Locking Your Rate
Thank you for choosing to lock your loan with Integrity First Financial Group, Inc.. To ensure that our loan process is easy to understand we have outlined the major questions about locking a loan below. In addition, the Loan Officer assigned to your file will walk you through this process and answer any questions you may have.
1. How Do I Lock?
After speaking to a Loan Officer about your loan transaction they will email you over a submission checklist that will include your initial loan disclosures, a documentation checklist and a return fax coversheet for you to email, fax or mail your documents back to us to start the lock process. You may lock your loan with Integrity First Financial Group, Inc. after we have received your submission package and we have had an opportunity to review your file to make sure that it meets our preliminary credit, income, assets, and property valuation. After determining that you qualify, your Loan Officer will advise you on your lock options. If the market has not changed since the time of your lock request, you can request that the earlier price quote be locked. If the market has changed in either direction, you can request that the then current price be locked. You will receive a Lock Confirmation by email the same day (or the next business day if you lock after hours or on a weekend).
Items included on lock confirmation
- Product type.
- ARM detail (margin, index value, adjustment caps, max/min rate)
- Loan amount.
- Interest rate.
- Other Lender Fees.
- Mortgage insurance premium — upfront or monthly.
- Lock expiration date.
2. When will I receive my GFE?
Within 3 business days of submitting your loan application, we will send you a Good Faith Estimate (GFE), which is a Government-mandated disclosure. If your loan has been locked at that point, the locked rate and loan fees will be shown on the GFE. If your loan has not been locked on the date the GFE is issued this GFE is merely an outline of your options based on that days pricing. If that price differs from the price that is locked, a new GFE will be issued that will be consistent with the lock confirmation statement.”
3. Are my fees locked in?
When Integrity First Financial Group, Inc. locks a loan, it commits to the interest rate, points and other lender fees that are included in the lock confirmation regardless of whether or not market interest rates increase between the date the lock is issued and the date the loan is funded.
4. Are Any Fees Collected When I Lock?
Integrity First Financial Group, Inc. does not charge any upfront fees. However, you will be asked to submit a credit card authorization at the time of lock to authorize a designated appraisal management company to process your appraisal. The standard cost for an appraisal is $400 and if your appraisal deviates from this price due to loan size or location your Loan Officer will explain that cost before locking your loan. If the appraisal is conducted and the fee is paid out to the AMC for the work completed, there is no reimbursement in the event that we are forced to reject the loan or you decide you don’t want to proceed with us.
5. What Happens if the Loan Process Takes Longer Than My Lock Period?
If the delay is caused by us we will extend the lock at no cost. Outlined in your initial disclosures will be form entitled “rate lock extension agreement”. This form is signed upfront and is a written commitment from our borrowers to work with us in a timely manner to turn in any documentation needed to process and fund their file. If the delay is caused by you, you will be required to pay for the cost of the lock extension. Delays caused by you could include requesting the subordination of an existing second mortgage or home equity line, not supplying supporting documentation within three days of our request or delaying appraisal inspections or document signing appointments.
6. What is the Cost of a Lock Extension?
If your loan incurs an extension the costs of the extension vary dependent on the investor we sell your loan to and those costs are as follows.
7 day lock: (.125bps-.25 bps)
15 day lock: (.30bps-.375bps)
30 day lock: (.55bps-.75bps)
7. Can I Choose a Different Program or Rate After I’ve Locked?
You may but you will receive worse-case pricing of either the pricing you originally locked into or the current available pricing. In addition, an extra .125 points will be charged for changing your original terms. Therefore, please carefully consider the different programs and rates being offered before locking.