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#1729853 - 08/10/12 07:28 PM HPML
Elizabeth Riding Offline
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Elizabeth Riding
Joined: Nov 2010
Posts: 63
Kansas
Okay, I really am going crazy. We are starting to work with a new program and I think I lost my mind when I started using it this morning. I don't need affirmation of this occurrance, it is just a thought.
My question is, if I am working on a res re loan for a primary residence and the loan is an HPML if there is a negative amort do I have to collect the negative amount at loan closing?
Thanks,
E
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"It is not necessary to blow out someone else's candle in order to make your's shine"....Ben Franklin

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General Discussion
#1729975 - 08/12/12 12:18 AM Re: HPML Elizabeth Riding
rlcarey Online
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rlcarey
Joined: Jul 2001
Posts: 83,227
Galveston, TX
What do you mean collect a negative amortization at closing?? A negative amortization loan happens when the principal amount of the loan increases during the course of the loan.
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#1730516 - 08/14/12 01:20 PM Re: HPML Elizabeth Riding
Elizabeth Riding Offline
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Elizabeth Riding
Joined: Nov 2010
Posts: 63
Kansas
When I pull an amortization schedule the first payment will all go to interest and there will still interest due. So if the payment is $600 the interest due at the first is $620.
_________________________
"It is not necessary to blow out someone else's candle in order to make your's shine"....Ben Franklin

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#1730550 - 08/14/12 02:25 PM Re: HPML Elizabeth Riding
Elizabeth Riding Offline
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Elizabeth Riding
Joined: Nov 2010
Posts: 63
Kansas
Found my answer! Thanks, rlcarey, for your assistance.
:-D E
_________________________
"It is not necessary to blow out someone else's candle in order to make your's shine"....Ben Franklin

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