Wholesale Broker Guide Revised 7/9/2021 SECTION 1 CONTRACT ............................................................................................................................... 5 1.1 Broker Contractual Obligations ............................................................................................................ 6 1.2 Rules of Interpretation ........................................................................................................................... 6 1.3 Relationship of Parties Under This Guide ............................................................................................ 6 1.4 Power of Attorney .................................................................................................................................. 7 1.5 Broker’s Responsibility ......................................................................................................................... 7 1.6 Discretionary Relationship .................................................................................................................... 7 1.7 Confidentiality ........................................................................................................................................ 7 SECTION 2 PRIVACY OF CONSUMER FINANCIAL INFORMATION .......................................................... 7 2.1 Safeguards ............................................................................................................................................. 8 2.2 Unauthorized Access to Consumer Information ................................................................................. 8 2.3 Confidentiality ........................................................................................................................................ 8 SECTION 3 BROKER ELIGIBILITY .............................................................................................................. 8 3.1 Ineligible States...................................................................................................................................... 9 3.2 Broker Obligations ................................................................................................................................. 9 3.3 Reporting Requirements ....................................................................................................................... 9 3.4 Audits and Inspections .......................................................................................................................... 9 3.5 Disclosure of Information .................................................................................................................... 10 3.6 Maintenance of Records ...................................................................................................................... 10 3.7 Notification of Changes in Broker Status ........................................................................................... 10 SECTION 4 QUALITY CONTROL ............................................................................................................... 10 4.1 Internal Quality Control ....................................................................................................................... 11 4.1.1 Notice ............................................................................................................................................. 11 4.2 Best Practices for Quality Control ...................................................................................................... 11 SECTION 5 REPRESENTATIONS, WARRANTIES & COVENANTS CONCERNING BROKER ................ 11 5.1 Licensing, Due Organization, Good Standing.................................................................................... 12 5.2 Authority ............................................................................................................................................... 12 5.3 No Conflicts .......................................................................................................................................... 13 This document is confidential, proprietary and its subject matter is the sole property of Plaza Home Mortgage, Inc. and is intended for its use only. Any unauthorized use, dissemination, or distribution of this document or its subject matter is strictly prohibited. Terms and conditions of programs and guidelines are subject to change at any time without notice. This is not a commitment to lend. Plaza Home Mortgage, Inc. is an Equal Housing Lender. © 2021 Plaza Home Mortgage, Inc. Plaza Home Mortgage and the Plaza Home Mortgage logo are registered trademarks of Plaza Home Mortgage, Inc. All other trademarks are the property of their respective owners. All rights reserved. Plaza NMLS 2113. Wholesale Broker Guide WH-GD-001 rev. 23 Page 1 of 84 7/9/2021 plazahomemortgage.com 5.4 Ability to Perform ................................................................................................................................. 13 5.5 No Adverse Action ............................................................................................................................... 13 5.6 No Consent Required .......................................................................................................................... 13 5.7 No Untrue Information ......................................................................................................................... 13 5.8 Origination ........................................................................................................................................... 13 5.9 Compliance with Business and Property Laws ................................................................................. 14 5.10 Compliance with Program Documents and Guide............................................................................. 14 5.11 No Defenses ......................................................................................................................................... 14 SECTION 6 REPRESENTATIONS/WARRANTIES BY BROKER REGARDING INDIVIDUAL LOANS ...... 14 6.1 Mortgage Loans as Described ............................................................................................................ 14 6.2 No Redemption .................................................................................................................................... 14 6.3 Appraiser Independence Requirements ............................................................................................. 14 6.4 Origination Compliance ....................................................................................................................... 14 6.5 Location and Type of Property ........................................................................................................... 15 6.6 Origination Terms ................................................................................................................................ 15 6.7 Occupancy Certifications .................................................................................................................... 15 6.8 Mortgaged Property Undamaged/No Condemnation ........................................................................ 15 6.9 No Other Hazards ................................................................................................................................. 15 6.10 No Planned Refinance ......................................................................................................................... 15 6.11 Error or Fraud ...................................................................................................................................... 16 6.12 Adverse Selection ................................................................................................................................ 16 6.13 Predatory Lending/Home Ownership and Equity Protection Act/High Cost Loans ........................ 16 6.14 Fair Lending/Equal Credit Opportunity Act ........................................................................................ 16 6.15 Fair Pricing Policy ................................................................................................................................ 16 6.16 Prohibited Practices ............................................................................................................................ 16 6.17 Additional Broker Representations and Warranties Relating to Reverse Mortgages ..................... 17 6.18 Responsible Lending/Benefit to Borrower/Capacity to Repay ......................................................... 17 6.19 State Specific Restrictions .................................................................................................................. 17 6.19.1 Maine Properties............................................................................................................................ 17 6.19.2 New Jersey Property ..................................................................................................................... 17 6.19.3 New York Properties ..................................................................................................................... 17 6.20 Broker Compensation Policy .............................................................................................................. 18 6.21 Loan Originator Compensation .........................................................................................................