What

The Real Estate Settlement Procedures Act (Regulation X) has contained rules for administering escrow accounts for many years. The Truth in Lending Act (Regulation Z) requires escrow accounts in connection with higher-priced mortgage loans. The interagency flood regulations were amended effective October 1, 2015 to add revised escrow rules. 

This webinar covers all of the escrow rules, including the long standing and the recently revised requirements of the flood regulations, Regulation X and Regulation Z.

Why

This program provides comprehensive coverage of the flood regulations, Regulation X and Regulation Z escrow rules. We explain, step-by-step, how to establish, maintain, and cancel escrow accounts under the amended requirements. In addition, suggestions for avoiding violations and penalties are provided.

Program participants receive a detailed manual that provides a thorough explanation of all the escrow rules. Both the program and the program materials are updated for the Dodd-Frank revisions to the regulations.

Upon completion of this program participants understand:

• Which loans are required by Regulation Z and the flood regulations to have escrow accounts, and which are exempt; 
• The limitations on the amount of the required escrow payments at origination and over the life of the loan; 
• How to conduct an escrow analysis; 
• How to determine an escrow account computation year; 
• The calculation of the amount of the allowed cushion; 
• The rules for preparing the initial escrow account disclosure statement; 
• The TRID rules regarding the escrow notices required in the Closing Disclosure; 
• The expanded Flood Hazard Notice for Escrow information; 
• The flood insurance option to escrow notice; 
• How to prepare the annual escrow account statement; 
• How to resolve a surplus, a deficiency or a shortage; 
• Revised Regulation X rules for timely escrow payments and treatment of escrow balances; 
• Regulation Z rules regarding escrow cancellation notices; 
• The recordkeeping rules for escrow accounts; and 
• The penalties for the failure to submit an initial or annual escrow account statement.