what privacy do i have as a consumer about what exactly i am going to use the proceeds for?
If not secured by real estate and for more than $10,000 none. BSA 103.33.
Also if you want to borrow money from us then you will give us the information we feel we need, you have no right to privacy when requesting a loan or other services from the bank. Your only privacy rights is we don't divulge any NPPI under the rules to an outside source.
As a consumer, i would look at it like...."i have adequate collateral.....i have more than adequate capability of paying the loan back....why does this bank need to know all the specifics about what the loan proceeds are for?".
You may be using the money to move from our market area, you may be using the money for criminal defense, you may be starting a business and leaving your employment, you may be getting ready to file bankruptcy (even though you don't state that purpose but we can show you used our proceeds we can then file a fraud claim), you may be using the money for a reason we don't lend for such as maybe a political campaign, you may be borrowing the money to invest in a fraud scam and we have the chance to keep you from losing your money, do I need to go on?