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#415568 - 08/29/05 07:36 PM HELOC Not Secured by Dwelling
Anonymous
Unregistered

Is it possible to have a HELOC that is secured by something other than a dwelling such as bare land, investment property, or even unsecured?

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Lending Compliance
#415569 - 08/29/05 08:20 PM Re: HELOC Not Secured by Dwelling
Princess Romeo Offline

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Princess Romeo
Joined: Jun 2001
Posts: 8,272
Where the heart is
Well - it wouldn't be a "Home" Equity Line of Credit - it would probably be just a Line of Credit. If the purpose is not a consumer purpose, then you do not need to worry about Regulation Z disclosures.

If the purpose is a consumer purpose, but is unsecured, if the line of credit is more than $25,000, then Regulation Z would not apply.

If the purpose is a consumer purpose, and the line of credit is $25,000 or less OR any amount and secured by real property, then you would have to review the Reg Z disclosure requirements for a revolving line of credit contained in Subpart B of the regulation.
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#415570 - 08/29/05 09:07 PM Re: HELOC Not Secured by Dwelling
HRH Okie Banker Offline
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Joined: Jan 2003
Posts: 3,070
Oklahoma
Quote:

if the line of credit is more than $25,000, then Regulation Z would not apply.


If the purpose is a consumer purpose, and the line of credit is $25,000 or less OR any amount and secured by real property, then you would have to review the Reg Z disclosure requirements for a revolving line of credit contained in Subpart B of the regulation.



$45,000 in the State of Oklahoma
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