As previously announced in November, the Texas Finance Commission published amendments adopted for Texas Administrative Code rules 7 TAC §§ 80.201 and 81.201 in the Texas Register (44 Tex Reg 6524.6527) on November 1, 2019. Sections §§ 80.201 and 81.201 concern loan status forms that are attached to each of the sections as Forms A and B.
Sections §§ 80.201 and 81.201 have been revised to clarify that written notification of conditional prequalification or conditional approval is not required. However, if written notification is provided, the loan status forms or forms with the same substance must be provided to an applicant.
Form requirements were amended to add loan originator contact information and a statement that verification can be conducted manually or by electronic means. Additionally, the adopted rules retitled Form A - Conditional Qualifications Letter as the Conditional Pre-Qualification Letter.
The adopted amendments and updates to the loan status forms are effective May 1, 2020.
DocMagic has updated Form A - Conditional Pre-Qualification Letter (DocMagic Form ID: TXCQL.MSC) and Form B – Conditional Approval Letter (DocMagic Form ID: TXCAL.MSC) which apply to Rule §80.201 for Texas licensed residential mortgage loan companies and their licensed residential mortgage loan originators.
DocMagic has also updated Form A – Mortgage Banker Conditional Pre-Qualification Letter (DocMagic Form ID: TXMBCQL.MSC) and Form B – Mortgage Banker Conditional Approval Letter (DocMagic Form ID: TXMBCAL.MSC) which apply to Rule §81.201 for Texas registered mortgage bankers and their licensed residential mortgage loan originators.
To view DocMagic’s previous article regarding the amended rules, please click here.
If you have any questions regarding this article, please contact DocMagic’s Compliance Department.
