You have advised me that you are authorized & prepared to assist me in securing financing. I understand that your services may include, but are not limited to the following:

• Counseling on available mortgage products; We are acting as an independent contractor and not as your agent.
• Counseling on general mortgage qualification procedures & requirements; We will enter into separate independent contractor agreements with various lenders.
• Counseling on my financial capabilities; while we seek to assist you in meeting your financial needs, we do not distribute the products of all lenders or investors in the market and cannot guarantee the lowest price or best terms available in the market.
• Assistance in obtaining information required for mortgage application, in completing and processing loan application(s), & in meeting conditions of the loan commitment.

I hereby agree to engage you for the purpose of advising me about financing & to provide the services described above. This agreement will continue until the earlier or the declination of my loan request(s), the closing of my loan or my termination of your services.

I acknowledge that prior to paying any fees or completing any application, I was advised of the following:

• Your services are advisory & administrative in nature;
• You are not authorized to make mortgage loans or commitments;
• You cannot guarantee acceptance into any particular loan program or specific loan terms or conditions;
• You may be eligible to receive a lender-paid bonus (cash or non-cash) if my loan is placed with a particular lender, & you will notify me if this occurs.

OUR COMPENSATION: The lender whose loan products we distribute generally provide their loan products to us at a wholesale rate.

• The retail price we offer – your interest rate, points and fees – will include our compensation.
• In some cases, we may be paid all our compensation by either the applicant or the lender.
• Alternatively, we may be paid a portion of our compensation by both the applicant and the lender. For example, in some cases, if the applicant would rather pay a lower interest rate, they may pay higher up-front points and fees.
• Also, in some cases, if the applicant would rather pay less up-front fees, they may be able to pay some or all of our compensation indirectly through a higher interest rate, in which case we will be paid directly by the lender.

We also may be paid by the lender based on ( I ) the value of the mortgage loan or related servicing rights in the marketplace or ( II ) other services, goods, or facilities performed or provided by us to the lender.

BROKER FEE:

I understand that, as compensation for your services, you will be paid as checked below:

_______The lender will pay you a fee of _____% of the loan amount or $________. The compensation you will receive from the lender for your services is included in the rate, points, fees & terms of the loan as quoted by the lender in its commitment. The maximum points paid, including premium pricing payable by the lender to you shall not exceed _____ ( ) points.

_______The fee the lender will pay you is not known at this time but will be disclosed to me at the time of lock-in or when the rate is set. The maximum points paid, including premium pricing payable by the lender to you, shall not exceed 4 points.

_______I will pay you, from the loan proceeds, a fee of ____% of the loan amount or $____________. I authorize the lenders attorney to collect this fee from me at closing.

_______I will pay you, directly, upon my signed acceptance of a commitment _____ or at closing _____ a fee of _______% of the loan amount or $ ____________.

MORTGAGE BROKER FEE ACKNOWLEDGMENT:

I acknowledge that this mortgage broker fee will be paid to you. I further acknowledge that there is no other mortgage broker fee agreement between us.

I understand that I am required to pay the following fees at application:

Application fee (non-refundable) $ _____200___________

Property appraisal fee* $ ___275-500_________

Credit Report fee* $ _____15-20__________

*The property appraisal fee and the credit report fee are estimates of the actual cost of the services. Should the actual cost exceed the estimate, I understand that I will be billed and will pay the shortfall at or prior to closing. If the credit report & appraisal have not been done, the fees will be refunded in full.

PREPAYMENT PENALTIES:

I understand that certain mortgage products impose a prepayment penalty on the borrower. You will disclose the amount of, or the formula for calculating, the prepayment penalty, and the terms of the prepayment penalty, if any, as soon as you know them.

I understand that I may address questions or comments about my application to Pamela Finn at 84 Green Street, Hudson, NY 12534. If I live more than 50 miles from this office, I may call you at 800-371-3405.

By signing below, I/we acknowledge receipt of a copy of this Pre-Application Disclosure & Fee Acknowledgment and I/we understand its contents, as evidenced by my/our signature(s) below.

Revised 10/05