DSI needs your input on several matters that may affect your business. If you make loans in Kentucky, we need the name of the county in which your office is located so that DocMagic may populate your county information into future Kentucky mortgages and/or assignments. If you are a California Finance Lender, we now have a disclosure form that complies with California Financial Code Section 22337(a) that you may use. Finally, we want to know what you think about eliminating the credit scoring disclosure information from DocMagic since a copy of the credit scoring information obtained from a consumer reporting agency is provided to the borrower anyway.

County Information for Kentucky Lenders

Kentucky Revised Statutes Annotated Section 382.430 prohibits a county clerk from recording a mortgage unless the lender's (the note holder's) county is included in their address. The statute specifically states that the "county and state of the residence and the post office address of the person or corporation owning or holding the note or other evidence of indebtedness" must appear in the mortgage. This rule also applies to assignments. The assignee's county information must also appear in the assignee's address.

If you make loans in Kentucky, please provide Alan Brisbane, Center Manager at Document Systems, Inc., with the name of the county in which your office is located so that DocMagic may populate your county information into future Kentucky mortgages and/or assignments. You may email Alan at alan@docmagic.com or contact him at (800) 649-1362.

California Finance Lender Disclosure Form

If you are a California Finance Lender and wish to use Document Systems, Inc.'s version of the statement required by California Financial Code Section 22337(a),1 please contact Alan Brisbane at Document Systems, Inc. You may email Alan at alan@docmagic.com or call (800) 649-1362.

Consumer Credit Score Disclosures

Section 609(g) of the Fair Credit Reporting Act ("Act") (15 U.S.C. 1681g) requires that certain mortgage lenders, as prescribed under the Act, provide to a consumer as soon as reasonably practicable a copy of the information identified in Section 609(f) that was developed by a consumer reporting agency or was developed and used by the user of the information. Section 609(f) provides that upon the request of a consumer for a credit score, a consumer reporting agency shall supply to the consumer a statement indicating that the information and credit scoring model may be different than the credit score that may be used by the lender, and a notice which shall include--

1. the current credit score of the consumer or the most recent credit score of the consumer that was previously calculated by the credit reporting agency for a purpose related to the extension of credit;
2. the range of possible credit scores under the model used;
3. all of the key factors that adversely affected the credit score of the consumer in the model used, the total number of which shall not exceed 4, subject to paragraph (9);
4. the date on which the credit score was created; and
5. the name of the person or entity that provided the credit score or credit file upon which the credit score was created.

Currently, the DocMagic system requests the user to input the borrower's credit score, the date on which the credit score was created, the name of the consumer reporting agency (if other than Equifax, TransUnion or Experian), and the key factors that affected the credit score. Document Systems, Inc., assumes that the lender, in any case, provides a copy of the information obtained from a consumer reporting agency that contains all of the above information, including the statement indicating that the information and credit scoring model may be different than the credit score that the lender may use.

Document Systems, Inc., wants to know what you think about eliminating the credit scoring disclosure information from DocMagic since a copy of the credit scoring information obtained from a consumer reporting agency is provided to the borrower anyway. DocMagic would continue to print the Notice to the Home Loan Applicant required by Section 609(g) of the Act and the California Civil Code. Let us know what you think! You may email our Operations Manager, Mike Zarrilli, at mike@docmagic.com or Melanie Feliciano, Assistant General Counsel, at melanie@docmagic.com.

1 Section 22337(A) provides that each licensed finance lender has a duty to: "Deliver or cause to be delivered to the borrower, or any one thereof, at the time the loan is made, a statement showing in clear and distinct terms the name, address, and license number of the finance lender and the broker, if any. The statement shall show the date, amount, and maturity of the loan contract, how and when repayable, the nature of the security for the loan, if any, and the agreed rate of charge or the annual percentage rate pursuant to Regulation Z promulgated by the Board of Governors of the Federal Reserve System (12 C.F.R. 226)."