Another lawyer question

[RI Builder]

On 05/15/2009 I closed on a refinance. Today, what should be funding day, the attorneys office calls and tells me their is an issue with my license that they copied on the day I closed. My license expired on 05/16/2009. I ask what the issue is, my license was valid on the day I closed and dated all documents. The attorney says that the lender wants to see the license valid through the funding day. I ask why, it makes no difference, the license was valid the day I closed, signed, and dated. They say why can't you just send a copy of the new one? Becasue I have not renewed it yet I say.

What say the great minds here - do I have a case to tell the lender to eff off?

[fichtion]

On 05/15/2009 I closed on a refinance. Today, what should be funding day, the attorneys office calls and tells me their is an issue with my license that they copied on the day I closed. My license expired on 05/16/2009. I ask what the issue is, my license was valid on the day I closed and dated all documents. The attorney says that the lender wants to see the license valid through the funding day. I ask why, it makes no difference, the license was valid the day I closed, signed, and dated. They say why can't you just send a copy of the new one? Becasue I have not renewed it yet I say.

What say the great minds here - do I have a case to tell the lender to eff off?

RI

I am a real estate attorney in CT and closing many refinances these days. The answer to your question is 2 part. From a title company standpoint, you are correct. The license is used to confirm your identity. I would submit that even a recently expired license is acceptable along with some other form to confirm your identity.

Now for part two, the lenders have complete idiots working for them and cannot think for themselves. They can only read their checklist and if it states valid license at the end of the recission period, then they will require it. Somewhere in the closing instructions to your attorney it states that he/she cannot disburse their funds unless they have complied with the lenders requirements.

Bottom line, right or wrong, get your license renewed and get them a copy or your loan may not fund. I say may, because some lender may relent and make an exception, however, if it is Provident Funding they will not fund your loan.

Good luck and let us know how you make out.

P.S. I hope you got a rate of 4.75 or better if it is a conforming loan.

[RI Builder]

Fichtion:

Thanks for the reply. I relented, got it renewed yesterday and sent a copy this morning. The closing attorney basically said this morning what you did, that their hands are tied because it is the lender. I actually realize this and my issue is with the lender and not the closing atty.

This morning I have also asked for a credit from the lender as they have now charged me one extra day of per diem interest at the closing. I really do not care but it is the principal of the matter at this point.

Rate is 4.75% conforming 30 year fixed.

[Joenic]

Don't you love rules like that? I went to town hall the other day to get copies of a birth certificate and they had a sign that said they would not accept an expired liscense. WTF, does that mean when your liscence expired you are no longer you?

[fichtion]

If I understand correctly, if they held up the disbursement, then they owe you a day of interest because you did not have the funds and continue to accrue interest on the old loan.

But having been through this many a time (no the DL issue) dont waste your time, it is worth more.

Good deal on the rate.

Take care.

And as stated above it is not a require to obtain a loan that you have a valid DL, just that under the Patriot Act that your identity can be confirmed by the settlement agent.

[Ludicrous]

This is exactly why I don't build RI's anymore...

[cataholic]

RI

I am a real estate attorney in CT and closing many refinances these days. The answer to your question is 2 part. From a title company standpoint, you are correct. The license is used to confirm your identity. I would submit that even a recently expired license is acceptable along with some other form to confirm your identity.

Now for part two, the lenders have complete idiots working for them and cannot think for themselves. They can only read their checklist and if it states valid license at the end of the recission period, then they will require it. Somewhere in the closing instructions to your attorney it states that he/she cannot disburse their funds unless they have complied with the lenders requirements.

Bottom line, right or wrong, get your license renewed and get them a copy or your loan may not fund. I say may, because some lender may relent and make an exception, however, if it is Provident Funding they will not fund your loan.

I am attorney too and though no longer closing loans, have done my share. Fichtion's answer is right on the money. Secondary market mtg companies can be ###### in the extreme. They are actually much better for the most part than when I started years ago, but the whole banking/mtg lending situation of the last year no doubt has had an adverse effect. Usually the best to jump thru the hoops cause the alternative is not worth it.