Correspondent Partner Guide - Wintrustmortgage.net

PARTNER GUIDE
Renegotiation Policy
In periods of sharply falling interest rates, WM recognizes that some
borrowers will walk away from their commitments for better terms
elsewhere. When this situation arises, WM will allow a Correspondent to
renegotiate the terms of the rate lock for their borrowers in order to
keep the loan. The qualifications for renegotiation are as follows:
The renegotiation must result in a benefit to the borrower.
Eligible loan programs are Conforming Conventional and Government Fixed
(excluding USDA)
Market must improve by at least 1.00 point and rate must improve by .125%
Pricing will be Current Market less .75 points
The renegotiation comparison will be based on the lock period and investor of
the original lock. The loan must close and disburse on the original lock
expiration date.
Expiration date will remain the same
Escrow Waivers must be requested when locking in the loan. Any price
adjustment for the escrow waiver request will be identified in the pricing
result. Escrow accounts must be established for all FHA and VA loans.
The borrower(s) must provide, at closing, an executed statement that
acknowledges the borrower (1) accepts all future responsibility for the
timely payment of real estate taxes and hazard/flood insurance
premiums, and (2) will provide, in the future, tax receipts and copies of
insurance policies to the Note holder as evidence of payment.
Once a loan is locked, it becomes part of WINTRUST MORTGAGE’s
pipeline. As soon as the Correspondent determines that the loan will not
close and therefore not be delivered to WINTRUST MORTGAGE, the
Correspondent must notify WINTRUST MORTGAGE by emailing
Correspondent@wintrustmortgage.com and
corrsecondary@wintrustmortgage.com. Please provide the loan number,
borrower(s) name(s), and reason for cancellation in the email.
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