerns the borrower has encountered. This may include any incorrect information on monthly statements, disputed fees or charges, payment allocation discrepancies, issues with the escrow account, or lack of responsiveness from the loan service. 3. Requested Information and Documentation: Specify the specific documents and information the borrower is seeking. This could range from copies of the original loan agreement, payment history, itemized breakdowns of fees, or any other relevant paperwork that may support the borrower's understanding or help resolve the issue. 4. Reference to RESP Section 6: Referencing Section 6 of RESP, clearly explain the borrower's rights under this provision and why the loan service is obligated to respond within a specified timeframe (usually 20 business days) after receiving the BWR. 5. Proposed Solutions or Actions: If applicable, suggest potential resolutions or remedies that the borrower believes would rectify the issue or concern. It is important to note that while Utah does not have separate types of Was under Section 6 of RESP, the content of the letter may vary depending on the specific circumstances and concerns of the borrower. Regardless, it is crucial to ensure that the BWR is well-documented, concise, and includes all relevant information to maximize the chances of a prompt and satisfactory response from the loan service or lender.
