Send Initial Disclosures

Use the eDisclosures feature to generate initial disclosures and send them to your borrowers. In Encompass, "initial disclosures" are called "eDisclosures".

When the disclosures are sent, your borrowers are notified by email that disclosure documents are available in Encompass Consumer Connect (or the Loan Connect). Borrowers can print and then return the documents by fax (using the provided fax cover sheet) or by mail, or they can provide an electronic signature and you can then retrieve the documents from an Encompass Consumer Connect website or the Loan Connect.

Your Encompass administrator determines whether you can select your own packages or whether the packages are automatically selected for you. Authorized users can also reorganize, add or remove documents from the package. The documents in the package are based on the selected plan code, as well as loan-specific information (for example, the state in which the subject property is located).

To Generate Initial Disclosures

In the eFolder, click the Documents tab, and then click the eDisclosures button.
Select a borrower (or borrowers) from the For Borrower Pair list.
If you are allowed to select eDisclosure packages, the Select a Package Type section displays below the For Borrower Pair list. Select one or more packages, and select the checkbox if you need to include the Loan Estimate.
Click to select a plan code, and then click Order eDisclosures.
- Only plan codes that match the current loan data are listed. To view all plan codes, click the Clear Filter button.
- You can perform a search by typing data into a field above a plan code column or by selecting an option from a column's dropdown list. Only plan codes containing the specified data are displayed.
- Click a column header to sort all plan codes in ascending or descending order based on the information in a column.
- To add a plan code to the list, click the New icon, select an investor, and then select the plan code to add. To view a plan code's details, including the values that will be added to the loan file if selected, select the plan code, and then click the View Plan Code Details icon. For detailed instructions about working with plan codes, view the eDisclosure Plan Codes help topic.
- For loans using the 2010 forms (i.e., loans started before October 3, 2015), if the loan file’s GFE Date (field ID 3170) is blank, a warning message displays. As stated in the message, if you click Yes, the GFE Date will be auto-populated with the current date (“today’s date”) and you can proceed to generate the eDisclosure package. If you click No, the GFE Date is left blank and you will not be able to generate an eDisclosure package until a date is supplied.
If any values in the loan file are different from the corresponding values in the selected plan code, the Plan Code Conflict window displays showing the affected fields. Conflicting loan data is identified by an alert icon.
- Click the Import Plan Data button to overwrite the current loan data with the selected plan code data. These changes are applied to the loan immediately.
- Click Skip Import to proceed without overwriting the loan file.
- Click Cancel to close the Plan Code Conflict window without making any changes to the loan data. You can then update the applicable fields in the loan file to resolve any conflicts that were found.
If the Disclosures Audit window opens with a list of required issues, warnings, or recommended updates (typically due to inconsistent data), click the link in the Go to Field column to open a form with the field highlighted for data entry.

If a virtual field is included in audit results, a hyperlink is not provided.

Correct the described issue, and then return to the Disclosures Audit window. Click Refresh Audit to update the Data Audit Results list.

You must resolve all required errors before generating initial disclosures.
After you update a field, the issues that are resolved are highlighted in yellow in the Disclosures Audit window.
Select the Always show this window on top checkbox to always display the Disclosure Audit window on top of all other Encompass windows.

Repeat steps 6-7 to correct any remaining issues.
Click Order eDisclosures.
- A message displays if no packages are available based on the selection process configured by your administrator.
When the Select Documents window displays, the initial disclosures are listed in the order configured in the Stacking Template by your administrator.
- Documents highlighted in yellow are documents that are not included in the Stacking Template, but are still intended to be sent in the eDisclosure package.
- When an eDisclosure document package has been ordered and is then redrawn, the list of returned documents on the Select Documents window displays a Modified since last draw icon next to each document that has changed since the initial order. Users can view the list to identify changed documents to print or send instead of printing or sending the entire package. Additionally, a Removed since last draw icon displays next to documents that were included in the initial draw, but are no longer required.
- To use a different template, select an option from the Stacking Template dropdown list.
- To move a document up or down in the list, click to select the document and then use the up or down arrows to move the document.
  - Or, click to select a document, and then drag it to the desired location in the list.
  If your administrator has not given you permission to move documents up or down in the list or to update the template, the up and down arrows and the Update Template button will not be visible.
- To update the selected template for all loans going forward, click the Update Template button, and then add, remove, or reorganize the documents as needed. For detailed instructions for updating the Stacking Template, view the eDisclosure Stacking Templates help topic.
Clear the checkbox of any document you do not want to include in the eDisclosure package.

The Signature Type column indicates whether a document is eSignable (can be signed electronically), Wet Sign Only (a paper copy must be signed and returned by mail or fax), or Informational (no signature required).
Click Add Additional Docs to select additional forms to add to the package.

If your administrator has not given you permission to add or remove forms from the package, the selection checkboxes and the Add Additional Docs button will not be visible.
Address any Data Overflow alerts (if applicable).
To add one or more document to the Documents tab in the eFolder, select the documents, and then click Add to eFolder.
To preview or print the documents in the package:
- Click Preview to view, and optionally print, the selected documents.
- Click Print, and then click Print Selected Documents to print the selected documents.
- Click Print, and then click Print Checklist to print an eDisclosure Documents Checklist that lists each document in the package for your reference.
Click Send to open the Send eDisclosures window.

To Send the Initial Disclosure Package:

Complete the To Generate Initial Disclosures section above.
On the Send eDisclosures window, select a Borrower Signing Option:
- eSign (electronically sign and return) - Borrowers access the documents from a secure website and, after consenting to receive electronic disclosures, review the documents online, and then sign the documents electronically (known as eSigning). You receive an email notification that the signed documents are available. Click the Retrieve button in the eFolder to retrieve the documents. If the eDisclosure package contains documents that can be eSigned and documents that must be wet signed, the eSign option is replaced with an eSign + Wet Sign (for wet sign documents only) option. Borrowers sign and return eSign documents electronically as described above, and print, sign, and return the wet sign documents as described below.
- Wet Sign (print, sign, and fax) - Borrowers retrieve the documents from a secure website, print, sign, and then return the documents by fax or by mail.
If you select eSign (electronically sign and return) and the eDisclosure package contains custom forms that require a signature, be sure you have inserted eSigning signature points in the form.
Select a Borrower Authentication Method, if applicable.
- Answering security questions - When selected, the borrower will need to correctly answer 4 out of 5 questions related to the loan in order to access the documents.
  
  If the borrower fails to correctly answer 4 out of the 5 questions three times, the borrower will not be able to eSign the documents. The system automatically removes the eSigning signature points from the documents and informs the borrower that the documents must be printed, signed, and then returned by fax or by mail.
  View the loan-related questions
  - What are the last 4 digits of your Social Security Number?
  - Which year were you born?
  - What is your Home Phone number?
  - What is your Cell Phone number?
  - Please type in your email address.
  - How many years have you been at your present property?
  - Please type in the Zip code of your present property address.
  - Please type in the Zip code of the subject property address.
  - What is the subject property county?
  - What is the property type of the subject property?
  - What is your current Marital Status?
  - How many dependents do you have?
  - Please type in the Zip code of your current employer.
  - How many years have you been employed at your current job?
  - Please select the purchase price of the subject property.
  - Is the name of your Mortgage Broker/Lender [Company Name]?
  - What is the purpose of loan?
- Authorization Code - Type the authorization code that the borrower and co-borrower will use to access the documents.
  
  Be sure to provide the authorization code to the borrowers. It is not automatically sent to them and it is different than the log in password the borrower creates to log in to the secure website to access the documents. The borrowers have five chances to enter the correct authorization code. If they fail to do so, they will not be able to eSign the documents. After the fifth attempt, the system automatically removes the eSigning signature points from the documents and informs the borrower that the documents must be printed, wet signed, and then returned by fax or by mail.
Select the Sender type. You can choose from the following:
- Current User
- File Starter
- Loan Officer
Select or clear the checkboxes to send the emails to the various recipients as needed.

The Name and Email fields are populated based on your selection. If no name or email is listed in the File Contacts tool for the Encompass user associated with the option selected, the fields are blank and editable. Data entered in a blank field is then saved back to the File Contacts tool.

For Wet Sign packages, additional recipients can be added as needed by clicking the Add icon at the upper right of the Recipient section.
In the Subject field, select an email template as needed.
- Templates control the email content and formatting. Your Encompass administrator creates the templates in the HTML Email Templates setting.
  
  For security reasons, do not include the authorization code in the subject line when sending email notifications to borrowers who access documents via the Encompass Consumer Connect or Loan Connect. Encompass does not automatically prevent users from including the authorization code in the subject line for loans.
Click the Notify Additional Users button to send email notifications to additional users.

On the Add users to be notified window, click the Find icon (magnifying glass) to search for a user to add to the notification list. Complete the following tasks as needed, and then click Add.
- To narrow the search, enter terms in the search fields above the columns.
- Select a user from the list, and then click OK.
- Enter a Notify Through date (after the selected date, the user will no longer receive notifications).
To add user who are not Loan Team members, enter an address in the Email Address field, enter a Notify User Through date (after the selected date, the user will no longer receive notifications), and then click Add.
When adding a new user, the date cannot be in the past or more than 120 days in the future.
- The newly added users display on the list.
To modify an existing user, double click an entry in the Email Address column, and then edit the email address.

A user can only be modified when editing the users for a single loan file.

To modify an existing Notify User Through date, double-click a date in the Notify Through column, and then enter or select a new date.

A Notify User Through date can only be modified when editing the users for a single loan file. A modified date can be in the past, but cannot be more that 120 days in the future.
When finished, click Save.

Select the Notify me when borrower receives the package checkbox to receive an email notification and an Encompass notification when the borrower accesses the package.
To be notified if the borrower does not access the loan package by a specified date, select the Notify me when the borrower does not access by checkbox, and then click the Calendar icon to set the date.
If your company has enabled the eDisclosure Fulfillment service, select the checkbox at the top of the Fulfillment section to schedule the service for the package.
Enter your phone number and the phone number of the recipient. The remaining information in the section will be copied from the loan file.
Click Send.
- A standard email containing a link to an Encompass Consumer Connect or Loan Connect website is sent. The email recipients create their own login information, log in to the website, and then view the documents on the website.
If you previously sent eDisclosures and no loan data has changed, a message asks you to confirm that the same eDisclosure package will be sent again. If changes to the loan data have triggered a new condition, a new eDisclosure package is sent and a message does not display.
If you are the loan originator and the eDisclosure includes one or more forms that require the Originator's electronic signature, a message asks you to add your electronic signature to the forms.
- Click Yes to access a secure website and electronically sign the documents before sending the eDisclosure package.
- Click No to electronically sign the documents later.
- If you are the loan originator and you select Yes or No, you will receive an email with a link to a secure website where you can access the documents and electronically sign them if needed.
If you are not the loan originator and the eDisclosure includes one or more forms that require the loan originator's eSignature, a message informs you that an email will be sent to the loan originator with a link to a secure website where the loan originator can electronically sign the documents.
- An entry is added to the Loan Log each time you send initial disclosures. Click an eDisclosures Ordered entry to view a list of the documents included in the eDisclosure package.

Send eDisclosure Notifications to Additional Users