MVB MORTGAGE presents A Guide to TRID: the New Loan Estimate & Closing Disclosure

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1 MVB MORTGAGE presents A Guide to TRID: the New Loan Estimate & Closing Disclosure We re the piece of the puzzle bringing the home ownership picture together for your clients! The McCoy Team Danny McCoy Branch Manager NMLS ID# danny.mccoy@mvbmortgage.com Daniel McCoy Senior Loan Officer NMLS ID# daniel.mccoy@mvbmortgage.com MVB Mortgage, MVB Mortgage of PA, and MVB Mortgage of KY are registered trade names of Potomac Mortgage Group, Inc., a wholly-owned subsidiary of MVB Bank, Inc. Company NMLS ID# EQUAL HOUSING LENDER

2 INTRODUCTION On October 1, 2015, the Consumer Financial Protection Board s new LOAN ESTIMATE and CLOSING DISCLOSURES documentation requirements will go in effect for most mortgage loans. These new disclosures have evolved over many years under the auspices of different federal regulators. In 2010, Congress passed the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act), resulting in a mandate that these disclosures be combined and streamlined so it would be easier for consumers to understand the terms of their loan and to shop for the best loan terms. The new forms combine the traditional Good Faith Estimate, Truth in Lending disclosure, and HUD-1 Settlement Statement currently required under the Truth in Lending Act (TILA) and Real Estate Settlement Procedures Act (RESPA). They must be used for most closed-end consumer mortgages. Certain types of loans, such as home equity lines of credit, reverse mortgages, and mortgages secured by a mobile home or by a dwelling that is not attached to real property, must continue to use current disclosure forms required by TILA and RESPA. We at MVB Mortgage want our real estate and building industry partners to know that we have been ahead of the curve regarding these new requirements since the first announcement of their creation. We have been updating our systems and procedures and will be 100% ready to launch these changes even before the official start date. As always, educating borrowers remains paramount and we hope this guide will also help you when speaking with clients. NOTICE REGARDING LIMITATION ON USE OF INFORMATION The information provided herein is for general educational purposes only and should not be construed as legal advice. This information is provided as is without any representations or warranties, express or implied, including, but not limited to, any representation that the information is complete, true, accurate, up-to-date or nonmisleading. If you have specific questions about any information provided herein, you should consult your attorney or other professional legal services provider. The LOAN ESTIMATE is provided to the buyer within three business days of applying for a mortgage loan. It includes the terms of the loan, the projected payments and an estimate of the closings costs. Since the Loan Estimate is uniform from lender to lender, it can be used to compare and shop around for the best mortgage to fit a borrower s situation. Under the new regulations, the CLOSING DISCLOSURE must be provided to the borrower at least three business days before he or she becomes contractually obligated for the loan (generally when the final loan documents are signed). Just like the Loan Estimate, the Closing Disclosure lists information about the loan terms, monthly payments and closing costs. These are not estimates, however, but the actual and final terms of the loan. THE BOTTOM LINE: The Closing Disclosure is designed to work with the Loan Estimate so borrowers can easily compare the two documents and ensure they are getting the terms promised to them.

3 LOAN ESTIMATE PAGE 1 APPLICANT, PROPERTY & LOAN INFO Identifies the borrowers, the property address, the sale price (or appraised value or estimated value if the loan is a refinance), the length of the loan and the terms. FICUS BANK 4321 Random Boulevard Somecity, ST Loan Estimate DATE ISSUED 2/15/2013 APPLICANTS Michael Jones and Mary Stone 123 Anywhere Street Anytown, ST PROPERTY 456 Somewhere Avenue Anytown, ST SALE PRICE $180,000 Save this Loan Estimate to compare with your Closing Disclosure. LOAN TERM 30 years PURPOSE Purchase ce PRODUCT Fixed Rate LOAN TYPE x Conventional FHA VA LOAN ID # RATE LOCK NO x YES, until 4/16/2013 at 5:00 p.m. EDT Before closing, your interest rate, points, and lender credits can change unless you lock the interest rate. All other estimated closing costs expire on 3/4/2013 at 5:00 p.m. EDT LOAN TERMS Lists the amount the borrower is proposing to borrow, the interest rate, and the monthly principal and interest. Indicates whether the loan has any special features such as a prepayment penalty or a balloon payment. PROJECTED PAYMENTS Combines the principal and interest, mortgage insurance and estimated escrow to show the estimated monthly payment. Escrow can include homeowners insurance, taxes, and other assessments, if any. COSTS AT CLOSING The estimated closing costs and the estimated cash the borrower will need to close, which includes closings costs plus the down payment. (Explained in more detail on page 2.) Loan Terms Loan Amount $162,000 NO Interest Rate 3.875% NO Monthly Principal & Interest See Projected Payments below for your Estimated Total Monthly Payment $ NO Can this amount increase after closing? Does the loan have these features? Prepayment Penalty YES As high as $3,240 if you pay off the loan during the first 2 years Balloon Payment Projected Payments Payment Calculation Years 1-7 Years 8-30 Principal & Interest Mortgage Insurance Estimated Escrow Amount can increase over time $ NO $ Estimated Total Monthly Payment $1,050 $968 Estimated Taxes, Insurance & Assessments Amount can increase over time Costs at Closing LOAN ESTIMATE $206 a month This estimate includes In escrow? x Property Taxes YES x Homeowner s Insurance YES Other: See Section G on page 2 for escrowed property costs. You must pay for other property costs separately. Estimated Closing Costs $8,054 Includes $5,672 in Loan Costs + $2,382 in Other Costs $0 in Lender Credits. See page 2 for details. Estimated Cash to Close $16,054 Includes Closing Costs. See Calculating Cash to Close on page 2 for details. Visit for general information and tools. PAGE 1 OF 3 LOAN ID #

4 LOAN ESTIMATE PAGE 2 ORIGINATION CHARGES Fees the lender charges to process, underwrite and fund the loan. SERVICES YOU CANNOT SHOP FOR Fees for services provided by persons other than the lender but required by the lender in order to determine if it will fund the loan. SERVICES YOU CAN SHOP FOR Additional services provided by persons other than the lender and required to finalize the loan, but for which the borrower is permitted to select his or her own service providers. TAXES & OTHER GOVERNMENT FEES Fees required by the local or state government for the transfer of property or for recording the mortgage in the county records. Closing Cost Details Loan Costs A. Origination Charges $1, % of Loan Amount (Points) $405 Application Fee $300 Underwriting Fee $1,097 B. Services You Cannot Shop For $672 Appraisal Fee $405 Credit Report Fee $30 Flood Determination Fee $20 Flood Monitoring Fee $32 Tax Monitoring Fee $75 Tax Status Research Fee $110 C. Services You Can Shop For $3,198 Pest Inspection Fee $135 Survey Fee $65 Title Insurance Binder $700 Title Lender s Title Policy $535 Title Settlement Agent Fee $502 Title Title Search $1,261 D. TOTAL LOAN COSTS (A + B + C) $5,672 Other Costs E. Taxes and Other Government Fees $85 Recording Fees and Other Taxes $85 Transfer Taxes F. Prepaids $867 Homeowner s Insurance Premium ( 6 months) $605 Mortgage Insurance Premium ( months) Prepaid Interest ( $17.44 per day for %) $262 Property Taxes ( months) G. Initial Escrow Payment at Closing $413 Homeowner s Insurance $ per month for 23mo. $202 Mortgage Insurance per month for 0 mo. Property Taxes $ per month for 2 mo. $211 H. Other $1,017 Title Owner s Title Policy (optional) $1,017 I. TOTAL OTHER COSTS (E + F + G + H) $2,382 J. TOTAL CLOSING COSTS $8,054 D + I $8,054 Lender Credits Calculating Cash to Close Total Closing Costs (J) $8,054 Closing Costs Financed (Paid from your Loan Amount) $0 Down Payment/Funds from Borrower $18,000 Deposit $10,000 Funds for Borrower $0 Seller Credits $0 Adjustments and Other Credits $0 Estimated Cash to Close $16,054 PREPAIDS Insurance, taxes, and other items required to be paid at the time of the closing of the mortgage. LOAN ESTIMATE PAGE 2 OF 3 LOAN ID # INITIAL ESCROW PAYMENT AT CLOSING The lender requires the creation of an escrow account from which to pay various recurring periodic payments, such as mortgage insurance, homeowners insurance and property taxes. This is a listing of initial payments into the escrow. OTHER Additional payments, such as homeowner s association fees associated with transfer of ownership, home warranty fees, real estate commissions and owner s title insurance. CALCULATING CASH TO CLOSE Cash the borrower will need to bring to the closing, including the total closing costs plus the down payment. It can also include any credits or adjustments.

5 LOAN ESTIMATE PAGE 3 LENDER INFORMATION Contact and licensing information for the lender, loan officer and, if applicable, mortgage broker. Additional Information About This Loan LENDER Ficus Bank NMLS/ LICENSE ID LOAN OFFICER Joe Smith NMLS/ LICENSE ID joesmith@ficusbank.com PHONE MORTGAGE BROKER NMLS/ LICENSE ID LOAN OFFICER NMLS/ LICENSE ID PHONE COMPARISONS This information provides a basis of comparison should the borrower choose to shop further for a loan. Comparisons In 5 Years Annual Percentage Rate (APR) Total Interest Percentage (TIP) Use these measures to compare this loan with other loans. $56,582 Total you will have paid in principal, interest, mortgage insurance, and loan costs. $15,773 Principal you will have paid off % Your costs over the loan term expressed as a rate. This is not your interest rate % The total amount of interest that you will pay over the loan term as a percentage of your loan amount. OTHER CONSIDERATIONS This section details particular requirements of the lender and may change from lender to lender. Other Considerations Appraisal Assumption Homeowner s Insurance Late Payment Refinance Servicing We may order an appraisal to determine the property s value and charge you for this appraisal. We will promptly give you a copy of any appraisal, even if your loan does not close. You can pay for an additional appraisal for your own use at your own cost. If you sell or transfer this property to another person, we will allow, under certain conditions, this person to assume this loan on the original terms. x will not allow assumption of this loan on the original terms. This loan requires homeowner s insurance on the property, which you may obtain from a company of your choice that we find acceptable. If your payment is more than 15 days late, we will charge a late fee of 5% of the monthly principal and interest payment. Refinancing this loan will depend on your future financial situation, the property value, and market conditions. You may not be able to refinance this loan. We intend to service your loan. If so, you will make your payments to us. x to transfer servicing of your loan. CONFIRM RECEIPT The borrower signs to confirm that he or she has received the Loan Estimate. This is NOT a final loan application and does NOT obligate the borrower to accept the loan. Confirm Receipt By signing, you are only confirming that you have received this form. You do not have to accept this loan because you have signed or received this form. Applicant Signature Date Co-Applicant Signature Date LOAN ESTIMATE PAGE 3 OF 3 LOAN ID #

6 CLOSING DISCLOSURE PAGE 1 CLOSING, TRANSACTION & LOAN INFO The closing date and location, information about the transaction, and the loan length and terms. Closing Disclosure Closing Information Date Issued 4/15/2013 Closing Date 4/15/2013 Disbursement Date 4/15/2013 Settlement Agent Epsilon Title Co. File # Property 456 Somewhere Ave Anytown, ST Sale Price $180,000 Transaction Information Borrower Seller Lender This form is a statement of final loan terms and closing costs. Compare this document with your Loan Estimate. Michael Jones and Mary Stone 123 Anywhere Street Anytown, ST Steve Cole and Amy Doe 321 Somewhere Drive Anytown, ST Ficus Bank Loan Information Loan Term Purpose Product 30 years Purchase Fixed Rate Loan Type x Conventional FHA VA Loan ID # MIC # LOAN TERMS The amount to be borrowed, the interest rate, and the cost of the monthly principal and interest. Indicates whether the loan has a prepayment penalty or a balloon payment. PROJECTED PAYMENTS The monthly principal and interest payments. This number, combined with the mortgage insurance and monthly escrow payment, equals the estimated total monthly payment. Since escrow requirements can change over time with the increase of property taxes or homeowner s insurance, the escrow portion of the payment can vary from year to year. Not all fees are paid out of escrow. In this example, the homeowner s association fees are not paid out of escrow and are the responsibility of the borrower. Loan Terms Loan Amount $162,000 NO Interest Rate 3.875% NO Monthly Principal & Interest $ NO See Projected Payments below for your Estimated Total Monthly Payment Projected Payments Can this amount increase after closing? Does the loan have these features? Prepayment Penalty YES As high as $3,240 if you pay off the loan during the first 2 years Balloon Payment Payment Calculation Years 1-7 Years 8-30 Principal & Interest Mortgage Insurance Estimated Escrow Amount can increase over time Costs at Closing $ NO $ Estimated Total Monthly Payment $1, $ Estimated Taxes, Insurance & Assessments Amount can increase over time See page 4 for details $ a month This estimate includes In escrow? x Property Taxes YES x Homeowner s Insurance YES x Other: Homeowner s Association Dues NO See Escrow Account on page 4 for details. You must pay for other property costs separately. Closing Costs $9, Includes $4, in Loan Costs + $5, in Other Costs $0 in Lender Credits. See page 2 for details. Cash to Close $14, Includes Closing Costs. See Calculating Cash to Close on page 3 for details. COSTS at CLOSING Total closing costs and the estimated cash the borrower will need to close, which includes closing costs plus the down payment. This is explained in more detail on page 2. CLOSING DISCLOSURE PAGE 1 OF 5 LOAN ID #

7 CLOSING DISCLOSURE PAGE 2 CLOSING COST DETAILS: This page details all of the final closing costs, who is responsible for each fee and what fees have already been paid. ORIGINATION CHARGES Fees the lender charges to process, underwrite, and fund the loan. SERVICES BORROWER DID NOT SHOP FOR Fees for services the lender ordered to make an underwriting determination. SERVICES BORROWER DID SHOP FOR Additional services required by the lender but selected by the borrower. TAXES & OTHER GOVERNMENT FEES Fees required by the local and state government for the transfer of property or for recording the mortgage in the county records. PREPAIDS Fees the borrower is required to pay up front, such as homeowner s insurance, mortgage insurance, pre-paid interest and property taxes. Closing Cost Details Loan Costs Borrower-Paid Seller-Paid Paid by Others At Closing Before Closing At Closing Before Closing A. Origination Charges $1, % of Loan Amount (Points) $ Application Fee $ Underwriting Fee $1, B. Services Borrower Did Not Shop For $ Appraisal Fee to John Smith Appraisers Inc. $ Credit Report Fee to Information Inc. $ Flood Determination Fee to Info Co. $ Flood Monitoring Fee to Info Co. $ Tax Monitoring Fee to Info Co. $ Tax Status Research Fee to Info Co. $ C. Services Borrower Did Shop For $2, Pest Inspection Fee to Pests Co. $ Survey Fee to Surveys Co. $ Title Insurance Binder to Epsilon Title Co. $ Title Lender s Title Insurance to Epsilon Title Co. $ Title Settlement Agent Fee to Epsilon Title Co. $ Title Title Search to Epsilon Title Co. $ D. TOTAL LOAN COSTS (Borrower-Paid) $4, Loan Costs Subtotals (A + B + C) $4, $29.80 Other Costs E. Taxes and Other Government Fees $ Recording Fees Deed: $40.00 Mortgage: $45.00 $ Transfer Tax to Any State $ F. Prepaids $2, Homeowner s Insurance Premium ( 12 mo.) to Insurance Co. $1, Mortgage Insurance Premium ( mo.) 03 Prepaid Interest ( $17.44 per day from 4/15/13 to 5/1/13 ) $ Property Taxes ( 6 mo.) to Any County USA $ G. Initial Escrow Payment at Closing $ Homeowner s Insurance $ per month for 2 mo. $ Mortgage Insurance per month for mo. 03 Property Taxes $ per month for 2 mo. $ Aggregate Adjustment 0.01 H. Other $2, HOA Capital Contribution to HOA Acre Inc. $ HOA Processing Fee to HOA Acre Inc. $ Home Inspection Fee to Engineers Inc. $ $ Home Warranty Fee to XYZ Warranty Inc. $ Real Estate Commission to Alpha Real Estate Broker $5, Real Estate Commission to Omega Real Estate Broker $5, Title Owner s Title Insurance (optional) to Epsilon Title Co. $1, I. TOTAL OTHER COSTS (Borrower-Paid) $5, Other Costs Subtotals (E + F + G + H) $5, J. TOTAL CLOSING COSTS (Borrower-Paid) $9, Closing Costs Subtotals (D + I) $9, $29.80 $12, $ $ Lender Credits CLOSING DISCLOSURE PAGE 2 OF 5 LOAN ID # INITIAL ESCROW PAYMENT AT CLOSING The lender requires the creation of an escrow account from which to pay future amounts due for mortgage insurance, homeowners insurance and property taxes. This is a listing of initial payments into the escrow. OTHER Other payments, such as homeowner s association fees, home warranty fees, real estate commissions and owner s title insurance.

8 CLOSING DISCLOSURE PAGE 3 CALCULATING CASH TO CLOSE Cash the borrower will need to bring to the closing, and includes the total closing costs plus the borrower s down payment. It can also include any credits or adjustments. Calculating Cash to Close Use this table to see what has changed from your Loan Estimate. Loan Estimate Final Did this change? Total Closing Costs (J) $8, $9, YES See Total Loan Costs (D) and Total Other Costs (I) Closing Costs Paid Before Closing $0 $29.80 YES You paid these Closing Costs before closing Closing Costs Financed (Paid from your Loan Amount) $0 $0 NO Down Payment/Funds from Borrower $18, $18, NO Deposit $10, $10, NO Funds for Borrower $0 $0 NO Seller Credits $0 $2, YES See Seller Credits in Section L Adjustments and Other Credits $0 $1, YES See details in Sections K and L Cash to Close $16, $14, SUMMARIES OF TRANSACTION Summarizes the transaction for both the buyer and the seller. CALCULATION Cash the borrower must bring to the closing, and how much the seller will be paid after all mortgages, judgments, liens and fees due from seller are paid at the closing. Summaries of Transactions Use this table to see a summary of your transaction. BORROWER S TRANSACTION SELLER S TRANSACTION K. Due from Borrower at Closing $189, M. Due to Seller at Closing $180, Sale Price of Property $180, Sale Price of Property $180, Sale Price of Any Personal Property Included in Sale 03 Closing Costs Paid at Closing (J) $9, Sale Price of Any Personal Property Included in Sale Adjustments Adjustments for Items Paid by Seller in Advance Adjustments for Items Paid by Seller in Advance 08 City/Town Taxes to 09 City/Town Taxes to 09 County Taxes to 10 County Taxes to 10 Assessments to 11 Assessments to 11 HOA Dues 4/15/13 to 4/30/13 $ HOA Dues 4/15/13 to 4/30/13 $ L. Paid Already by or on Behalf of Borrower at Closing $175, N. Due from Seller at Closing $115, Deposit $10, Excess Deposit 02 Loan Amount $162, Closing Costs Paid at Closing (J) $12, Existing Loan(s) Assumed or Taken Subject to Existing Loan(s) Assumed or Taken Subject to 04 Payoff of First Mortgage Loan $100, Seller Credit $2, Payoff of Second Mortgage Loan Other Credits 06 Rebate from Epsilon Title Co. $ Seller Credit $2, Adjustments Adjustments for Items Unpaid by Seller Adjustments for Items Unpaid by Seller 12 City/Town Taxes 1/1/13 to 4/14/13 $ City/Town Taxes 1/1/13 to 4/14/13 $ County Taxes to 15 County Taxes to 14 Assessments to 16 Assessments to CALCULATION Total Due from Borrower at Closing (K) $189, CALCULATION Total Due to Seller at Closing (M) $180, Total Paid Already by or on Behalf of Borrower at Closing (L) $175, Total Due from Seller at Closing (N) $115, Cash to Close x From To Borrower $14, Cash From x To Seller $64, CLOSING DISCLOSURE PAGE 3 OF 5 LOAN ID #

9 CLOSING DISCLOSURE PAGE 4 LOAN DISCLOSURES Special features of the loan that are required to be disclosed to the borrower. ESCROW ACCOUNT Explanation of the purpose of an escrow account. ESCROW ACCOUNT DETAILS Fees required upfront to provide a cushion for the escrow account and the portion of the monthly payment that is put towards escrow. It also lists those fees that are NOT in escrow and will be paid directly by the borrower. FUTURE CONSIDERATIONS Additional information about the escrow account, including what changes may occur in the escrow account in the future and your responsibility to make sure taxes and insurance are paid. Additional Information About This Loan Loan Disclosures Assumption If you sell or transfer this property to another person, your lender will allow, under certain conditions, this person to assume this loan on the original terms. x will not allow assumption of this loan on the original terms. Demand Feature Your loan has a demand feature, which permits your lender to require early repayment of the loan. You should review your note for details. x does not have a demand feature. Late Payment If your payment is more than 15 days late, your lender will charge a late fee of 5% of the monthly principal and interest payment. Negative Amortization (Increase in Loan Amount) Under your loan terms, you are scheduled to make monthly payments that do not pay all of the interest due that month. As a result, your loan amount will increase (negatively amortize), and your loan amount will likely become larger than your original loan amount. Increases in your loan amount lower the equity you have in this property. may have monthly payments that do not pay all of the interest due that month. If you do, your loan amount will increase (negatively amortize), and, as a result, your loan amount may become larger than your original loan amount. Increases in your loan amount lower the equity you have in this property. x do not have a negative amortization feature. Partial Payments Your lender x may accept payments that are less than the full amount due (partial payments) and apply them to your loan. may hold them in a separate account until you pay the rest of the payment, and then apply the full payment to your loan. does not accept any partial payments. If this loan is sold, your new lender may have a different policy. Security Interest You are granting a security interest in 456 Somewhere Ave., Anytown, ST You may lose this property if you do not make your payments or satisfy other obligations for this loan. Escrow Account For now, your loan x will have an escrow account (also called an impound or trust account) to pay the property costs listed below. Without an escrow account, you would pay them directly, possibly in one or two large payments a year. Your lender may be liable for penalties and interest for failing to make a payment. Escrow Escrowed Property Costs over Year 1 Non-Escrowed Property Costs over Year 1 Initial Escrow Payment Monthly Escrow Payment No Escrow Estimated Property Costs over Year 1 Escrow Waiver Fee $2, Estimated total amount over year 1 for your escrowed property costs: Homeowner s Insurance Property Taxes $1, Estimated total amount over year 1 for your non-escrowed property costs: Homeowner s Association Dues You may have other property costs. $ A cushion for the escrow account you pay at closing. See Section G on page 2. $ The amount included in your total monthly payment. will not have an escrow account because you declined it your lender does not offer one. You must directly pay your property costs, such as taxes and homeowner s insurance. Contact your lender to ask if your loan can have an escrow account. Estimated total amount over year 1. You must pay these costs directly, possibly in one or two large payments a year. In the future, Your property costs may change and, as a result, your escrow payment may change. You may be able to cancel your escrow account, but if you do, you must pay your property costs directly. If you fail to pay your property taxes, your state or local government may (1) impose fines and penalties or (2) place a tax lien on this property. If you fail to pay any of your property costs, your lender may (1) add the amounts to your loan balance, (2) add an escrow account to your loan, or (3) require you to pay for property insurance that the lender buys on your behalf, which likely would cost more and provide fewer benefits than what you could buy on your own. CLOSING DISCLOSURE PAGE 4 OF 5 LOAN ID #

10 CLOSING DISCLOSURE PAGE 5 LOAN CALCULATIONS The total cost to the borrower over the life of the loan. OTHER DISCLOSURES Additional general disclosures about the loan. CONTACT INFORMATION Important contact information for the service providers who assisted in the property purchase (if applicable), as well as processing, funding and closing of the loan. Loan Calculations Total of Payments. Total you will have paid after you make all payments of principal, interest, mortgage insurance, and loan costs, as scheduled. $285, Finance Charge. The dollar amount the loan will cost you. $118, Amount Financed. The loan amount available after paying your upfront finance charge. $162, Annual Percentage Rate (APR). Your costs over the loan term expressed as a rate. This is not your interest rate % Total Interest Percentage (TIP). The total amount of interest that you will pay over the loan term as a percentage of your loan amount % Questions? If you have questions about the loan terms or costs on this form, use the contact information below. To get more information or make a complaint, contact the Consumer Financial Protection Bureau at? Other Disclosures Contact Information Lender Mortgage Broker Real Estate Broker (B) Name Ficus Bank FRIENDLY MORTGAGE BROKER INC. Address 4321 Random Blvd. Somecity, ST Terrapin Dr. Somecity, MD Appraisal If the property was appraised for your loan, your lender is required to give you a copy at no additional cost at least 3 days before closing. If you have not yet received it, please contact your lender at the information listed below. Contract Details See your note and security instrument for information about what happens if you fail to make your payments, what is a default on the loan, situations in which your lender can require early repayment of the loan, and the rules for making payments before they are due. Liability after Foreclosure If your lender forecloses on this property and the foreclosure does not cover the amount of unpaid balance on this loan, x state law may protect you from liability for the unpaid balance. If you refinance or take on any additional debt on this property, you may lose this protection and have to pay any debt remaining even after foreclosure. You may want to consult a lawyer for more information. state law does not protect you from liability for the unpaid balance. Refinance Refinancing this loan will depend on your future financial situation, the property value, and market conditions. You may not be able to refinance this loan. Tax Deductions If you borrow more than this property is worth, the interest on the loan amount above this property s fair market value is not deductible from your federal income taxes. You should consult a tax advisor for more information. Omega Real Estate Broker Inc. 789 Local Lane Sometown, ST Real Estate Broker (S) Alpha Real Estate Broker Co. 987 Suburb Ct. Someplace, ST Settlement Agent Epsilon Title Co. 123 Commerce Pl. Somecity, ST NMLS ID ST License ID Z Z61456 Z61616 Contact Joe Smith JIM TAYLOR Samuel Green Joseph Cain Sarah Arnold Contact NMLS ID Contact P16415 P51461 PT1234 ST License ID joesmith@ ficusbank.com JTAYLOR@ FRNDLYMTGBRKR.CM sam@omegare.biz joe@alphare.biz sarah@ epsilontitle.com Phone CONFIRM RECEIPT The borrower signs to confirm that he or she has received the Closing Disclosure. Important: this does NOT obligate borrower to accept the loan. Confirm Receipt By signing, you are only confirming that you have received this form. You do not have to accept this loan because you have signed or received this form. Applicant Signature Date Co-Applicant Signature Date CLOSING DISCLOSURE PAGE 5 OF 5 LOAN ID #

11 ABOUT MVB MORTGAGE The Partner You Trust OUR MISSION It is indeed our mission to provide a consumer experience that exceeds our clients expectations. Our residential mortgage loan officers strive to be the most proficient, most concerned, and most proactive mortgage origination resource people in the industry. In an ever-changing regulatory world, our management team is constantly focused on improving our best practices and streamlining our processes to create an atmosphere that allows our loan officers to act fast, per changing market conditions, to benefit their clients. OUR TECHNOLOGY & KNOWLEDGE The detail-oriented service we provide to every client is backed by experienced, business-saavy people and the most responsive, efficient, and technologically advanced data system available within our industry today, customized for us. We have the resources and commitment from our technology staff that reinforces our goals for accuracy and timeliness. We can also ensure that the demand for information security is met. The regulatory environment in which we do business is often fluid. We ensure that every underwriter, processor, and closer, and all of our loan officers and loan officer assistants receive training to match the frequency of the changes in regulations. These investments in our staff and our business systems have paid off: annual loan volume at MVB Mortgage exceeds one billion dollars, and we continue to grow through product and market expansion. THE BOTTOM LINE We are local: our largest presence is in the greater Washington DC-Metro area, with offices in Ashburn, McLean, Fairfax and inside the District of Columbia. We are in West Virginia from Martinsburg to Morgantown and Charleston, and points between. Last but not least, we have offices in North and South Carolina, from Charlotte and Wilmington to Charleston and Columbia. Our goal is for our clients experience to exceed their expectations of meeting their needs and satisfying their wants. From the diversity of our loan products to meet needs, to our expertise in guiding clients to an understanding of how they can realize their home-financing wants, we are dedicated to being the very best in our marketplace. Thank You for the opportunity to work with you and serve your clients. This is an advertisement. MVB Mortgage, MVB Mortgage of PA, and MVB Mortgage of KY are registered trade names of Potomac Mortgage Group, Inc., a wholly-owned subsidiary of MVB Bank, Inc. Company NMLS ID# EQUAL HOUSING LENDER

12 NOTICE REGARDING LIMITATION ON USE OF INFORMATION The information provided herein is for general educational purposes only and should not be construed as legal advice. This information is provided as is without any representations or warranties, express or implied, including, but not limited to, any representation that the information is complete, true, accurate, up-to-date or nonmisleading. If you have specific questions about any information provided herein, you should consult your attorney or other professional legal services provider. MVB Mortgage, MVB Mortgage of PA, and MVB Mortgage of KY are registered trade names of Potomac Mortgage Group, Inc., a wholly-owned subsidiary of MVB Bank, Inc. Company NMLS ID# EQUAL HOUSING LENDER