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#1818355 - 05/29/13 08:20 PM capitalization of interest
Patricia Offline
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Posts: 327
Kansas
Is capitalization of interest on a higher priced mortgage loan prohibited? I am thinking this practice would result in negative amoritzation????

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#1818534 - 05/30/13 01:55 PM Re: capitalization of interest Patricia
Patricia Offline
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Joined: Mar 2011
Posts: 327
Kansas
bump

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#1818545 - 05/30/13 02:07 PM Re: capitalization of interest Patricia
swiggles Offline
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swiggles
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Posts: 7,333
Define "capitalization of interest."
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#1818572 - 05/30/13 02:31 PM Re: capitalization of interest Patricia
Patricia Offline
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Joined: Mar 2011
Posts: 327
Kansas
Past due interest.

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#1818575 - 05/30/13 02:32 PM Re: capitalization of interest Patricia
swiggles Offline
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swiggles
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What? Adding it to the principal during the term of the loan? Or adding it to the loan at renewal?
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The more you sweat in training, the less you bleed in battle.......

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#1818591 - 05/30/13 02:50 PM Re: capitalization of interest Patricia
Patricia Offline
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Joined: Mar 2011
Posts: 327
Kansas
adding it to the principal balance and extending the term. I think we can do a modification. Right?

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#1818775 - 05/30/13 06:20 PM Re: capitalization of interest Patricia
rlcarey Offline
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rlcarey
Joined: Jul 2001
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Galveston, TX
Check state law and your safety and soundness regulators are going to be all over you like you know what.
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#1818777 - 05/30/13 06:23 PM Re: capitalization of interest Patricia
RR Joker Offline
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RR Joker
Joined: Nov 2002
Posts: 20,644
The Swamp
What ^^^ said.
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