I have an account with a deceased owner and no one listed as executor (no known heir). They also have a safe deposit box which drafts the account to keep current so this never goes into a dormant status. How do we handle a situation like this when the owner is deceased no heirs no executor of estate known?
Under CRA, what constitutes a commercial or Industrial purpose? I have looked for a definition to no avail. Would this include a loan to a small business for a capital injection?
During a recent webinar it was stated that Trust and Estate Accounts do not require the same regulatory disclosures as retail accounts. It was even recommended that they be carried as commercial and not retail accounts. This was news to the bankers listening to the webinar. Is it true they do not require the same disclosures as other retail accounts?
Our bank recently decided to purchase Mortgage Blanket Insurance to use in event borrowers lapse on their hazard insurance on a mortgage the bank has secured as collateral so that the bank will have coverage for the ownership interest of the real estate. This insurance is obtained through an insurance agency which is a subsidiary of the bank. The borrowers of course will not be incurred a charge for this. Are we required to provide an Affiliated Business Arrangement? Is there any other requirement that we must do for this?
We have a customer who is POD on her fathers account, but she is telling us that she does not want the money. Is there a time limit on how long a POD account can sit out there even if we have contact with the POD? What recourse does the bank have on distributing the money to the appropriate POD? I know that FDIC insurance lapses 6 months after the death of the owner.
Are appraisal reviews required on all new real estate loans that require an appraisal?
When doing a commercial loan on a restaurant, is the right to receive a copy of appraisal disclosure required?
Please explain to me the meaning of a Muniment of title. Can this be used in the place of a letter of Heirship or letters of testamentary? If not, what is the purpose of it?
I was wondering if there had been any changes or updates to the answer to the following question? Reporting Interest on Commercial Real Estate LoansQuestion: What is the regulation on reporting interest on commercial real estate loans? And should we send a 1098 to all borrowers or a year end history of interest paid? Answer: The IRS reporting requirement doesn't distinguish between commercial and residential real estate. It keys instead on who the primary obligor on an obligation is, and whether the obligation is secured by real property. If a loan is secured by real property, and the primary obligor is an individual (includes sole proprietors), and the amount of interest paid by or on behalf of the individual is $600 or more, you have to deliver a 1098. If the primary obligor is not an individual (even if trustees, comakers, guarantors or other hangers-on are individuals), or if there is no real property involved, or if the amount of interest on the obligation was less than $600, there is no 1098 requirement. Any reporting you do in those cases would be as an accommodation. (First published on BankersOnline.com 3/20/06)
On an estate account, to place an New Account hold, do all customers have to be less than 30 days with the bank? Will the Reg apply to all customers (executor, auth. signer, etc.) on the account or just owners?