Refi - escrow waiver fee

[quake9680]

We'll be closing a refinance loan in 3 days and tomorrow I'll be contacting the title co. to obtain the total cash due at closing. We'd like to waive the use of an escrow impound account and I was told (verbally) that there is usually a .250 pt charge (or equal rate increase) for this. I've noticed a few other lenders charge this (included in good faith estimates) but since I haven't noticed any mention of this in our loan docs - I was wondering if I should question this fee?

btw: location - MI, loan-to-value < 80%, spotless credit

 

[HomeGuru]

We'll be closing a refinance loan in 3 days and tomorrow I'll be contacting the title co. to obtain the total cash due at closing. We'd like to waive the use of an escrow impound account and I was told (verbally) that there is usually a .250 pt charge (or equal rate increase) for this. I've noticed a few other lenders charge this (included in good faith estimates) but since I haven't noticed any mention of this in our loan docs - I was wondering if I should question this fee?

btw: location - MI, loan-to-value < 80%, spotless credit

**A: you should be posing your question to the lender. The escrow impound account has nothing to do with your credit or the L/V.
The lender could require the account to insure payment of insurance, real property taxes etc. as part of the loan committment.