Our bank is looking into offering mortgages with an initial fixed rate, short term loan (5-7yrs) with a balloon payment, then financing the balloon balance into a longer term (20yr) ARM. Can we do this without determining Ability to Repay for the initial short term portion? Also, would this be dependent on if the bank is considered a small creditor and serves only rural or underserved areas?
A soldier wants us to reduce the loan rate and allow three deferred payments to bring the account current. Are we required to do this?
There is a surplus in the borrower's escrow account, but the loan is past due. Can we apply this surplus to his loan? The surplus is $315.44 due to decrease in his homeowner's insurance premium.
How can I validate that the APR I have disclosed is correct during a leap year? I noticed that if I enter the loan date as 02/28/19 and the first due date as 03/28/19, APRwin returns that there is 1 period and 0 odd days which matches what our internal software has calculated. If I enter the loan date as 02/29/20 and the first due date as 03/29/20, it returns 0 periods and 28 odd days. This definitely doesn't match our internal software as it also returns 1 period and 0 odd days for this scenario. I've read online that APRwin has limitations for calculations when the year has 366 days. Should we go with 1 and 0 and is there another tool we can use to confirm this?
Does Section 8 prevent us from accepting Christmas gift from providers such as appraisers and title companies?