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#4343 - 09/05/01 09:54 PM Reg Z
Tina A Sweet Offline
Diamond Poster
Tina A Sweet
Joined: Aug 2001
Posts: 1,033
Marysville, Ca.
I am new in the lending regulations and I have a possible reimbursement due to APR, however since this is something I have not dealt with prior could someone let me know what exactly must be reimbursed?
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Tina A Sweet-Williams
AVP Special Assets
mailto:tsweet@goldcountrynb.com

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General Discussion
#4344 - 09/05/01 10:35 PM Re: Reg Z
Al Miller Offline
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Al Miller
Joined: Oct 2000
Posts: 2,416
Pleasanton CA USA
In extreemly simplistic terms, you must have understated either the finance charge or the APR (or both) to have to reimburse. You may have to refund (reimburse) finance charges already collected and may have to alter future payments (read that as reduce) to bring the APR or finance charges down to whatever you understated.

Reimbursement is a very complicated area. Unless you have done several, I would not try it without professional assistance, probably from a lawyer. I believe you are in CA. Give me a call and I can give you some names.

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Al Miller, CRCM
Fremont Bank (CA)
(510) 790-5825
(510) 505-5211 FAX

Opinions expressed are my own and not necessarily shared by my employer.

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Al Miller, CRCM
Opinions expressed are my own and not necessarily shared by my employer.

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#4345 - 09/06/01 02:49 AM Re: Reg Z
Andy_Z Offline
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Andy_Z
Joined: Oct 2000
Posts: 27,384
On the Net
Tina, to get up to speed on all the lending rules, you might want to look at a Reg. Z or lending issues only school. The ABA has a good one that can be a part of their compliance school, or taken alone.

A state based program could also be useful for any state specific issues.

Like so many schools, you can get a lot out of it if you want. The advantage here is that you don't spend money on operations compliance if you are already strong in that area.

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Andy Zavoina
Opinions stated are not necessarily that of my employer.

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AndyZ CRCM
My opinions are not necessarily my employers.
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#4346 - 09/06/01 10:02 AM Re: Reg Z
Richard Insley Online
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Richard Insley
Joined: Oct 2000
Posts: 10,007
Toano, VA
Al, I totally agree with your suggestion to seek professional assistance with a potentially reimbursable Reg Z violation, but must take exception with lawyers being first choice. I've worked with the math of Reg Z & the reimbursement policy for 31 years and during that time can recall only a small handful of lawyers who understood the calculations and related accounting and operational issues well enough to provide all the advice necessary to correct a problem fully.

Often, the detected violation results from flaws in the lender's decision-making, procedures or calculation systems. Reimbursement only treats the symptoms, not the cause. These operational deficiencies are best addressed by a consultant who's been there before.

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#4347 - 09/06/01 02:47 PM Re: Reg Z
Al Miller Offline
Diamond Poster
Al Miller
Joined: Oct 2000
Posts: 2,416
Pleasanton CA USA
Point well taken, Richard. However, you were already on my short list of professionals that I will provide Tina when I return her call later this morning.

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Al Miller, CRCM
Fremont Bank (CA)
(510) 790-5825
(510) 505-5211 FAX

Opinions expressed are my own and not necessarily shared by my employer.

_________________________
Al Miller, CRCM
Opinions expressed are my own and not necessarily shared by my employer.

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#4348 - 09/06/01 05:24 PM Re: Reg Z
Mary Beth Guard Offline
Platinum Poster
Mary Beth Guard
Joined: Oct 2000
Posts: 797
Oklahoma City, OK
As an attorney, I can attest to what Richard is saying.

Some of my fellow classmates were in law school because they were horrid at math.


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