I have a new commercial loan with the purpose of refinancing an existing loan (secured by mixed use property) and to purchase a Condo investment property. The mixed use property has a 1-4 dwelling on it, but also has commercial buildings on it as well (a catering business). The commercial buildings have more square footage than the 1-4 dwelling. Is this commercial loan HMDA reportable? The new loan is not a LOC, but is a one time disbursement with PandI monthly payments.
If we have a balloon note coming due and we are going to extend the loan out, is it HMDA reportable? We are changing the loan number with no new money and we are not satisfying the mortgage. The original loan is within the same financial institution as the renewal. We reported it at origination of the original loan so if we report it again will it be double reporting?
Banks are consistently asked for loan account numbers and pay-off amounts by automobile dealers, insurance companies and other banks that wish to pay off trade-ins, submit insurance payments or to get accurate pay-offs when consumers are refinancing debt. How does the GLBA come into play when a bank receives these requests?
A person gets a loan to purchase a piece of property that contains a mobile home, but the mobile home is not livable and will be sold off so the loan purpose is to purchase the lot only. However, in addition to the purchase money, the customer's loan for the property which contains his residence (a mobile home) is rolled into the new loan. Is this considered a refinance for HMDA purposes?
I have a Reg B compliance question that indirectly relates to HDMA. If we must be in compliance with an application for a purchase by sending the applicant a pre-approval or an approval letter within 30 days of the application date, does this also hold true for an application for a refinance in the instance that the applicant has applied to refinance a mortgage loan? We have some lenders that are sending these applicants a letter stating that they are pre-approved to refinance their mortgage loan. Given that when we report this application for HMDA and HMDA states that pre-approval requests are for purchases only, are we in compliance by sending pre-approval letters for refinances or should there be no such thing as a pre-approval letter for refinance requests?
Is the Special Information Booklet (Reg X) required on refinances with a different lender? I know that it is not required on a refinance from the same lender. Please clarify.
I have read the following statement under Reg B staff interpretations of 202.13 (#5) "an application for open-end home equity line of credit is not subject to this section unless it is readily apparent to the creditor when the application is taken that the primary purpose of the line is for the purchase or refinancing of a principal dwelling". To me that means that if an applicant applies for a HELOC with the intention of purchasing or refinancing their home that we (the lender) should gather government monitoring information. Am I understanding correctly? If I am, what is the creditor supposed to be doing with the GMI? For HMDA we report the GMI on the HMDA LAR, but there is not a Reg B LAR to my knowledge.
With regard to a refinance under HMDA guidelines, when extending a current obligation with a new promissory note, but keeping the same note number is it HMDA reportable? I'm not sure how to interpret the phrase "satisfies and replaces and existing obligation."
I understand that you only collect government monitoring on the purchase or refinance of the borrower's principal dwelling. However, I am unclear on whether the refinance means with our bank or another institution. Does government monitoring apply to refinancing the principal dwelling if the loan is with our bank?
The bank made a commercial loan that included a 1-4 family dwelling as an abundance of caution. The commercial customer is now refinancing the commercial loan and the 1-4 family dwelling will again be part of the collateral package. Should the loan be reported on HMDA as owner occupied? The owner of the property is occupying the dwelling, however, the vesting of the property is not in the borrower's name. If it is owner occupied would government monitoring be required?