Dan is Vice President and Compliance Officer for The Peoples State Bank with its main office located in Ellettsville, IN and supporting nine branches in surrounding communities. The bank is a privately owned bank that began its existence in 1904.
Dan entered the financial services arena in 1974 when he went to work for Commercial Credit Corporation. He worked eighteen years with Bank One and three years with the Indiana University Employees Federal Credit Union. In addition to serving as a Compliance Officer, he has served as a Collection Officer, Consumer Loan Officer, Commercial Loan Officer and Loan Operations Officer. His primary duties falls within lending compliance, training and consumer loan reviews.
He attended Three Rivers Junior College in Poplar Bluff, MO and Arkansas State University in Jonesboro, AR. He is also a graduate of the ABA Bank Card School, ABA Commercial Lending School and ABA National Truth-in-Lending Compliance School.
I have a question on Reg O, specifically the preapproval by the majority of the entire board of directors requirement under 215.4.
1. If the board of Directors authorizes a sub-committee to act on behalf of
the entire board, would pre-approval by that sub-committee satisfy the regulatory requirement regarding approval by a majority of the entire Board of Directors?
2. What if the majority of that sub-committee was composed of senior
management, the remaining minority members were board members and the total number of board members on the committee did not constitute a majority of the entire board?
What happens if a lender chooses not to read the HMDA Telephone Script when required to an applicant?
In Indiana, I know that if a maturity date is not listed on the filed mortgage that the maximum term is 20 years. But if a maturity date is stated on a HELOC, is there a state/federal/regulated maximum maturity and what is it?
Obviously, you have to look at the draw period and calculate a projected repayment, but can the maturity date be the actual date of repayment or would it have to balloon so as to keep with the state or federal regulation of maximum maturity date?
Are we required to have an intent to proceed on commercial purpose loans?
Should a loan officer be the one signing loan docs or can it be anyone that is an officer of the bank do this?
1026.53 - Payment Allocation reads pretty clear - payments in excess of minimum payment must be made to the balance with the highest APR and then descending until the payment is exhausted.
But "balance" is not clearly defined. One could argue there could be two different balances. Cycle to date balances (in current cycle) or cycled balances (prior cycle)
For example; suppose a card holders billing cycle is the 1st – 31st with a payment due date of the 21st. The account has the following balances that rolled over from prior cycles;
$10,000 BT Promo at 0%
$225 Purchase at 11.99%
On the 21st the card holder makes their minimum payment of $25 which is applied to interest, fees and balances on the account in accordance with Regulation Z.
On 23rd the card holder makes a $500 purchase at 11.99% and a $2000 cash advance at 12.99%.
On the 28th the card holder makes an additional payment to the account of $3000. Should the additional (excess) $3000 payment be in the following order;
$2000 to the cash advance balance at 12.99%.
$700 the purchase balance at 11.99%
$300 to the BT Promo at 0%
Do not apply any of the excess payment to the transactions that occurred in the same cycle.
Alternatively, the payment is applied to the balance in the prior cycle:
$200 to the purchase balance at 11.99%
$2800 to the BT Promo balance at 0%
and nothing to the cash advance balance
What is correct?
We have a refinance loan by the same lender and the consumer is getting a small amount back. Is there a percentage of the loan amount that triggers a rescission?
Is a loan secured by a note receivable, which is subsequently secured by real estate with structures on it a designated loan for FDPA? We have had some debate about the fact that the banks collateral assignment has been recorded in the real property records which puts us in the chain of title and therefore the loan should be designated.
And is it a flood violation if the borrower has proof of flood insurance but the bank is not listed as loss payee?
I have a customer that is going to purchase a primary residence for himself but he is wanting to put the loan in his LLC's name. Because of this, I am stuck trying to determine if this loan would be Consumer (based on purpose to purchase primary residence) or Commercial (if it is allowable for a Consumer purpose loan to be put in an LLC name). If it can be processed as a Commercial loan, are there additional disclosures they need to sign?
Does a consumer lender's NMLS number have to be on a blank application if it is being given to a customer and no other information is collected or given out?