Skip to content
BOL Conferences
Thread Options
#593138 - 08/03/06 08:18 PM EquityLine for purpose of purchase...disclosures??
BY THE RULES Offline
Member
Joined: Jun 2004
Posts: 91
NC
Not my area of expertise..please help! I have just been presented w/a loan package for a $10,000 EQL towards purchase of home. The entire line was disbursed at closing. Does ROR apply for subsequent advances? Should we have given the disclosure at closing? OR, does ROR only apply for purchase $ HELOCs when the credit line is not fully disbursed at closing?

Return to Top
Lending Compliance
#593139 - 08/03/06 08:27 PM Re: EquityLine for purpose of purchase...disclosures??
Dan Persfull Online
10K Club
Dan Persfull
Joined: Aug 2002
Posts: 47,517
Bloomington, IN
_________________________
The opinions expressed are mine and they are not to be taken as legal advice.

Return to Top
#593140 - 08/03/06 09:12 PM Re: EquityLine for purpose of purchase...disclosures??
BY THE RULES Offline
Member
Joined: Jun 2004
Posts: 91
NC
Thanks for the links to the previous discussions. I tried doing a search before I posted my question and couldn't find it (haven't perfected my search abilities yet I guess). So if I'm reading/understanding this correctly, since we did not give ROR at the initial closing, we will have to give at each subsequent advance? Or, is there a way to word an ROR that will apply to ALL subsequent advances that we can give now or at the time of the next advance (preferably now as we may not catch the next advance)?

Return to Top
#593141 - 08/03/06 09:13 PM Re: EquityLine for purpose of purchase...disclosur
Kathleen O. Blanchard Offline

10K Club
Kathleen O. Blanchard
Joined: Dec 2000
Posts: 21,293
Do an ROR before any post-purchase advances are given. Then you will be covered for subsequent advances. I doctored up an ROR to say it applied to post close advances only. Give the ROR now so you don't have an issue with a missed advance.
_________________________
Kathleen O. Blanchard, CRCM "Kaybee"
HMDA/CRA Training/Consulting/Mapping
The HMDA Academy
www.kaybeescomplianceinsights.com

Return to Top

Moderator:  Andy_Z