radnar: Anyone who's been in this biz for over a decade has been in the same situation. it sounds like you we're betting rates would improve after your discovery, and did not want/could not "cut your losses". (I'm assuming here you were'nt playing the market, and simply "lost track " of these loans) Big mistake. Murphy's Law of Pricing is " "the velocity of market movement against an unhedged (unlocked) position will be in direct proportion to the consequences thereof....." Ok, so I made that up. But, here's what I would do:
inform employer immediately. he/she can then contact investor for a possible concession. if your company is doing alot of "large loans" they are not FNMA and your private investor may have considerable leeway to offer a reprice based upon yuor company's history, delivery %, profitabliity, etc. it's not guaranteed by any means, but worth a shot. Might save you 25-50 bps if the relationship is very solid.
you say these are large loans but you don't make much money. something isn't clicking here.
regardless, the customer thinks they're locked, and you have to deliver if the loans are approved by the investor. perhaps the broker can split the diff with you, advanced from future commissions on other deals on a % basis. but, you're mistake, you're responsibility if the info provided is approximately correct.
good luck