Pursuant to the enactment of Ohio S.B. 185, DocMagic’s Compliance Department has prepared ten (10) disclosures that a mortgage broker or licensee making loans in Ohio must provide to a borrower, effective on January 1, 2007. Eight (8) of the disclosures are based on model forms prescribed by the Ohio Attorney General or Financial Institutions Division of the Ohio Department of Commerce pursuant to Administrative Rules. As some of the Rules are not scheduled to become effective until early February, 2007, the form and content of some of the model disclosures are subject to change. DocMagic’s Compliance Department will update these disclosures accordingly should any of the Rules change. Following is a list of the newly created disclosures:

1. Mortgage Loan Origination Disclosure Statement: This model disclosure was prepared pursuant to Ohio Rev. Code §1322.062(A)(1) and Ohio Administrative Code 1301:8-7-15 and will appear in initial packages of first-lien loans when the loan originator is a lender or broker. This disclosure should be given to the borrower within 3 business days after taking a loan application.
2. Addendum to Mortgage Loan Origination Disclosure Statement (High Loan to Value Disclosure): This model disclosure was prepared pursuant to Ohio Rev. Code §1322.062(A)(1)(j) and Ohio Administrative Code 1301:8-7-15(A)(9) and will appear in initial packages of first-lien loans when the loan amount will exceed ninety percent (90%) of the value of the secured real property and the loan originator is a lender or broker. If applicable, this disclosure should be given to the borrower within 3 business days after taking a loan application.
3. Addendum to the Good Faith Estimate: This model disclosure was prepared pursuant to Ohio Revised Code §1322.062(D) and Ohio Administrative Code 1301:8-7-15(D) and will appear in initial packages of first-lien loans when the loan originator is a lender or broker. This disclosure should be given within 3 business days after taking a loan application.
4. Notice of Change in Mortgage Terms: This model disclosure was prepared pursuant to Ohio Revised Code §1322.064 and Ohio Administrative Code 1301:8-7-15(F) and will appear in initial and closing packages of first-lien loans when the loan originator is a lender or broker. This disclosure must be provided not later than 24 hours after the change occurs, or 24 hours before a loan is closed, whichever is earlier.
5. Instructions of Borrower: This model disclosure was prepared pursuant to Ohio Revised Code §1322.081 and Ohio Administrative Code 1301:8-7-26 and will appear in initial packages of first-lien loans when the loan originator is a lender or broker. This form must be attached to the borrower's application and signed and dated by the borrower. Note that if the borrower's instructions change before giving the initial good faith estimate, a revised Instructions of Borrower form must be completed. If the instructions change after this time, a Notice of Change in Mortgage Terms (see above) must then be provided.
6. Closing Disclosure: This model disclosure was prepared pursuant to Ohio Revised Code §1345.031(B)(8) and will appear in all closing packages when the loan originator is a lender or broker. Each borrower must sign this disclosure at closing before signing any other document.
7. Informational Document: This model disclosure was prepared pursuant to Ohio Revised Code §1345.05(A)(4) and Ohio Administrative Code 109:4-3-29 and will appear in all initial packages when the loan originator is a lender or broker. This disclosure together with the Acknowledgment of Receipt of Home Mortgage Loan Informational Document (see below) must be given to the borrower at the time of application if the application is submitted in person. If the application is not submitted in person (i.e., via facsimile, internet, telephone), this disclosure must be given to the borrower within five (5) business days after taking a loan application.
8. Acknowledgment of Receipt of Home Mortgage Loan Informational Document: This model disclosure was prepared pursuant to Ohio Revised Code §1345.05(G) and Ohio Administrative Code 109:4-3-29 and will appear in all initial packages when the loan originator is a lender or broker. This disclosure together with the Informational Document (see above), must be given to the borrower at the time of application if the application is submitted in person. If the application is not submitted in person (i.e., via facsimile, internet, telephone), this disclosure must be given to the borrower within five (5) business days after taking a loan application.
9. Pre-Closing Disclosure: DocMagic's Compliance Department prepared this disclosure pursuant to Ohio Revised Code §1322.063, which will appear in all first-lien closing packages when the loan originator is a lender or broker. This disclosure must be given not later than 24 hours before loan closing.
10. Automated Valuation Report Notice: DocMagic's Compliance Department prepared this disclosure pursuant to Ohio Revised Code §4763.19, which will appear in all initial and closing packages when the loan originator is a lender or broker. This disclosure must be given to the borrower when a lender uses a market analysis or price opinion, an internal valuation analysis, or an automated valuation model or report based on an automated valuation model.