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#973296 - 06/11/08 06:38 PM Gift cards to new loan customer....allowed?
Many Hats Offline
Platinum Poster
Joined: May 2008
Posts: 915
Orlando, FL
We are considering a automobile refinance promotion and would like to offer new borrowers who get a loan a $50 gas card. Can we do that? If so, are there any disclosure requirements, etc. that we need to be mindful of?

Just as a note, we will still charge our typical $195 loan fee. If we do this, do we have to offer the borrower the choice between a $50 gas card or $50 off the loan fee?

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Lending Compliance
#976639 - 06/17/08 06:54 PM Re: Gift cards to new loan customer....allowed? Many Hats
Many Hats Offline
Platinum Poster
Joined: May 2008
Posts: 915
Orlando, FL
I am still needing an answer on this....can anybody help me?

I even asked my compliance consultant and she said she would research it and get back to me...no word yet.

I guess this is a bigger deal than I though.

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#976666 - 06/17/08 07:10 PM Re: Gift cards to new loan customer....allowed? Many Hats
rlcarey Offline
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rlcarey
Joined: Jul 2001
Posts: 77,310
Galveston, TX
IMHO it is no big deal. They close a loan you hand them a $50 card. They close more than 12 loans a year and you hand them more than $600 in cards - you file a 1099MISC at the end of the year.
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#976692 - 06/17/08 07:23 PM Re: Gift cards to new loan customer....allowed? rlcarey
Many Hats Offline
Platinum Poster
Joined: May 2008
Posts: 915
Orlando, FL
Fabulous.....I figured as much...just needed some hand holding. Thanks a bunch!!!!

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