Most Popular Lending Content
Distinguishing Between Renewal and Refinancing
01/05/2004
We have some confusion distinguishing a renewal note from a refinanced note. At our bank we very seldom "refinance" debt secured by a dwelling. We "renew" the loan, retain original note, mortgage and all other documents, obtain a new promissory note (keep the same loan number) and modify the mortgage to reflet the new terms (i.e. new interest rate and new maturity date.) We refinance when we add new funds. Or, when a construction loan is financed into a permanent loan. We consider our renewal note as an Extension Agreement. How does this relate to the new definition of "refinance"? The word "renew" is no longer in the definition. This becomes important especially for commercial loans secured by a dwelling.
FAQs on CIP
01/01/2004
FinCEN and the bank regulatory agencies have issued answers to frequently asked questions about the CIP rule. The answers don't contain any surprises and demonstrate a great deal of common sense.
CAC Appointments Announced
01/01/2004
The Federal Reserve Board has announced the appointment of new members to the Consumer Advisory Council. A promising crew of four bankers have been appointed.
FCRA: New and Improved?
01/01/2004
Congress has taken decisive action on the Fair Credit Reporting Act.
CRA: How Are We Doing?
01/01/2004
PCi's annual CRA and Fair Lending Colloquium was the place for discussing where CRA has taken the banking industry and where the industry should head in the future.