Home » Lender » Program FAQs

Program FAQs

Pre-Registration: 1003

Pre-Registration: 1003

Both the first and second mortgage require a full set of TRID compliant disclosures, which should include:

1003
LE
Initial CD
Final CD

Be sure to…

List the secondary financing under details of transaction of page 3 of the 1003.
Check the box ‘YES’ line item ‘h’ in the declarations section of the 1003 on page 3.

When filling out the 1003 for the first mortgage, ensure that the subordinate financing is identified in section 7, item J. On the declarations page of the 1003, indicate that part of the down-payment is borrowed.

When using DU^® (Desktop Underwriter^®)¹, indicate the source of the down-payment is an “Government” type of down-payment. And for the explanation enter either “CBCMA” or “CBC Mortgage Agency.”

CBCMA Secondary Financing notes are input into Additional Data & Details of Transaction sections of DU^®.

In section L04, indicate either CBC Mortgage Agency Second Lien or CBCMA Second Lien depending on how you started. Important reminders:

Always deliver 2^nd mortgage disclosures to borrower following TRID guidelines
The LE must be mail stamped or signed by borrower within 3 days of the 1003
Digital signatures are acceptable for initial disclosures ONLY

¹DU^® and Desktop Underwriter^® are registered trademarks of Fannie Mae.

Preparing and Drawing Closing Documents

CBCMA is not trying to replace any part of your normal closing procedures.

Feel free to use your processes, as you would for any normal loan. We provide our document drawing as a convenience only. After you have registered or locked a loan with CBCMA:

Process your line file as usual
Submit file to your underwriter
Clear conditions
Draw your own 2^nd mortgage docs, or you can request loan closing documents from

CBCMA for secondary financing which will be

Closing Disclosure-2^nd Mortgage
Closing Documents-2^nd Mortgage

To request the closing documents, go back to chenoafund.org and login to the ‘Client Portal’ using your login credentials.

Drawing Documents from our website…Start at the Global Loan Status homepage.

Upon logging in you, select ‘Loan Registration/Locks/Pricing’ form the sidebar menu and the page will refresh to the ‘Global Loan Status’ homepage. Here is search feature to locate all the loans previously locked and registered. Search loans by borrower’s loan number or last name for which you want the closing package.

Click on the correct loan’s loan number. Return to the data fields under the black line, change the Doc Set Request field from ‘Upfront’ to ‘Final’. This will change how the page looks and create some new fields and add additional asterisks on the data fields required to complete the loan documents. All fields with red asterisk are 100% required. Note NA, 0, etc. are not acceptable answers.

Note: If any changes need to be made to information above the black line which is associated with the first mortgage, you will need to email locks@chenoafund.org to have those items updated.

Once you complete the information, you will have two options of how you want to receive documents. Choose either ‘Update/Have Chenoa Fund Draw Docs’ or ‘Draw My Own Docs.’

Have Chenoa Fund draw docs.

After you change the Doc Set Request field from Upfront to Final, then click the ‘Have Chenoa Fund Draw Docs’ button. By selecting this option, we receive a notification to our inbox which is sent only one time. CBCMA will email you with all the information that you need within the standard processing times of 1-2 hours.

Draw my own docs.

If you instead click ‘Draw My Own Docs,’ a second screen will open with the package selection options. In order for this to work you must have pop-ups enabled on your computer. Click on the package you are seeking and click ‘Prepare Package.’ The website will will begin processing your request which can take several minutes.

When the package is ready, you will see a page with the title, ‘Package Contents.’ You can download the CD and Closing package by clicking ‘Preview Loan PDF.’

Advantages to drawing your own documents.

Advantages to drawing your own documents:

Ability to make any changes that you like.
No limit to how many times you can generate a package.
No waiting in the queue for your docs to be prepared which takes from 1 to 2 hours if CBCMA draws your docs.
No Charge – Whether CBCMA draws your docs or you draw your own docs, you will not be charged for the service, no matter how many revisions you make.

Underwriting the first mortgage.

Underwriting of the first mortgage must follow agency guidelines for FHA or Conventional and be TRID compliant.

CD disclosing for both the first and the second mortgage must follow TRID guidelines. The initial CD must be issued 3 days prior to consummation, just like the first mortgage, and is sent with the final CD and closing documents.

Remember that….

Prior to closing, CBC Mortgage Agency will issue a funding obligation letter for the second lien
Secondary financing closes in the name of your company
Secondary financing is transferred to CBC Mortgage Agency after closing but prior to insuring
2^nds are required to be registered with MERS
You must input a MERS number for the 2^nd mortgage (or have our system create one for you)

If you have any additional questions on these topics, contact: scenariodesk@chenoafund.org.

Purchasing Clearing

Uploading closed loan documents.

Uploading closed loan documents:

Go to chenoafund.org and login to the ‘Client Portal’ using your login credentials
Next, click on the ‘Upload menu.’ Chenoa Fund uses a third-party site to manage the chenoafund.org portal. Make sure that you chose Chenoa Fund (6129) as the investor if you are gi ven a choice.
Ensure the files you are uploading are named using the correct naming conventions (see below)
Select the lender (6129-Chenoa Fund). A popup will appear. Drag and drop the files for upload to be reviewed. Make sure you have popups enabled on your computer.

Please do not upload documents until the loan transaction has been closed.

Important Chenoa Fund IDs.

The following are the Chenoa Fund IDs.

FHA ID: 9413-00000-8
MERS ID: 1012881
NMLS ID: 1186381
Tax ID: 46-2780478

Important addresses.

The following are important addresses to have:

2^nd Mortgagee Clause

CBC Mortgage Agency
ISAOA ATIMA
912 W Baxter Drive
Suite 150
South Jordan, UT 84095
Note: This is only necessary for amortized loans.

1^st Mortgage Payment Address
CBC Mortgage Agency
Attn: Loan Servicing
10400 Overland Road
PMB #403
Boise, ID 83709

Customer Service
866 563-3507 extension 0

Second Mortgage Payment Address
Statebridge Company, LLC
Attn: Payment Processing
P.O. Box 5990
Denver, CO 80217-5990

Urgent Overnight Mail
CBC Mortgage Agency
912 W Baxter Drive
Suite 150
South Jordan, UT 84095
866 563-3507 extension 0

CBC Mortgage Agency contacts.

The following are areas where you can address questions to the CBCMA team.

For general questions contact: Info@chenoafund.org
For underwriting questions contact: Scenariodesk@chenoafund.org
For processing contact: submissions@chenoafund.org
For information with regards to the locking of your first mortgage loan contact: Locks@Chenoafund.org
For collateral/shipping contact: finaldocs@chenoafund.org
For purchase clearing, please contact the Purchase Clearing specialist for the specific loan you’re working on.

Supported upload formats.

The best file format is PDF, but other files must be in one of the following formats: BMP, DOC, DOCX, GIF, HTM, HTML, JPEG, JPG, MSG, PDF, PJPG, PNG, TIF, TIFF, TXT XLS, XLSX, XML, XPS

Files should not be password protected or encrypted. Loan image must be uploaded with Seller Loan Number as the leading characters of the file name. The Seller Loan Number must be the FIRST LIEN loan number for all uploads.

Specific naming conventions.

CBC Mortgage Agency requires specific naming conventions. The following is an example:

312015_Smith_Credit File.pdf

Start with your loan number
Underscore
Borrower’s last name
Underscore
Document type

Note: 50 MB is the maximum per upload. If you have a file near 50 MB limit, split the file into two uploads.

Commonly missed documents.

Make sure you upload these commonly missed documents to avoid added conditions and delays in the purchase of your loan. The documents include:

Credit Package

Soft pull credit report within 10 days of close
Case Query to show UFMIP is paid
Appraisal logging
Both the 1^st and 2^nd Mortgage 1003s
Funding Obligation Letter

Closing Package

First Note and Deed of Trust/Mortgage
Second Note and Deed of Trust/Mortgage

The review of uploaded files can take up to five business days. A notification email can be sent once the review has been completed. If you are not receiving these notification emails, please reach out to info@chenoafund.org.

Once you receive the email that the review is complete, log back in through the same chenoafund.org portal.

To locate the specific uploaded file, enter either your loan number or CBCMA’s loan number in the Loan Search bar and select ‘Search.’

Uploading documents to clear conditions.

Once you have searched and found your loan, double check the information on the screen to ensure you have the correct loan. Now scroll down the page and you will receive a list of any outstanding conditions that need to be cleared.

Clear conditions by uploading the needed documents.

You can accomplish this by clicking on the link labelled “Upload Files To Clear.” You will be presented with a popup where you can drag and drop the file to clear the conditions. Remember Chenoa Fund requires a specific naming convention. For example: for all 1003 related documents, the upload would be named 1003 or Loan Application. For appraisal updates, it would read: Appraisal or 1004D.

Uploaded documents will be added to the bottom of the list. Do not send documents via email. Each document will include date and time stamp. The condition will be uploaded as a TDOC PDF.

Escalation Log/Dispute a condition.

If you would like to dispute a condition, we offer an escalation log. Keep in mind that our Due Diligence Provider conditions each loan; a Purchase Clearing Specialist is assigned to each loan but is not responsible for the initial upload review nor conditioning the file. They are assigned to assist you with questions or concerns on the conditions.

Use the Escalation log if the condition is unclear and requires clarification and/or you disagree with the validity of the condition and wish to explain why.

Go back into the loan. Click on the Escalation Log and you will see a popup where you will click on the deficiency and you select the condition that you are concerned with.

Type your summary in the Escalation Description box and then select Add New Escalation.

An escalation can take up to 24 hours. Once the escalation has been reviewed, you will receive an email notification. Come back to the escalation log to view the auditor’s response regarding the outstanding conditions. The auditor’s response will explain whether the condition has been waived, or if it remains outstanding.

If the response from our due diligence review team is unclear, or if further escalation is needed, please contact the assigned Purchase Clearing Specialist for further assistance. To check to see who your Purchase Clearing Specialist is, go to the screen with the conditions list. You will see the Specialist listed for that particular file.

Note: You may receive a faster response by following the escalation process as previously outlined (usually within 24 hours), as opposed to waiting for the assigned Purchase Clearing Specialist to respond to your email.

A few commonly missed items include:

… Soft pull credit report within 10 days of note date (or, alternatively, provide Evidence of Credit Monitoring)
… the Funding Obligation Letter (FOL)
… a copy of the second lien Note and Deed of Trust/Mortgage

Initial upload instructions.

Correspondents should upload their loans as soon as possible after closing (preferably within 24 to 48 hours). CBC Mortgage Agency’s Due Diligence Partner completes an initial review of the loan from the initial package that the correspondent uploads. It is extremely helpful if you use the Stacking Order document available on our website to organize your documents BEFORE uploading. This will improve the indexing results and produce fewer repetitious conditions for documentation that may have already been included in the initial upload, but are indexed incorrectly due to not following the stacking order.

Stacking order.

CBC Mortgage Agency provides a worksheet outlining the stacking order. It is strongly recommended that you utilize this document in your uploading process. If you follow our specific stacking order, then your review times will decrease, your conditions will be fewer, and your turn time to purchase will be less.

If you need the stacking order, reach out to info@chenoafund.org and you will receive the document via email.

Registering and Locking Loans through the chenoafund.org Portal

How to receive my password for the first-time when logging into the Chenoa Fund Portal.

When visiting the chenoafund.org portal for the first time, a password must be created.

Make sure that your email address has been given access to the Chenoa Fund portal. You can register your email by reaching out to your Lock Desk or your company’s Chenoa Fund administrator. Once you have confirmed that your email address has access to our portal, go to chenoafund.org and click on the corresponding Lender Log-in of the very top center of that page. Note: If your email address has not been granted access, then you will not be able to follow this process.
Click reset or password retrieval in order to create your password, then enter the email address you provided for access.
When you receive the appropriate email, follow the instructions to setup the permanent password.

Receive the LE.

To receive an LE, complete the asterisked (*) data below the black line for the secondary financing. As you go through filling out all of the required fields, make sure the Doc set request field shows ‘Upfront’ in order to receive your LE.

If there will be title fees for the second mortgage, check the box by each fee charged for closing the secondary financing. If you do not enter the fees, the processing may be delayed waiting for you to add the fees. Also, ensure the fee is placed in the appropriate column.

CBCMA’s Lock Desk closes at 3pm Mountain Time. This means that the market is closed and our rates are no longer active.

Draw Docs from CBC Mortgage Agency.

Once all fields are complete, you have a choice. If you select ‘Update/Have Chenoa Fund Draw Docs,’ CBCMA will send a copy of the LE along with FOL and Registration/Lock Confirmation. Note: If you select ‘Draw My Own Docs,’ you will be able to pull the documents from the website yourself.

CBCMA will draw the documents and send you the following via email:

CBCMA loan Registration Confirmation or a Lock Confirmation¹
Funding Obligation Letter²
Loan Estimate
Initial state disclosures (for Secondary Financing)

Note: if you want to find these documents again, you can search for the loan in the Global Loan Status and select these icons to view/print them.

¹The ‘Padlock’ icon
²The ‘Open Folder’ icon

Recommended document to share with borrowers.

CBCMA recommends that lenders share the ‘Document of Secondary Financing-Chenoa Fund’ with borrowers as part of the closing package. This document will allow you to walk the borrower through the program and teach them about the down-payment they are receiving.

Help borrowers prepare for their second mortgage payment by informing them that they will be making it to a different company than the first mortgage. Sometimes borrowers are surprised and frustrated when our servicing department reaches out to them regarding why they have not made their first payment on their second mortgage.

Calculating Area Median Income: Primary Method.

CBC Mortgage Agency understands that there are many Area Median Income websites that allow you to calculate the area median income for your borrowers. We ask that you use the HUD Area Median Income site when working with borrowers who will be using CBCMA FHA-based down-payment assistance programs.

If a borrower qualifies under a different website but does not qualify with the HUD Area Median Income site, the CBCMA Locks and Registrations team will notify you of the borrower’s ineligibility.

Use this site as follows:

Go to the HUD Area Median Income site
Select the most recent fiscal year.
Select the state.
Select the county.
Click “View County Calculations.”
For families with a size of 1-4, pull the number from the “Median Family Income” column.
Determine the AMI by multiplying the Median Family Income by 115%. For example: $69,100.00 x 115% = $79,465.00

Note: This is a third-party site. CBCMA State Restrictions still apply, even if you see the option here.

Calculating Area Median Income: Alternative Method

There is an alternative calculation method allowed within the UW comments on the 1008, for families in size greater than 4 (5 and up):

First, locate the appropriate family size underneath the “Persons in Family” column, in the “Very Low (50%) Income Limits” row.
Find the appropriate income amount, and then multiply that number by two.
Then, multiply that number by 115%. For example, using a family of 6: $40,100 x 2 = $80,200 X 115% = $92,230

How to begin registrations, and add a new loan.

Once you are logged in, select ‘Loan Registration/Locks/Pricing’ from the sidebar menu and the page will refresh to the ‘Global Loan Status’ homepage.

‘Global Loan Status’ will display a list of all the loans that you have previously locked and registered. Note: You can Search loans by the borrower’s loan number or last name.

When adding a new loan, select ‘Add New Loan’ from the left side bar menu. Before you do anything else, upload the Fannie Mae 3.2 file…

Select “Choose File”
Locate the Fannie Mae 3.2 file you want to upload.
Select ‘Upload’
The CBCMA system will extract information from the 3.2 file, so CBCMA’s registration team can perform the registration process on your behalf. Important: Do not hand-enter any information before uploading the 3.2 file because the system will reject the loan and/or our Registration and Locks team may not be able to approve it.
Complete any required fields. Anything marked with a red asterisk should be completed. The data fields above the black line about halfway down the webpage is for the First Mortgage Registration. The data fields below said black line are for Secondary Financing documentation. Note the DPA will auto-calculate when you click on the loan amount field.

You can register and lock the first mortgage without completing the Secondary Financing information.

In order to receive the LE, you must fill out that secondary financing information below the line. Select ‘Upfront’ in the Doc Set Request line to receive your LE.

NOTE: CBC Mortgage Agency will require an initial 1003 for the second mortgage in the loan package.

Preparing the LE.

Depending on your company’s guidelines, ether the CBCMA staff will prepare the LE and initial disclosures and send to you or your lock desk, or you can disclose on your own.

Delivering disclosures to borrower.

You must deliver disclosures to the borrower following TRID rules. LE must be mail stamped or signed by borrower within three days of 1003. Digital signatures are acceptable.

Select the correct program.

Once you know what program you want your borrower to be set up with, select the correct program type you wish to utilize under the heading ‘General Loan Information.’ Remember that each program has its own DTI or credit score requirements. Choose one of the following:

Conventional Standard 97% LTV
HomeReady^®¹
DPA Edge
DPA High Balance
DPA Rate Advantage

*Neither the Chenoa Fund, CBCMA nor any of their products are approved by or affiliated with Fannie Mae. It is the originating lender’s responsibility to ensure that the use of CBCMA second mortgages, the CBCMA first mortgage, and combination of the CBCMA first and second mortgages are compliant with Fannie Mae requirements.

¹HomeReady^® is a registered trademark of Fannie Mae.

Select the correct DPA.

Next, select the DPA type. Make sure you know the guidelines for each individual program. The DPA options include:

Second 30 Year Amortized
Second 10 Year No Interest
Second 10 Year Rate Advantage

Continue to fill out the page.

Continue to fill out the page entering information into the blank lines. Remember everything above the black line is for the first mortgage and everything below the line for the second mortgage.

Most of the information in the first mortgage section will be extracted and automatically entered in the form from the Fannie Mae 3.2 file such as ‘Property Information’ and ‘Loan Information.’

To calculate the base loan amount and the DPA amount, place your curser in the ‘Purchase Price’ field and press Tab. The fields will auto populate.

Register/lock the first loan after completing all asterisked (*) items above the black line and then selecting the ‘Price’ button and you are presented with the ‘Loan Price Results’ page.

The Loan Price Results page will show you your price. At that point, you may:

FLOAT the first mortgage by selecting ‘Register.’
LOCK the first mortgage by selecting ‘Lock Price.’
Or you may REJECT the pricing and return to the input screen to select a different rate.

Click the ‘Print Confirmation’ button to obtain your Registration Confirmation or Lock Confirmation for the 1^st mortgage.

If you decided to Float, you will be taken to the ‘Registration/Float Confirmation’ page. Later, you will need to come back in and lock the loan. It is important to note that this page does not have a lock expiration date because you have not chosen to lock your loan.

If you decided to Lock the rate, you will be taken to the ‘Lock Confirmation’ page which means you have successfully locked your loan. This document includes when the loan was locked, the lock term and, most importantly, the lock expiration.

The Funding Obligation Letter and Loan Estimate can be downloaded once the file has been reviewed and approved by CBCMA. CBCMA typically issues approval, or will request corrections/additional information, within 1-2 hours.

Funding Obligation Letter.

Once the file has been approved, select ‘Global Loan Status’ from the side menu. Use the ‘search fields’ to find the loan. Locate your funding obligation letter by clicking the ‘Open Folder’ icon. If the icon is red, it means the loan has not yet been approved. If the icon is blue, it means the loan is approved. If you would like to reprint the registration or lock confirmation, click on the Padlock icon.

The Funding Obligation letter is required in the Credit package for all programs which include
• Soft Second
• Repayable Second
• Rate Advantage
• HomeReady^®¹
• Conventional Standard 97% LTV

The letter states…

Where the down-payment came from
Borrower’s personal information
Property address
Form of Assistance
Rate Advantage (Amortized Second or Rate Advantage Option)

Once you have registered and/or locked your loan, you cannot make any additional changes to the information in the data entry form above the black line. If you need to make changes, contact the CBCMA Lock Desk.

¹HomeReady^® is a registered trademark of Fannie Mae.

Requesting Information