Currently: consumer loan secured by primary residence, under a forbearance agreement (non-accrual). The LO wants to refinance and put the loan back on accrual and collect the secondary accrual, but in monthly installments in addition to the monthly P&I and Escrow for the refinancing.
Since we cannot capitalize this interest, how do we collect it?
Can the secondary accrual be collected through an escrow agreement? Should a separate agreement be executed through an attorney? Must the collection of the secondary accrual be disclosed in the GFE/TIL/HUD?
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