Revised – 09/19/2022
f.
The Broker does not believe and has no reason or cause to believe that it cannot perform each
representation, warranty, and covenant contained in this Agreement.
g.
Broker shall at all times comply with all applicable federal, state and local anti-money laundering
laws, orders and regulations to the extent applicable to Broker, including without limitation, the
USA Patriot Act of 2001, the Bank Secrecy Act and the regulations of the Office of Foreign Asset
Control (“OFAC”).
REPRESENTATIONS AND WARRANTIES AS TO THE MORTGAGE LOANS
9. As an inducement to Lender to enter into this Agreement and to consummate the making of each
Mortgage Loan related to a Loan Submission Package submitted by Broker, Broker represents and
warrants to Lender as follows, as of the date of execution hereof and the date of each Loan
Submission Package delivered by Broker to Lender for approval:
a.
Broker will comply with all applicable local, state, and federal laws, rules, and regulations
including, but not limited to:
i.
Broker will not submit a Loan Submission Package for and Lender will not originate “high
cost” loans under the Home Ownership and Equity Protection Act of 1994 (“HOEPA”) or a
”high cost,” “predatory,” “threshold,” “covered,” or “abusive” loan under any applicable
state, federal or local, law, regulation, or ordinance relating to such loans (or similarly
classified loans using different terminology under a law, regulation, or ordinance imposing
heightened regularity scrutiny or additional legal liability for residential mortgage loans
having high interest rates, points and/or fees.)
ii.
Broker shall provide any additional documentation requested by Lender in connection with
a “higher priced mortgage loan” as defined under Regulation Z, which implements the
federal Truth in Lending Act (“TILA”), and in connection with any similarly classified loans
using different terminology under a law, regulation, or ordinance imposing heightened
regulatory scrutiny or additional legal liability for residential mortgage loans.
iii.
Broker shall not submit a Loan Submission Package for a loan product where the applicant
for the mortgage loan will not receive a tangible net benefit.
iv.
Broker shall comply with all disclosure requirements under local, state, or federal laws,
regulations and ordinances. Broker shall provide all applicants with all applicable disclosures
in compliance with all delivery requirements contained in local, state or federal laws,
regulations, or ordinances, or in compliance with Lender’s Guidelines. Further, Broker
represents and warrants that all disclosures provided by Broker to an applicant shall be
dated the date that the disclosure was provided (the date placed in the U.S. Mail or placed
in the care of a commercial courier service for overnight delivery, or emailed, sent via
facsimile, or personally delivered to the applicant.
v.
Broker shall comply with all applicable fee restrictions and requirements under local, state,
or federal laws, regulations, or ordinances. Broker shall also comply with all applicable fee
restrictions and requirements of the Federal National Mortgage Association (Fannie Mae or
FNMA), Federal Home Loan Mortgage Corporation (Freddie Mac or FHLMC), Federal
Housing Authority (FHA) or Housing and Urban Development (HUD), Ginnie Mae (GNMA)
and any other federal agency or quasi-governmental agency.
vi.
Broker shall comply with any fee restrictions and requirements under Lender’s Guidelines,
including any applicable cap on fees charged by Broker.
vii.
Broker shall not submit a Loan Submission Package to Lender for a Mortgage Loan that
refinances a “special” mortgage (including but not limited to, reverse mortgages, mortgages
with discounted interest rates or special terms, loans by charitable, religious or state or
local agencies.)
b.
Each mortgage application, submitted as part of a Loan Submission package, has been submitted
in compliance with the requirements of this Agreement, guidelines and all applicable legal
requirements. Broker has no knowledge of any circumstances or conditions with respect to any
Loan Submission Package or the related mortgaged property (the “Mortgage Property”) or loan
applicant that Broker reasonably believes could be expected to cause the resulting Mortgage