Definition & Meaning of a Qualified Written Request
A Qualified Written Request (QWR) is a formal communication from a borrower to a mortgage servicer, primarily used to address errors or request specific information regarding a mortgage loan. This request is protected under the Real Estate Settlement Procedures Act (RESPA), ensuring that borrowers have the right to seek clarification and rectify issues related to their mortgage accounts. A QWR must be in writing and is distinct from informal communications such as phone calls or emails, although some servicers may accept emails as valid QWRs.
The key components of a QWR include:
- Borrower Identification: The request must include the borrower's name, loan number, and property address.
- Specific Issues: It should clearly outline the nature of the dispute or the information being sought, such as a detailed account history or a payoff amount.
- Designated Address: The request must be sent to the servicer's designated QWR address, which may differ from where payments are sent.
How to Use the Qualified Written Request
Using a Qualified Written Request effectively involves several steps to ensure that your concerns are addressed properly. First, identify the specific issue or information you need from your mortgage servicer. This could range from disputing a payment error to requesting a detailed breakdown of fees.
Next, draft your QWR, ensuring it includes all necessary details:
- Clear Explanation: Describe the error or information request in detail.
- Contact Information: Provide your contact details for follow-up.
- Signature: Sign the document to validate it.
Once your QWR is complete, send it to the correct address. It is advisable to use certified mail to confirm delivery and maintain a copy for your records. This process ensures that you have a documented trail of your communication with the servicer.
Key Elements of the Qualified Written Request
Understanding the key elements of a Qualified Written Request is essential for its effectiveness. Each element plays a crucial role in ensuring that your request is valid and actionable by the mortgage servicer.
The essential components include:
- Written Format: The request must be in writing, as verbal requests do not meet the QWR criteria.
- Account Information: Include your name, account number, and property address to ensure the servicer can identify your loan.
- Detailed Request: Clearly articulate the specific error or information you are seeking to avoid ambiguity.
- Proper Address: Direct your request to the servicer's designated QWR address to ensure it is processed correctly.
Examples of Using the Qualified Written Request
Real-world scenarios illustrate how a Qualified Written Request can be utilized effectively. Here are a few examples:
- Disputing a Payment Error: A borrower notices an incorrect charge on their statement. They draft a QWR detailing the error, including previous payment records, and request a correction.
- Requesting Loan Information: A homeowner seeks clarification on the terms of their loan modification. They submit a QWR asking for a detailed explanation of the modification terms and any associated fees.
- Seeking Account History: A borrower may want to review their payment history for tax purposes. A QWR can be used to request a complete account history from the servicer.
Steps to Complete the Qualified Written Request
Completing a Qualified Written Request involves a systematic approach to ensure clarity and compliance with RESPA guidelines. Follow these steps:
- Identify the Issue: Determine the specific error or information you need from your servicer.
- Draft the Request: Write your QWR, including all necessary details such as your account information and a clear explanation of your request.
- Review and Edit: Check for clarity and completeness. Ensure that all required information is included.
- Send the Request: Mail your QWR to the designated address using certified mail for tracking purposes.
- Follow Up: Keep a record of your request and follow up if you do not receive a response within the required time frame.
Legal Use of the Qualified Written Request
The Qualified Written Request is a legal tool designed to protect borrowers under federal law. RESPA mandates that mortgage servicers respond to QWRs within specific time frames, ensuring that borrowers receive timely information and resolutions to their inquiries.
Key legal aspects include:
- Response Time: Servicers must acknowledge receipt of a QWR within twenty days and provide a substantive response within sixty days.
- Protection Against Retaliation: Borrowers are protected from negative consequences, such as foreclosure actions, while their QWR is under review.
- Documentation: Keeping records of all correspondence related to the QWR is crucial for legal protection and future reference.
Who Typically Uses the Qualified Written Request
The Qualified Written Request is primarily utilized by homeowners and borrowers who have mortgage loans. However, various scenarios may prompt its use:
- Homeowners Facing Issues: Individuals disputing errors in their mortgage statements or seeking clarification on loan terms.
- Real Estate Professionals: Agents and brokers may advise clients on using QWRs to address servicer-related issues.
- Legal Representatives: Attorneys representing borrowers may file QWRs on behalf of their clients to ensure compliance with RESPA.
