HMDA Information (2018 Version)
View the "Create and Submit a HMDA Report" Quick Reference Guide
This help topic describes the HMDA Information input form for HMDA reporting information required for year 2018 and later. For information about the HMDA Information input form used for year 2017 and earlier, click here.
Use the HMDA Information form to provide required information for government monitoring of loan applications. The Home Mortgage Disclosure Act (HMDA) requires lending institutions to report public loan data that can be used to determine whether financial institutions are serving the housing needs of their communities, to help public officials to distribute public investment funds to attract private investment to areas where it is needed, and to identify possible discriminatory lending patterns.
Much of the HMDA Information data is populated from the 1003 application. For detailed information about HMDA reporting requirements go to the HMDA platform web page at http://www.consumerfinance.gov/hmda/for-filers.
If you are using the Encompass Compliance Service, you can run a loan check to review the loan for compliance issues based on HMDA requirements and other industry regulations. During the loan check, the Rate Spread, MSA Number, County Code, State Code, and Census Tract fields on the HMDA Information form will be populated automatically (if enabled by your administrator). If you are not an Encompass Compliance Service user, you can use the Geocode button to populate these fields, however, you must be registered with PCi or QuestSoft (the HMDA data-reporting service providers) in order to use it. You can access either provider's registration Web page by clicking the Services tab, and then clicking Request HMDA Management.
The HMDA Information input form has three tabs:
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2018 HMDA Originated/Adverse Action Loans - This tab displays information that is reported for a loan that is originated by your company and receiving a credit decision in 2018 or later. The tab displays when any option except 6. Purchased is selected for the Action Taken (field ID 1393).
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2018 HMDA Purchased Loans - This tab displays information that is reported for a loan that is purchased by your company in 2018 or later. The tab displays when the 6. Purchased option is selected for the Action Taken (field ID 1393).
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Repurchased Loans - This tab displays information that is reported for a loan that is purchased by your company in 2018 or later. The tab displays to the right of the 2018 HMDA Originated/Adverse Action Loans tab or the 2018 HMDA Purchased Loans tab when a Repurchase Date (field ID 3312) is then entered or selected.
By default, loans with a HMDA Reporting Year (field ID HMDA.X27) of 2018 or later display the 2018 HMDA Originated/Adverse Action Loans tab until the Action Taken or Repurchase Dates are adjusted as described above. However, loans with Correspondent selected for the channel option (field ID 2626) will display the 2018 HMDA Purchased Loans tab by default if your Encompass administrator has configured the following selections in the Channel Option section in the HMDA Profile settings (Encompass Settings > Loan Setup > HMDA Profile):
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The Loans with no channel selected will be treated as option is set to Correspondent.
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The Loans marked as Correspondent will be treated as option is set to Purchased.
2018 HMDA Originated/Adverse Action Loans Tab
This tab displays HMDA information that will be reported for a loan that was originated by your company. It includes all required data to be reported for loans receiving a credit decision in 2018 and subsequent reporting years as required under Regulation C, 2015 HMDA Rule.
At the top of the tab:
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Select the Exclude loan from HMDA report checkbox to exclude the loan from the HMDA report.
The option described below was introduced in Encompass 18.4.0.5. (View the release notes)
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Select the Loan is Partially Exempt checkbox to indicate that a loan is
partially exempt from HMDA reporting. Partial exemptions can be used by depository institutions and insured credit unions with fewer than 500 closed-end mortgage loans or fewer than 500 open-end mortgage loans (or both) in each of the preceding two calendar years. These institutions have the option to report some or all of the HMDA fields that are subject to the partial exemption rule based on their compliance policy and the requirements of their regulator. The recommended best practice is to create a business rule to select or clear this checkbox when a loan is created based on the HMDA years and loan types for which you are claiming exemption. Selecting the Exclude loan from HMDA report checkbox excludes the loan entirely from the HMDA reporting LAR. Selecting the Loan is Partially Exempt checkbox merely indicates that some of the data in the loan is exempt from HMDA reporting, but the loan is still included in the HMDA reporting LAR.
- Qualifying Institutions may not be eligible for partial exemption if data in the exempt fields is required by the lender’s regulator (FDIC or OCC).
- If you use an external vendor to prepare or manage your LAR, please review your vendor’s instructions for processing partially exempt transactions.
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Enter a Reporting LEI to enter a legal entity identifier (LEI) that will be used for HMDA reporting purposes if you intend to use an LEI that is different form the LEI associated with the HMDA profile assigned to the loan.
Using the Reporting LEI field is not recommended for most retail use cases. This feature is primarily available for lenders who have a retail channel or who want to generate an investor LEI for their loans.
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Click the Universal Loan ID Lock icon to change the ID for the loan.
The option described below was introduced in Encompass 18.4.0.5. (View the release notes)
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Click the Apply Partial Exemption button to exempt all fields allowable under the partial exemption rule from the HMDA LAR. Clicking the button populates Exempt to allowable data entry fields and 1111. Partially Exempt to allowable fields with a dropdown list. When you click the Apply Partial Exemption button, Encompass automatically selects the Loan is Partially Exempt checkbox if is not already selected, and the partially exempt fields with Lock icons are no longer editable unless you click the Lock icon to update the field.
When the Apply Partial Exemption button is clicked, the Reason for Denial (field ID HMDA.X21) and Property State (field ID HMDA.X90) fields are not marked as exempt by default because these fields might be required by your regulator (FDIC or OCC). The Initially Payable to Your Institution dropdown list (field ID HMDA.X43) is also not populated with the 1111. Partially Exempt option due to variations in the way different companies do business. These fields can be populated by using a business rule based on your company’s policy or can be populated manually.
Because lenders can report some or all of the fields covered by partial exemption, you have the option to exempt a subset of the allowable fields. The recommended best practice for this scenario is to create a Field Trigger business rule that populates the exemption status for specified fields based on the HMDA reporting year and any additional considerations required by your company. If your company is no longer exempt from HMDA reporting in a later year, the business rule can be disabled. Work with your company’s Compliance department to determine the conditions to use in business rules that apply the exemption status to the selected fields. ICE Mortgage Technology Professional Services is also available to assist in creating business rules designed for your company’s needs.
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Use the HMDA Profile Name dropdown list to select a HMDA Profile for the loan.
After selecting the HMDA Profile Name, you need to click the Recalculate HMDA button described below to recalculate the HMDA calculation based on the newly selected HMDA profile.
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Click the Calculate ULI button (if enabled) to generate a Universal loan ID based on the Reporting LEI or the HMDA Profile LEI. The Calculate ULI button is enabled only if the Loan # (field ID 364) is populated, the Universal Loan ID (field ID HMDA.X28) has not been edited, and either the Universal Loan ID (field ID HMDA.X28) or Reporting LEI (field ID HMDA.X106) are populated.
Using the Calculate ULI button is not recommended for most retail use cases. This feature is primarily available for lenders who have a retail channel or who want to generate an investor LEI for their loans.
The option described below was introduced in Encompass 18.4.0.5. (View the release notes)
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Click the Recalculate HMDA button (field ID BUTTON_RECALCULATEHMDA) to apply the HMDA Profile Name selected on the HMDA Information input form and retrigger the HMDA calculations based on the HMDA profile and the HMDA Action Taken (field ID 1393).
Administrators can use a Persona Access to Fields business rule to enable or disable user access to the button.
- Click the HMDA Transmittal Sheet button to view a pop-up window with the Row 1 HMDA Transmittal Sheet information regarding the Filing Institution and Contact Information.
The HMDA Reporting Year field (field ID HMDA.X27) at the top of the tab enables test users to switch between the 2018 or pre-2018 versions of the HMDA Information input form. The field has a Lock icon that can be clicked to override the default HMDA reporting year for the current loan file. This field is intended for use in test environments only to enable test users to preview the 2018 HMDA screens. Do not override the default setting in your production environment. Reporting for 2017 loans should still be completed using the 2017 reporting year.
Loan and Origination Information
Review the information populated from the 1003 application and complete the following fields as needed:
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Type the loan's Application Date and Closing Date.
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Select a Loan Purpose.
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Select a Preapprovals description.
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Select a Construction Method.
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Provide loan origination information by selecting the Type of Purchaser and Action Taken.
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The Action Taken is synchronized with the Current Status field on the Borrower Summary form.
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Type or select the date associated with the action taken.
Property Information
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If necessary, click the Geocode button to populate the MSA Number and County Code for the subject property. The retrieved information populates the MSA Number, County Code, State Code, and Census Tract.
You must be registered with PCi or QuestSoft (the HMDA data-reporting service providers) in order to use the Geocode button. You can access either provider's registration Web page by clicking the Services tab, and then clicking Request HMDA Management.
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If you are an Encompass Compliance Service user and you have performed a loan check, the Property Information fields will be populated automatically (if enabled by your administrator).
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You can also type this information, which can be retrieved from the FFIEC's HMDA web page by clicking the Geocoding System link in the left pane, entering the year and subject property address, and then clicking Search.
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If necessary, click the Rate Spread button to calculate and populate the Rate Spread field, or type the loan's rate spread.
The rate spread is the spread between the Annual Percentage Rate (APR) and the rate on Treasury securities of comparable maturity. The calculation also uses values in the Lien Status, Lock Date, Loan Term, and Action Taken fields.
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If you are an Encompass Compliance Service user and you have performed a loan check, the Rate Spread field will be populated automatically (if enabled by your administrator).
You must be registered with PCi or QuestSoft (the HMDA data-reporting service providers) in order to use the Rate Spread button. You can access either provider's registration Web page by clicking the Services tab, and then clicking Request HMDA Management. You can also locate rate spread information from the FFIEC's HMDA web page by clicking the Rate Spread Calculator link in the left pane, and then following the instructions to open the correct CVSV (comma separated value) spread sheet.
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Click the NMLS Info button to view, enter, and edit loan file information that will be included in an NMLS report.
You must be registered with PCi or QuestSoft (the HMDA data-reporting service providers) in order to use the NMLS Info button. You can access either provider's registration Web page by clicking the Services tab, and then clicking Request HMDA Management.
Borrower Information
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Review the information in these sections and make changes as needed.
Credit Information
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Complete the credit information used for HMDA reporting purposes.
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Enter the Credit Score for Decision Making.
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Select a Credit Scoring Model from the list. If you select Other Credit Scoring Model, enter the model in the Other Scoring Model field.
Reason(s) for Denial
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Select up to four (4) reasons why the loan application was denied. The information is optional except for institutions supervised by the OTS or OCC.
Closing Costs Details
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Review the information in this section and make changes as needed.
Risk Assessment
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Select as many as five AUS systems used to complete the automated underwriting for the loan, and then select the corresponding AUS Recommendation for each system. If you select the Other option for one or more of the AUS systems, type the name of the system in the Other AUS(s) field, and then type the recommendation in the Other AUS Recommendation(s) field.
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Indicate whether the loan is for a reverse mortgage, an open-end line of credit, or a business or commercial purpose.
Information for Government Monitoring
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To print a previous year's application, select a corresponding checkbox.
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Select the Use 2018 DI checkbox to populate the 2018 HMDA reporting information data fields in this section of the form.
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Complete the information that describes how the Demographic Information was acquired.
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To the best of your ability, complete the borrower and co-borrower information regarding ethnicity, race, and sex.
This tab displays all required HMDA reporting fields for a loan that was purchased by your company in 2018 and subsequent reporting years as required under Regulation C, 2015 HMDA Rule.
At the top of the tab:
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Select the Exclude loan from HMDA report checkbox to exclude the loan from the HMDA report.
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Enter a Reporting LEI to enter a legal entity identifier (LEI) that will be used for HMDA reporting purposes if you intend to use an LEI that is different form the LEi associated with the HMDA profile assigned to the loan.
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Click the Universal Loan ID Lock icon to change the ID for the loan.
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Click the Calculate ULI button (if enabled) to generate a Universal loan ID based on the Reporting LEI or the HMDA Profile LEI. The Calculate ULI button is enable only if the Loan # (field ID 364) is populated, the Universal Loan ID (field ID HMDA.X28) has not been edited, and either the Universal Loan ID (field ID HMDA.X28) or Reportong LEI (field ID HMDA.X106) are populated.
The option described below was introduced in Encompass 18.4.0.5. (View the release notes)
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Click the Recalculate HMDA button (field ID BUTTON_RECALCULATEHMDA) to apply the HMDA Profile Name selected on the HMDA Information input form and retrigger the HMDA calculations based on the HMDA profile and the HMDA Action Taken (field ID 1393).
Administrators can use a Persona Access to Fields business rule to enable or disable user access to the button.
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Click the HMDA Transmittal Sheet button to view a pop-up window with the Row 1 HMDA Transmittal Sheet information regarding the Filing Institution and Contact Information.
The HMDA Reporting Year field (field ID HMDA.X27) at the top of the tab enables test users to switch between the 2018 or pre-2018 versions of the HMDA Information input form. The field has a Lock icon that can be clicked to override the default HMDA reporting year for the current loan file. This field is intended for use in test environments only to enable test users to preview the 2018 HMDA screens. Do not override the default setting in your production environment. Reporting for 2017 loans should still be completed using the 2017 reporting year.
Loan and Origination Information
Review the information populated from the 1003 application and complete the following fields as needed:
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Type the loan's Application Date and Closing Date.
-
Select a Loan Purpose.
-
Select a Preapprovals description.
-
Select a Construction Method.
-
Provide loan origination information by selecting the Type of Purchaser and Action Taken.
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The Action Taken is synchronized with the Current Status field on the Borrower Summary form.
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Type or select the date associated with the action taken.
Property Information
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If necessary, click the Geocode button to populate the MSA Number and County Code for the subject property. The retrieved information populates the MSA Number, County Code, State Code, and Census Tract.
You must be registered with PCi or QuestSoft (the HMDA data-reporting service providers) in order to use the Geocode button. You can access either provider's registration Web page by clicking the Services tab, and then clicking Request HMDA Management.
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If you are an Encompass Compliance Service user and you have performed a loan check, the Property Information fields will be populated automatically (if enabled by your administrator).
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You can also type this information, which can be retrieved from the FFIEC's HMDA web page by clicking the Geocoding System link in the left pane, entering the year and subject property address, and then clicking Search.
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If necessary, click the Rate Spread button to calculate and populate the Rate Spread field, or type the loan's rate spread.
The rate spread is the spread between the Annual Percentage Rate (APR) and the rate on Treasury securities of comparable maturity. The calculation also uses values in the Lien Status, Lock Date, Loan Term, and Action Taken fields.
-
If you are an Encompass Compliance Service user and you have performed a loan check, the Rate Spread field will be populated automatically (if enabled by your administrator).
You must be registered with PCi or QuestSoft (the HMDA data-reporting service providers) in order to use the Rate Spread button. You can access either provider's registration Web page by clicking the Services tab, and then clicking Request HMDA Management. You can also locate rate spread information from the FFIEC's HMDA web page by clicking the Rate Spread Calculator link in the left pane, and then following the instructions to open the correct CVSV (comma separated value) spread sheet.
-
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Click the NMLS Info button to view, enter, and edit loan file information that will be included in an NMLS report.
You must be registered with PCi or QuestSoft (the HMDA data-reporting service providers) in order to use the NMLS Info button. You can access either provider's registration Web page by clicking the Services tab, and then clicking Request HMDA Management.
Borrower Information
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Review the information in this section and make changes as needed.
Credit Information
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Complete the credit information used for HMDA reporting purposes.
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Enter the Credit Score for Decision Making.
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Select a Credit Scoring Model from the list. If you select Other Credit Scoring Model, enter the model in the Other Scoring Model field.
Closing Costs Details
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Review the information in this section and make changes as needed.
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Review the Manufactures Property information and make changes as needed.
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Indicate whether the loan is for a reverse mortgage, an open-end line of credit, or a business or commercial purpose.
Information for Government Monitoring
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To print a previous year's application, select a corresponding checkbox.
-
Select the Use 2018 DI checkbox to populate the 2018 HMDA reporting information data fields in this section of the form.
-
Complete the information that describes how the Demographic Information was acquired.
-
To the best of your ability, complete the borrower and co-borrower information regarding ethnicity, race, and sex.
A new Repurchased Loans tab has been added to the 2018 HMDA Information input form to capture data for repurchased loans. The tab displays only when a Repurchased Date (field ID 3312) has been entered or selected for a loan. The data fields that display on the tab are identical to the fields that display on the 2018 HMDA Purchased Loans tab, except that the following fields on the Repurchased Loans tab have unique field IDs to enable reporting and recording of repurchased loan data without disrupting the initial loan data record:
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HMDA Reporting Year (field ID HMDA.X92)
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Loan Amount (field ID HMDA.X93)
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Type of Purchaser (field ID HMDA.X94)
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Action Taken (field ID HMDA.X95)
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Action Date (field ID HMDA.X96)