When a loan is renewed, does your bank issue a new note number, or issue the same number with a "-1" or something to that effect? For example loan #100200300 is renewed to loan #100200300-1 as opposed to issuing a new note #400500600

It makes sense to me to add the "-1" and keep the main note number. This is easier to keep collateral attached to the appropriate notes and would help identify any "evergreening"

Is there a standard best practice on the # of renewals for one loan? I know the answer is it depends on the type of loan product, but just looking to get some clarification on what the best practices are.

Appreciate anybody's input. Thank you as well to this forum - the folks here provide tremendous value and I certainly appreciate it.

It all depends on the capabilities of the core loan system you are using.

That's a great question, that I do not know the answer to. I wonder what consultants advise their clients, or what regulators would opine.

Further, you may want to look into future advances (if the collateral is real estate) in your state.
For our process, we have a spot on our notes to add the renewal #.

I'd say "a rose by any other name..." as it doesn't matter legally or compliance wise. It's what works for you and the processes you follow.