When a customer refinances a 1st mortgage, what is the best way to handle their HELOC if the refinance results in a higher LTV than we allow on a HELOC? Can we put a hold on further advances on the current HELOC or would it be best to terminate and write a new HELOC?

We have the customer sign a form agreeing to lower the line of credit to the amount needed to get an acceptable LTV. If the customer does not want to do this, we don't subordinate.