Do the borrowers have to sign the Notice to Home Loan Applicant? This is with regard to home improvement loans or second mortgages. If the bank regulators come in to audit the lender that originated the loan, will a signed copy have to be in the file?
Are there any changes being made to the application associated with the new RESPA changes?
How often should the Board of Directors be trained by the Compliance/CRA officer on CRA policy?
We have an online mortgage center that allows customers to apply for a mortgage online. The issue we run into is with customers who start their application and don't finish. Right when they start, credit is pulled and until they hit the submit button and acknowledge all the disclosures, we don't really have an application. However, credit has been pulled. My problem/concern is really four-fold. <ol><li>Would this loan be HMDA reportable (if it met one of the three reasons) based on just credit being pulled and an application not being completely finished? <li>Does Reg Z start the day credit was pulled regardless of whether the customer completed the rest of the information or not? <li>If our Reg Z (three day) count starts when credit is pulled, then what do we do if we aren't able to get the customers to complete the application within that three day time frame? <li>Would those loans need to get a Notice of Action taken within the three days stating that it was closed for incompletion?</ol>
Our internal auditor was asking how we monitor loan activity. We are not sure if the BSA person is responsible or if the loan department is responsible. Can anyone give me guidelines?
If while auditing our adverse action notices we discover a technical error, such as the wrong box being checked, may we amend the issue by sending a corrected adverse action notice or would an auditor still cite us?
During a BOL training session, we specifically asked if a redisclosure was triggered if the original APR was either overstated or understated outside of tolerance and the answer was yes. We have now seen conflicting responses stating that no new disclosure is required if APR is originally overstated or within tolerance. Which answer is right?
I am filling in for our bank's compliance officers while they are away at training. A co-worker posed the following question/situation and I have been unable to find the answer after some research. Our bank does credit checks/counseling for customers and non-customers. We have a form signed authorizing/permitting us to pull credit reports on the individuals. How long are we required to retain the authorization forms?
How are banks impacted by the FACT Act?