Readers Weigh in on Compensation Based on Channel and Source; QM & ATR

Hot news from AZ Home Help:

Posted To: Pipeline Press

In Saturday's edition of the commentary, the question was raised by CG from Wisconsin regarding paying loan officers different rates based on different origination sources. ("I will pay the loan originator, 'X' number of basis points on files that THEY bring in the door but I will pay them 'Y' basis points on loans that are provided 'by the house'. I don't see this being a violation of LO comp as the final terms to the client will not be any different, and the difference in originators pay will not be related to ANYTHING related to the terms of the loan. Can I do this?") Is it "legal"? Terry F. wrote, "Rob, per our counsel, and the MBA meetings I attended back in 2010, lenders cannot differ the commissions based on the source if you are working with the same loan officer. For this to work,...(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

Source: http://www.mortgagenewsdaily.com/channels/pipelinepress/05282013-ability-to-repay-qm-lo-comp.aspx

- For more real estate news visit our website at http://www.AzHomeHelp.com