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#1259781 - 09/30/09 10:24 PM RESCISSION
theloanbug Offline
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Customer borrows new money adds to existing loan, his home is securing the loan, only the home not the land is rescission applicable?

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Lending Compliance
#1259794 - 09/30/09 10:41 PM Re: RESCISSION theloanbug
Cowboys Fan Offline
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SC
Assuming the home is the borrower's primary residence then rescission would apply to the new money being advanced/added to the existing home equity loan.
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#1259814 - 10/01/09 12:14 AM Re: RESCISSION Cowboys Fan
theloanbug Offline
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Posts: 719
Ok,that was my answer, but what if the bank funded the loan in early?

Thanks for your help.

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#1259841 - 10/01/09 02:42 AM Re: RESCISSION theloanbug
David Dickinson Offline
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David Dickinson
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Central City, NE
If they funded the loan early, they violated 226.23. The loan is not subject to rescission for 3 years as they provided a RofR notice.
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David Dickinson
http://www.bankerscompliance.com

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#1259991 - 10/01/09 02:47 PM Re: RESCISSION David Dickinson
theloanbug Offline
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If this land that the home is on is government land is this different? Would rescission still be applicable?

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#1260001 - 10/01/09 02:52 PM Re: RESCISSION theloanbug
David Dickinson Offline
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David Dickinson
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Central City, NE
If it's their principal dwelling, RofR applies. I don't believe there is an exception for government land.
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David Dickinson
http://www.bankerscompliance.com

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#1260007 - 10/01/09 02:57 PM Re: RESCISSION David Dickinson
theloanbug Offline
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Joined: Sep 2005
Posts: 719
Ok, thanks that is might thought also. Thanks for your quick reply.

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