Release Notes - BytePro 4.1

Changes made in version 4.1 Update 1 and the initial release of 4.1 are shown below. The most recent changes are shown first.

BytePro 4.1 Update 1

Added the 2010 HUD1A Settlement Statement:  Added a new screen and document for the revised HUD1A that may be used with refinance loans disclosed with the 2010 GFE.   The HUD1A may be used with lender paid costs only if the loan is a 'no cost' loan.  The HUD1 may be used in any circumstances. 

  • Added the 2010 HUD1A screen: This screen contains Disbursements (Section M) and Net Settlement (Section N) sections.  The remaining sections of the 2010 HUD1 must be edited on the 2010 HUD1 screens.
    Borrower, property address, lender and settlement agent information are edited on the HUD1 2010 Page 1 screen. 
    Settlement charges that should appear on the HUD1A are edited on the HUD1 2010 Page 2 screen.
  • Added 2010 HUD1A documents: The 2010 HUD1A consists of two legal sized pages.

Revised FHA Upfront Mortgage Insurance Premiums for loan files with case numbers assigned on or after April 5, 2010.    For files with case numbers assigned on or after April 5, 2010, the FHA UFMIP will be 2.25% for purchase, full-credit qualifying refinance, and all streamlined refinance loans. See Mortgagee letter 10-02 for more information. 

New files created on or after April 5 will automatically be flagged as having a case number assignment date of April 5 or later and will use the new UFMIP percentage. To adjust the case number assigned date, go to the Loan Info section on the Home screen. Click the 'Details' link to the right of the 'MIP Percent' field, and choose the correct date range from the 'Case No Assigned' dropdown list. Two case number assignment date ranges were added to the 'case no assignment' date range list: 

  • 'Between 1/1/2009 and 4/4/2010' 
  • 'On or after 4/5/2010'

After a date range is selected, it may be necessary to click 'Fill' button to the right of the 'MIP Percent' field to get the updated MIP percentage to fill in.

Updated the IRS 4506-T. The updated version is dated January 2010.

Changed the FHA Streamlined Refinance calculation: Corrected the FHA streamlined refinance base loan calculation to not include the UFMIP.

Added the MISMO 2.6 Format:  Added the MISMO 2.6 format for export to closing document providers and other providers. The MISMO 2.6 format contains fields supporting the 2010 GFE and HUD-1, as well as other changes. Each closing document interface allows you to choose whether to submit the new MISMO 2.6 format or the old MISMO 2.3.1 format. To edit the MISMO version open the interface submission screen and click on the Defaults link. Choose the correct format from the 'MISMO Option' dropdown list.  Each interface may export MISMO 2.6 format for all files, MISMO 2.6 for files created on or after January 1, 2010 or MISMO 2.3.1 for all files. Contact your closing document provider to verify the correct MISMO format version for that provider. 

Closing Document Provider Pierson Patterson LLP interface name changed to PPDocs, Inc.:  Go to Interfaces (toolbar)> Closing Docs, PPDocs, Inc.  The Pierson Patterson website address was also updated to PPDocs.com. 

Corrected 2010 'Applicable Documents': Corrected document printing to include custom documents and FHA/VA documents as 'applicable documents'  for 2010 loans.

Corrected the Favorites List for 2010 loans: Corrected Favorites list to display government loan and state specific screens for 2010 loans.

Added the GFE Notice of Intent to Proceed form: The wording on the form may be changed in Defaults > GFE - Notices, in the 'Notice of Intent to Proceed' section at the bottom of that screen.  Print the form from any Good Faith screen, or from the 'General Forms' print category.

Added Editable Wording on the GFE Acknowledgement Form: To edit the wording, go to Defaults > GFE - Notices, the 'GFE Acknowledgement' section at the top of the screen.

Added the 2010 HUD1 Signature Addendum:  The document may be printed from Related Documents on the HUD1 screens, or from the 'Closing' print category. The seller and settlement agent names will not populate from the loan file.

Corrected 2010 GFE Block 2 selected wording for 'If the Total is Zero ..': Corrected 2010 GFE Block 2 to save the selected wording for 'If the charge or credit total is zero ..' after the file is closed.

Corrected 2010 GFE Balloon Loan Term: 2010 GFE Loan Terms corrected to display the 'Due In' term instead of the amortizing term for balloon loans.

Added P.O.C. to 2010 HUD1 Line 1101 (Title Services): P.O.C. is now properly displayed on page 2 of the 2010 HUD1 for borrower and seller total P.O.C. amounts for HUD line 1101; to the left of the cost columns.  The line 1101 POC total amount will not include POC amounts from 1100 items that are listed separately.  For example, POC's from items 1102, 1103 and 1104 are displayed individually.

Corrected 2010 HUD1 Escrow checkbox: Corrected 2010 HUD1\1A Loan Terms 'You do not have a monthly escrow payment ..' to be checked when no items are indicated as escrowed on the HUD1 'Reserves Deposited With Lenders' section on page 2. Click the Edit link to the left of a prepaid item and select a disbursement term other than <blank> or 'Not Escrowed'  to include an item as  escrowed.

Corrected 2010 HUD1 Loan Terms 'Homeowner's Insurance' Checkbox: Corrected the 2010 HUD1 Loan Terms 'Homeowner's Insurance' checkbox to be checked when hazard insurance is escrowed (a disbursement schedule is selected on the Hazard Ins edit screen).  Lines 1003 and 1007 and HOA dues are also included and checked if those items are escrowed.

Added 2010 HUD1 Settlement Agent: Added the Settlement Agent contact name to page 1 of the 2010 HUD1/1A to print alongside the settlement agency company name.  Added the settlement agency phone number to the same block.

Added 2010 HUD1/1A 'Paid To' to 1107 and 1108: Added 'Paid to' fields for lines 1107 and 1108 (agent and underwriter lender title insurance premium portions). 

Blank 2010 HUD1/1A: Added the ability to print blank 2010 HUD1 and HUD1A. Choose 'Company Name' or 'Blank' from the 'Data to Print' dropdown at the top right of the Print screen.

Removed Loan Status on Copied Files: Standard and limited copy options no longer include the loan status on the copied file. The Full copy option includes the loan status.

Added an option to set the status to Not Assigned when copying a loan file with the Copy Option set to "Full - Copy All Data". To toggle this option, go to Customize > Defaults > New File. (Enterprise Only.)

BytePro 4.1 Initial Release

HUD’s Official RESPA Web Page: We highly encourage you to become familiar with the FAQ and other documents on HUD’s RESPA Web page.  You may also wish to read the following press release: HUD Announces Restraint In RESPA Enforcement For First Four Months Of New Rule.

Good Faith Estimate (GFE): Added new screens and documents for the revised GFE that is effective January 1, 2010. The new screens are:

  • GFE 2010 Pages 1 and 3. This screen contains the same information that is on the existing "GFE Part 1 - Loan Programs" screen, plus the new fields required for pages 1 and 3 of the new "2010" GFE. 
  • GFE 2010 Page 2. This screen contains the same information that is on the existing "GFE Part 2 - Closing Costs" and "GFE Part 3 - Prepaids" screens, plus the new fields required for page 2 of the 2010 GFE.

GFE Disclosed Amounts and GFE Delivered Indicator: Added the ability to track the amounts disclosed on the GFE separately from the current actual amounts. Also added the ability to indicate that a GFE has been delivered to the borrower, after which these "GFE disclosed amounts" become locked. See Marking the GFE as Delivered topic below for details.

HUD-1 Settlement Statement: Added new screens and documents for the revised HUD-1. See the New HUD-1 Settlement Statement topic below for details.

Closing Cost Setup: Added several new fields to the Closing Cost Setup (Customize > Defaults > GFE - Closing Cost Setup). The new fields are:

  • GFE Block: Indicates which GFE block the closing cost belongs to (page 2 of the 2010 GFE groups fees into "GFE blocks" which are numbered 1 through 11). When a new file is created each closing cost is assigned to a GFE block, which can be either locked or unlocked. For more information see the GFE Block topic below.
  • HUD Line No (2010): Indicates the closing cost’s line number on the 2010 version of the HUD-1. Two or more closing costs can share the same 2010 HUD line number.
  • Paid To Type: Indicates if the fee is paid to the lender, broker, correspondent or other party. This field is important on the profitability screen, on the HUD-1, and for many closing document providers.
  • Responsible Party: Indicates if the fee is the responsibility of the borrower or the seller. Fees that are the responsibility of the seller are not included in the details of transaction.
  • POC: Indicates if the fee is paid outside of closing by default.
    2010 GFE Only: Indicates that the fee is used on the 2010 GFE only, and not on the pre-2010 GFE.
  • Net From Wire: Indicates whether the fee should reduce the amount of the lender’s wire.  

2010 vs. Pre-2010 Loans: Added the ability to indicate whether a loan uses the old GFE or the new GFE. Loans that use the old GFE are referred to as "pre-2010 loans" and loans using the new GFE are referred to as "2010 loans".  Loans created on or after January 1, 2010 are automatically marked as 2010 loans. Pre-2010 loans can be manually changed to 2010 loans by clicking on the link labeled "This file is flagged to use the Pre-2010 GFE" on the "GFE 2010 Page 2" screen.  Similarly, 2010 loans can be changed to pre-2010 loans on the old "GFE - Closing Costs" screen. There are a number of changes that apply to 2010 loans only:

  • 2010 Loans Only - Closing Docs Loan: The "Create Closing Docs Loan" button that is found on the Closing screens in BytePro has been removed for 2010 loans. There is no longer a separate set of loan values for the closing documents. See the Removal of the Closing Docs Loan topic below for more information. 
  • 2010 Loans Only - APR fees: All closing costs marked as PPFC (prepaid finance charge) are included in the APR calculation, even if they are marked as "Do Not Count". 
  • 2010 Loans Only - POC fees: By default, fees that are marked as POC are not included in the closing cost totals on the details of transaction. To include POC fees in the details of transaction, go to Customize > Defaults > Loan, and check the first checkbox on the screen. 
  • 2010 Loans Only - Do Not Count: The Do Not Count checkbox is not on the "GFE 2010 Page 2" screen. The above-mentioned default for POC fees should be used to determine whether or not POC fees are included in the details of transaction. If a non-POC fee needs to be excluded from the details of transaction, then click on the Edit link to the left of the closing cost and check the box labeled "Not Counted in Totals". 
  • 2010 Loans Only - Aggregate Escrow: The "GFE 2010 Page 2" and "HUD-1 2010 Page 2" screens no longer allow the escrow account adjustment to be paid by or credited to the seller or lender. This value must be negative and is always shown as crediting the borrower. 
  • 2010 Loans Only - Profitability: If your company type is a lender then the profit is the sum of all of the fees paid to the lender, plus or minus a new adjustment field. Similarly, if your company type is a broker then the profit is the sum of all of the fees paid to the broker, plus or minus an adjustment. 
  • 2010 Loans Only - Escrow Closing Instructions: The new Paid To Type is also used on the Escrow Closing Instructions for 2010 loans.
  • 2010 Loans Only - CA 883 Page 1: The new Paid To Type field determines if the fee is shown in the Paid To Others or Paid To Broker column.
  • 2010 Loans Only - Closing Cost Lists: Documents that display lists of closing costs now include only those closing costs that have dollar amounts. These documents include the new Closing Cost Estimate (see below), Itemization of Amount Financed and others. 

Closing Cost Estimate Form: Added a new form titled Closing Cost Estimate which contains the same information that is on the old GFE. This form can be provided to borrowers at prequalification when it is not possible to provide a GFE. It can also be provided in conjunction with the GFE to give a more accurate breakdown of closing costs.

Changed Circumstances Form: Added a new form to document the changed circumstances that give rise to redisclosure of the GFE. This document can be edited by clicking the Changed Circumstances button at the top of the "GFE 2010 Page 2" screen.

Shoppable Provider List: Added this document which is provided to the borrower along with the GFE. It is analogous to the Required Providers list but contains the list of providers that can be chosen by the borrower for services that the borrower can shop for.  See GoTo > General Forms > Shoppable Providers.

GFE Acknowledgement Form: Added a new form that the borrower can sign to acknowledge that they received a copy of the new GFE. HUD forbids the inclusion of signature lines on the new GFE.

1008 Transmittal: (1) Updated the document as required by Fannie Mae beginning January 1, 2010, and  (2) Changed the "Add Cosigner Names" link above the Underwriter Comments so that it now fills in the cosigners’ social security numbers as well as their names.

Higher Priced Mortgage Loans: Added the ability to determine if a loan is a higher priced mortgage loan (HPML). Because the HPML calculation is dependent on the APR, it is shown on the "Truth in Lending / Reg Z" screen. The calculation relies on a table of Average Prime Offer Rates, which is downloaded from the FFIEC web site via a button in the defaults (Customize > Defaults > Average Prime Offer Rates).

Windows Authentication (BytePro Enterprise Only): Added the ability to login to BytePro using your Windows user name and password. Go to Tools > Admin Tools > Security Manager > Login Control to activate this feature.

FHA Streamlined Refis: Updated the calculations for determining the maximum mortgage amount for FHA streamlined refinance as described in Mortgage Letter 2009-32. 

4506-T: Added the ability to have non-borrowers printed on the form. Previously only borrowers on the 1003 could be included on the printed 4506-T.

FHA Identity Certification: Added this new document.

DocMagic Interface: Enhanced the interface to remove duplicate values including duplicate RESPA fees.

MortgageBot Interface: Enhanced the upload of status information.

FHA Real Estate Certification: Updated the document to better reflect the language in HUD handbook 4155.1.

FHA Purchase Agreement Addendum: Updated the amendatory clause and real estate certification sections to better reflect the language in HUD handbook 4155.1.

MISMO Interface: Made technical corrections to the MISMO interface which is used by many closing documents providers: (1) fixed an error that occurs when omit the borrower or co-borrower from the title on page 1 of the 1003, and (2) fixed a misspelling when then Purpose of Loan has been completed on the HMDA screen.

Byte Classic to BytePro Importer: (1) status dates are now set correctly when importing, and (2) importing closing cost default tables is improved.

HMDA Screen: Changed the Term label to show the ARM initial fixed rate period instead of the loan term for ARM loans. This change does not affect the reports. 

HMDA LAR: Updated the printed document to sort loans based on the Action Date.

VA Request for Certification of Eligibility: Made field G (VA Loan Number) wider to accommodate additional digits.

Management Reports (BytePro Enterprise Only): Improved the speed of reports on "First and Second Loan" that also include a filter on a field in the Loan table.

Management Reports and Custom Documents: Added the ability to report on IRS form 1098 fields. Also, fields that are excluded from printing are no longer output to Excel and other file formats.

Select Security Profile dialog: Added the ability to resize the dialog, which appears after logging in when multiple security profiles are assigned to a single user.

Features not in this release: BytePro 4.1 does not contain (1) the revised 1003 that is effective July 1, 2010, (2) the 2010 version of the HUD-1A, or (3) closing documents interfaces that directly support the 2010 version of the HUD-1. Look for these features early in 2010.

Additional Information

Yield Spread Premium

Any compensation paid to the broker by the lender (i.e. yield spread premium or YSP) must be disclosed as a credit to the borrower in GFE block 2 "Your credit or charge (points) for the specific interest rate chosen".

BytePro contains two fields for the YSP: "YSP Amount 1 - Shown in Blocks 1 and 2" and "YSP Amount 2 -  Shown in Block 2 Only". Amounts entered in the first field increase the amount shown in block 1 and decrease the amount shown in block 2. Amounts entered in the second field only decrease the amount shown in block 2.

If the broker is keeping the YSP, put it in the first field so it is included in blocks 1 and 2; if the broker is giving the YSP to the borrower then put it in the second field so that it is included in block 2 only. The YSP can be split between the two fields in case the broker is only keeping part of it.

Marking the GFE as Delivered

An important component of RESPA reform is tolerances for fees disclosed on the GFE. If the fees quoted on the GFE are too low (out of tolerance) then the lender has to refund money to the borrower at closing.

The exact fee amounts that are disclosed on the GFE are therefore critically important, and so BytePro allows those disclosed amounts to be tracked separately from the actual fee amounts. Once the GFE has been delivered to the borrower BytePro creates a snapshot of all of the fees. If the actual costs are subsequently changed, the disclosed amounts do not automatically change. This allows you to see the difference between what was disclosed and the actual amount.

Up until the time the GFE is delivered, the fees that are shown on the GFE match the actual amounts. After the GFE has been delivered the snapshot values (or "disclosed amounts") are printed on the GFE. The column labeled "GFE" on the screen "GFE 2010 Page 2" contains the disclosed amounts.

The GFE is automatically marked as delivered when the GFE is printed. You can also manually change the delivery status by clicking the GFE Delivered button in the toolbar at the top of the "GFE 2010 Page 2" screen in BytePro.

GFE Block

The GFE Block that a closing cost is assigned to can be either locked or unlocked. If the GFE block is locked then the closing cost’s GFE block cannot be changed. For example, the loan origination fee is always part of GFE block 1 "Our Origination Charge". There is no reason to change the block, so it is locked. On the other hand HUD’s RESPA FAQ indicates that, depending on the situation, the survey fee can be part of block 3 "Required services that we select", block 4 "Title services and lender’s title insurance" or block 6 "Required services that you can shop for". Accordingly, it may make sense to make the GFE block for this fee editable on a loan by loan basis. In any case, by default the GFE block is locked for all closing costs. Go to the Closing Cost Setup (Customize > Defaults > GFE - Closing Cost Setup) to change the default GFE block for each fee and to mark the GFE block as either locked or unlocked.

Closing Documents Interfaces

BytePro has integrations with many third party document preparation companies including DocMagic, Docutech and others. All of these interfaces are based on the exchange of information in a file format known as "MISMO 2.3.1". Because of the change in the format of the HUD-1, BytePro will be upgrading these interfaces to use a new file format known as "MISMO 2.6". This format supports additional fields including the amounts that are disclosed on the GFE, which are critical to completing the tolerance table on page 3 of the new HUD-1.

As of the release date of BytePro 4.1, none of the document preparation companies have finalized their MISMO 2.6 interfaces, and therefore BytePro 4.1 does not send the new file to them. Future releases of BytePro will contain updated interfaces when available; expect updates early in the first quarter of 2010.

New HUD-1 Settlement Statement

BytePro 4.1 supports the new HUD-1 document. Three new screens have been created: HUD1 2010 Page 1, HUD1 2010 Page 2 and HUD1 2010 Page 3.

The help guide contains detailed information on how to compete the new HUD-1 but a few items are worth noting:

  • If a fee was included on the GFE, but paid by the seller or lender then the amount is shown as a charge to the borrower on page 2 of the HUD-1 and credited to the borrower on page 1 of the HUD-1.
  • If a fee was not included on the GFE (e.g. the GFE block is set to None) then amounts paid by the borrower are shown in the borrower column and amounts paid by the seller are shown in the seller column.
  • Each fee has a "2010 HUD line number". Unlike for pre-2010 loans, there may be more than one closing cost with the same HUD line number. In the case of line 1102 (Settlement or closing fee), BytePro includes two closing cost lines by default: one for the amount that is the responsibility of the borrower and a second one for the amount that is the responsibility of the seller (in many states the borrower and seller split the settlement cost). On the printed HUD-1 the amounts on the two lines are combined onto the single 1102 line.

Removal of the Closing Docs Loan

In previous versions of BytePro, when you prepared closing documents you navigated to one of the screens labeled "Closing" (i.e. "Closing - HUD-1 Page 1") and pressed the button labeled "Create Closing Docs Loan". This made a copy of all of the loan parameters so that you could separately track the numbers that were disclosed on the GFE and those on the HUD-1.

Starting with loans marked as "2010 loans" BytePro no longer keeps a separate "Closing Docs Loan" because the amounts that are disclosed on the GFE are simply tracked as a separate value on each closing cost.

This change has a number of implications:

  • Changing values on the GFE and other screens cause the values on the HUD-1 to change as well.
  • Separate closing screens are no longer needed to edit values on the "Closing Docs Loan". If you navigate to one of these screens for a 2010 loan the contents of the screen will be blank. These obsolete screens are "Closing - Loan Programs", "Closing - TIL/RegZ", "Closing - Agg Escrow", "Closing - Amortization Schedule", "Closing - Closing Instructions", "Closing - HUD1 Page 1", "Closing - HUD1 Page 2", and "Closing - HUD1A".
  • When you select "Closing Docs Loan" as a reporting option in management reports, BytePro will return records for all 2010 loans. For pre-2010 loans BytePro will return records for only those files that contain a "Closing Docs Loan".