DQC835 CRIT0066 No Earnest or Excess deposit for a Refinance

Resolve for Freddie DQC835 CRIT0066:

- An earnest money deposit or excess deposit should not appear on a refinance transaction. The Deposit on Sales Contract amount is required and must be greater than or equal to $0

 

1. Open the loan file in Point.

2. Navigate to Forms > Loan Estimate from the top menu.

3. Use the Purpose dropdown to verify the selection is Purchase.

4. Navigate to the Closing Disclosure Pg. 3.

5. In the Summaries of Transactions scroll to L. Paid Already by or on Behalf of Borrower at Closing.

6. Verify that the Deposit field has an amount populated. If it does not, continue to the next step.

7. Navigate to the Closing Costs Worksheet.

8. Scroll to the Total Estimated Funds Needed to Close (Details of Transaction) at the bottom of the screen.

9. Use one of the available dropdowns to select Cash Deposit on sales contract and enter an Amount in the correlating field.

10. Navigate back to the Closing Disclosure Pg. 3 > Summaries of Transactions > L. Paid Already by or on Behalf of Borrower at Closing and verify the Amount entered has carried over into the Deposit field.

Note: If the Closing Disclosure is Seller Only, enter the amount in the Excess Deposit field under sub-section N. Due from Seller at Closing.