www.hudclips.org 


U. S. Department of Housing and Urban Development
Washington, D.C. 20410-8000

December 31, 1991
OFFICE OF THE ASSISTANT SECRETARY
FOR HOUSING-FEDERAL HOUSING COMMISSIONER
Mortgagee Letter 91-50
        TO:  ALL APPROVED MORTGAGEES
        SUBJECT:  Single Family Loan Production - Revised Interest Rate
                    Disclosure Statement
 
             Since 1983, when Congress repealed HUD's authority to
        regulate the interest rate on an insured mortgage, HUD has
        required lenders to provide borrowers with an Interest Rate
        Disclosure Statement to inform borrowers that the interest rate
        and discount points must be negotiated between the borrower and
        lender (See Mortgagee Letter 83-27 for detailed information on
        unregulated interest rate.)  This Interest Rate Disclosure
        Statement (See Paragraph 1-6 of HUD Handbook 4155.1 REV-3 for
        reference) has now been revised, given a new title--Borrower's
        Notification and Interest Rate Disclosure Statement--and given an
        official Form Number--HUD 92900-B.  This new Form HUD 92900-B,
        Borrower's Notification and Interest Rate Disclosure Statement,
        which is attached, replaces the old Interest Rate Disclosure
        Statement.
 
             The new Form HUD-92900-B, Borrower's Notification and
        Interest Rate Disclosure Statement, must be given to the borrower
        at the time of initial loan application.  The Form must be signed
        and dated by the borrower and co-borrower, as well as the lender.
        A copy of the Form must be in the case binder when the lender
        submits the case with its request for endorsement.
 
             Lenders may begin to use the new Form HUD 92900-B
        immediately.  This new Form must be used for all applications
        involving sales contracts signed on or after February 3, 1992.
 
                                      Very sincerely yours,
 
                                      Arthur J. Hill
                                      Assistant Secretary
 
        Attachment
 
_____________________________________________________________________
 
__________________________________________________________________________
 
    Borrower's Notification
    and Interest Rate
    Disclosure Statement
 
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                                                form HUD-92900-B (11/23/91)
                                              ref Handbooks 4150.1 & 4155.1