If the borrower pays a portion of the origination charge prior to closing, how is it disclosed on the HUD-1?

According to RESPA’s FAQs, lines 801, 802, and 803 may not contain any Paid Outside of Closing (POC) items. The full amount of the origination charge must be entered on line 801 outside the column with the offsetting credit for the amount of the POC entered on an available 200 series line.

To enter this in TitleExpress, follow these steps:

1. Double-click line 801.
2. Click the Plus Sign button.
3. Enter Origination Charge in the Description field.
4. Enter LR in the Code field.
5. Enter the full origination charge amount in the Total field.
6. Click OK and click OK to close the Line Detail window.
7. Double-click an available 200 series line.
8. Select Borrower and Seller in the Line Type option.
9. Enter Origination Charge Paid Outside of Closing in the Description field.
10. Enter the amount paid outside of closing in the Amount field.
11. Enter LR in the Code field.
12. Click OK.

After transferring from the HUD-1 on the Disbursement tab, adjust the lender's check by the POC amount. See page 57 of the TitleExpress 2010 Resource Book for more information.