ROR on a purchase money

You have a purchase money loan and you typically are giving the Partial ROR that references that purchase money does not fall within the 3 day rescission period. Then it just so happens on one of the purchase money loans you closed one day, a regular ROR was given instead. Would this make a compliance exception or put us in a 3 year rescission period? If so, can it be corrected. Any help would be greatly appreciated. Let me know if further explanation is needed.

I assume you are referring to a Residenital Mortgage Transaction. Why are you giving rescision on a RMT?

I am referring to a HELOC loan that is the 2nd to the purchase of the home. Thanks.

OK, that's what I thought you might be referring to but I wasn't sure.

IMHO the incorrect rescission form would not cause you a regulatory violation because the initial advance being used for the RMT is not subject to rescission regardless. The rescission in these transactions is for the subsequent advances.

I agree. As long as you did not advance additional non-purchase funds within the rescission period, there is no violation. I would take a look at the process to see why the wrong form was used.

Great and we have already taken a look into why the wrong form was used and it seems to be a single error.