“I was prepared for TRID so it didn’t blindside me; the issue, though, is full-fulfilment centres have been inundated,” Keith DeLatte, president of InterTrust Mortgage, told Mortgage Professional America. “In many cases when dealing with them, the turnaround for receiving closing documents has increased and it’s being compounded by TRID.”
Originators are likely increasing their reliance on fulfillment companies in a bid to alleviate some of the documentation requirements they now have to juggle in light of TRID’s more strenuous disclosure rules.
And Delatte, who usually puts 80% of his files through these companies, has noticed the influx bogging them down.
The TILA-RESPA Integrated Disclosure was implemented on October 3. The purpose of the new rule is to ensure clients have adequate time to review closing documents.
But that extra review time has also resulted in delays.
And it isn’t just fulfillment companies causing delays.
“The biggest TRID frustration is between closers on the lenders side and paralegals in the attorneys’ offices, and they are the reason for delays in getting the closing documents out,” Rick Gilbert, owner of RatePro Mortgage, told Mortgage Professional America in late 2015. “That document has to go out three days prior to close, which means attorneys can no longer make last minute changes.
“The closer and the paralegal need more openness between them and quicker responses.”
More originators rely on them to help facilitate deals following increased disclosure requirements; so much so that it’s creating delays, according to one professional.