Federal Mortgage LawsQuestion 26 of 400
At or before settlement on a purchase loan requiring an escrow account, RESPA requires the servicer to provide the borrower with:
a.A copy of the appraisal only
b.The lender's internal loan file
c.A promissory note guarantee
d.An initial escrow account statement itemizing expected taxes, insurance, and other charges
Explanation
RESPA requires an initial escrow account statement, provided at settlement or within 45 days of establishing the escrow account, itemizing the anticipated disbursements such as property taxes and insurance and the escrow payment amounts. It is not the appraisal, the internal file, or a note guarantee. This helps borrowers understand their escrow obligations.
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