Has anyone heard of any problems of a Loan Officer at a bank ordering his own appraisal his own $250,000 loan?
Does it matter who orders the appraisal?

Under FIRREA borrowers cannot order their own appraisals, so why would your loan officer be any different? Not to mention the conflict of interest issues.......!!

Sorry, I miss typed my question....not a loan officer's personal loan, just a loan that he is the officer one.

That should also be prohibited by bank policy. See the latest FFIEC guidance:

click here

I'm sorry, but I don't mean to be a pain, but does this mean that a loan assistant can't order it? Would it restrict the loan assistant working for the officer from ordering an appraisal?

How are your bank's handling this? Reading this, I am reading this to mean than no one in the lending area can order appraisals....Is this done in the back office?

Except for the smallest of banks, where there it may be impossible to separate the functions, you are correct in your reading.

Oh, not good at all, we have over 200 branches....how does the larger banks handle this??? I'm not seeing this would happen in the main banks loan ops area. Any suggestions?

For a bank that size, I'm surprise you don't have a centralized appraisal group. Who reviews your appraisals and appraisers to establish your approved appraiser list? Most banks that size have centralized this process.