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Payoffs

Premiums

DocMagic customers frequently ask about the difference between Payoffs and Premiums.  Payoffs consist of two options: "Pay Off" or "Pay Off Lien".  A "Pay Off" may be of a credit card, auto loan, judgment or other debt other than a lien of the real property securing the subject mortgage loan whose data is being entered into DocMagic.  A "Pay off Lien" is for an existing first-lien or junior-lien loan or a HELOC against the real property securing the new mortgage loan.

Premiums, however, are for Broker Compensation, Service Release Premium, or a Yield Adjustment Credit and are paid to the Lender, Broker or Investor.

Payoffs

DocMagic Compliance Article:

• Culpepper IV - 11th Circuit Rules Again on Legality of YSP

Payoff Type

Enter the payoff type: Payoff or Payoff Lien.

Description

Enter the Payoff Description.

Amount

Enter the Payoff Amount.

Premiums

DocMagic Compliance Article:

• California DOC Says YSPs NOT Included In Points and Fees Test

Premium Description

Broker Compensation, Service Release Premium, Yield Adjustment Credit, Yield Maintenance Premium, Yield Premium, Yield Spread Premium