Most Popular Lending Content
Loan on Spec Home - Disclosures?
04/18/2005
We have a loan that is going to be secured by a borrower's personal residence and then a true spec home with no take out committment. Would you please tell me what disclosures apply? The borrower is not in the business of spec home construction yet. The borrower and his wife are planning on doing more but this type of spec home has a limited buying audience.
APR Explanation?
04/18/2005
How would you explain to a borrower what APR is? I always got a lot of calls asking why the rate on TIL differs from the one on GFE. My answer to them was "APR is the cost of the loan." How would you elaborate? It seems that they are not always satisfied with my answer.
Variable Rate Construction Loan
04/18/2005
I have a lender doing an 18 month variable rate construction loan for a borrower's homestead. Since the loan is over one year, doesn't it need to be done as an ARM loan? Or, since the construction loan is totally separate from the perm., does it matter?
Timing for Notice of Negative Credit Reporting
04/18/2005
We need a clarification regarding FACT Act. Can we provide the [negative reporting] notice along with the loan documents when the loan originates? We could provide a separate form or add it as a provision/condition within the loan document.
Is This Prohibited Discrimination?
04/18/2005
I just started working at this company and I was told "we don't take Spanish loans" because of language barriers. I've been in the business for about 3 years and know that ECOA and HMDA have discrimination prohibitions, but can't find anything about a language barrier. Would this fall under discrimination based on "Race"?