I have been told to cancel the loan file and start over, this method of correcting a RESPA violation does not seem right.
Forgetting MI or a funding fee does not constitute a valid "changed circumstance", so lenders can't just say "sorry, we forgot to list it" and add to the existing loan. Have heard of cases where lenders ended up eating large costs due to undisclosed PMI or funding fees. Cancelling the loan solely due to forgetting a fee seems fraught with legal risks. Better be sure you, your boss, and your compliance department are all in tune on this one.