QUESTION
We were recently cited for not responding in a timely manner to a
Qualified Written Request. We had thought the transaction was excluded from a
response requirement. What are the exclusions to responding to this type of
request?
ANSWER
In the context of mortgage servicing, the response request requirements
of a Qualified Written Request (“QWR”) do not apply to (1) subordinate lien
loans or (2) open-end lines of credit subject to TILA, whether secured by a
first or subordinate lien. [24 CFR § 3500.21(a)]
A request does not constitute a QWR if it is delivered to a servicer
more than one year after either the date of transfer of servicing or the date
that the mortgage servicing loan was paid in full, as applicable. [24 CFR §
3500.21(e)(2)]
Jonathan Foxx
President & Managing Director
Lenders Compliance Group
