Scenario: Bank makes a first and second mortgage loan for a customer. The second is specifically for the purpose to pay off a state child support liew should the state choose not to suborndiate to the bank. The state agreed to subodinate so the second is no longer needed. The second is signed and currently in ROR period.

What may be the best approach here: have the customer sign the right to cancel, and record as approved, but rejected, or have the bank now simply deny, and report as a denial?

The first seems cleaner, but the second seems more accurate. Thoughts?

YOu didn't deny it, so I would handle as approved-not accepted.

That was my thinking as well. Plus this way, we have a signed right to cancel, and customer cannot come back and say, hey, I know why we did what we did, but here are my signed docs, and I want my LOC!