LOC for Working Capital - Home Improvements

Posted By: HMDA Chic

LOC for Working Capital - Home Improvements - 03/16/23 08:22 PM

First time scenario for us - we have a dwelling secured business LOC that will be used for working capital - however, those funds are for a residential carpet cleaning company. Would this be HMDA reportable as home improvement?
Posted By: Dan Persfull

Re: LOC for Working Capital - Home Improvements - 03/16/23 08:42 PM

No.
Posted By: John Burnett

Re: LOC for Working Capital - Home Improvements - 03/22/23 03:44 PM

It is a business-purpose loan that doesn't meet the criteria for as home purchase, home-improvement, or a refinancing. Therefore, it is a loan that is exempt from reporting. Reference is § 1003.3(c)(10).