Would the cost of VSI (Vendor's Single Insurance) be part of the MAPR calculation on closed end credit? I believe the answer is 'yes' but would like to double check. Thank you.

I plan to include it even though in the most technical sense, we could exempt it per Reg Z based on disclosure language and 'right to obtain your own' which is hogwash, because you can't! So I include it and will include it for MAPR as well. I'm not sure MLA would even allow that particular exemption Reg Z allows, to be honest.

Thanks; so in doing so I'm assuming you would follow the same steps as you would when computing the APR, including subtracting the cost of VSI from the loan amount to determine the "MLA amount financed", which would then be the amount used to compute the MAPR. Does that sound right?

OR would you first add the cost of the VSI to the loan amount being requested by the applicant (since it's being financed), then deduct it, which means it would be a wash when determining the "MLA amount financed"?

You would need to add it then calculate the MAPR.