Most Popular Lending Content
No Fee, Waived Fee and RESPA GFE
02/07/2005
Section 3500.7(a)(2) has been cited as the reason that fees must be disclosed even when the borrower is "not likely to incur them in connection with the settlement." Please see 3500.7(a) where it indicates this only needs to be done when the "borrower is likely to incur" them. How do we reconcile the apparent conflict here?
Early Disclosures on Purchase/Construction?
02/07/2005
Are early disclosures required on a construction loan to an individual? The bank loan would be for construction only. Permanent financing is being provided by another lender. The first draw on the loan will transfer the lot (purchase money) into the borrower's name.
Section 32 Loan Question
02/07/2005
Regarding Section 32...I received a definition that a purchase transaction includes refinances of purchase transactions. I cannot find this definition in the regulation. Is this correct?
Reg Z Section 32 Clarification Sought
02/07/2005
What is the actual rule about Section 32 Reg Z predatory lending? Does it only include all fees charged to the borrower, or does it also include any yield spread premium paid by the lender to the broker?
Is This an Illegal Kickback?
02/07/2005
Our bank is considering offering the following promotion to homebuilders that work with us. The program would work as follows: We make a "spec" loan to the builder and charge a $500 origination fee to the builder. Our promotion would state that if we get the permanent loan to the buyer (consumer) of that home, we would refund to the builder $250 of the $500 fee the builder paid to the bank. Is that an illegal kickback?