Thread Options
#2250546 - 03/15/21 02:39 PM HELOC Extension Help
Crazy Bank Lady Offline
100 Club
Crazy Bank Lady
Joined: Jun 2005
Posts: 105
Missouri
I am in need of some help when extending HELOC's. When we are asked by our mortgage department to subordinate our lien interest in a first mortgage HELOC, on occasion we will extend the maturity date of the HELOC at the same time. Nothing else changes with the terms of the HELOC, just extending the maturity date. What disclosures/documentation is needed for these HELOC extensions?

Return to Top
Lending Compliance
#2250547 - 03/15/21 02:51 PM Re: HELOC Extension Help Crazy Bank Lady
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 77,277
Galveston, TX
For a maturity date extension only under a written agreement with the consumer prior to maturity? It would not trigger any Regulation Z disclosures under 1026.9.
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top
#2250548 - 03/15/21 02:54 PM Re: HELOC Extension Help Crazy Bank Lady
Crazy Bank Lady Offline
100 Club
Crazy Bank Lady
Joined: Jun 2005
Posts: 105
Missouri
Thank you. Would we need to do anything with the flood guidelines?

Return to Top
#2250549 - 03/15/21 02:57 PM Re: HELOC Extension Help Crazy Bank Lady
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 77,277
Galveston, TX
Yes - extending the maturity of a loan is always a flood trigger.
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top

Moderator:  Andy_Z