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#1900093 - 02/26/14 02:55 PM mortgage loans to people with Visas
traveler Offline
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Joined: May 2010
Posts: 180
Alabama
We are being pushed to offer i-house mortgage loans to people with Visas.
It is my understanding that these would be mainly to people who are in the US working at a medical facility. Once the people have attained aresident alien status, the loans would then be sent to our mortage origination divisiona to be sold to an "Investor."
The bank's BSA Officer and I do not feel comfortable with this. Can anyone give me some "ammunition" to not do these that we can discuss with upper management.
If we do these, what are all of the CIP ramifications?

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#1900105 - 02/26/14 03:15 PM Re: mortgage loans to people with Visas traveler
ACBbank Offline
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New York City
A loan customer is a customer. You will have to CIP these individuals and apply your normal KYC procedures.

I'm not sure what a "I-house mortgage loan" is, so I'll let someone more familiar with lending opine on the that area of risk.
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#1900136 - 02/26/14 03:52 PM Re: mortgage loans to people with Visas traveler
rlcarey Online
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Galveston, TX
There is no path to residency simply by having a work VISA in the US.
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#1900138 - 02/26/14 03:56 PM Re: mortgage loans to people with Visas rlcarey
edAudit Offline
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edAudit
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You are here
Originally Posted By: rlcarey
There is no path to residency simply by having a work VISA in the US.


I would like to add to this post

http://www.epi.org/blog/top-10-h1b-guestworker-offshore-outsourcing/
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#1900164 - 02/26/14 04:43 PM Re: mortgage loans to people with Visas traveler
traveler Offline
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Joined: May 2010
Posts: 180
Alabama
I meant in-house mortgage

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#1900169 - 02/26/14 04:57 PM Re: mortgage loans to people with Visas traveler
John Burnett Offline
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Cape Cod
In at least one state, if an NRA leaves the state, real estate in the NRA's name is abandoned after a lapse of five years. That could mean the title for the real estate would be clouded.
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#1900226 - 02/26/14 06:43 PM Re: mortgage loans to people with Visas traveler
traveler Offline
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Joined: May 2010
Posts: 180
Alabama
So if the bank wants to accept the risk, what are the suggestions concerning documents to require for due diligence of the customer?

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#1900285 - 02/26/14 07:48 PM Re: mortgage loans to people with Visas traveler
rlcarey Online
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rlcarey
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Galveston, TX
That should be already be outlined in the board approved CIP.

Credit underwriting is another issue. They may or may not have credit reports and you need to explore how and the costs involved to foreclose in absentia if they skip on the loan and go back home (sometime after they trash the house).
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#1900422 - 02/26/14 10:36 PM Re: mortgage loans to people with Visas traveler
traveler Offline
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Joined: May 2010
Posts: 180
Alabama
We would be making changes to our CIP for this type of situation. Just wondered if anyone has any suggestions concerning how to properly CIP this type of individual.

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#1900429 - 02/26/14 10:42 PM Re: mortgage loans to people with Visas traveler
rlcarey Online
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rlcarey
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Galveston, TX
Passport and copy of the their current visa is about as good as it gets.
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