A UCC filing fee paid to a government entity to perfect a security interest in a consumer product must be listed in the Fed Box to avoid being a finance charge and included in the APR. Our filing fee is paid to a non-government third party vendor. Because of this third party involvement, our compliance department feels the fee should not be listed in the Fed Box. If all or a portion of filing fee we charge to the borrower will be paid to the government entity I feel that portion should be noted excluded from the finance charge and APR. Do you agree?
I am trying to find a list that shows what is and what is not a finance charge. We have used https://home.docsdirect.com/resources/tools/finance-charges but see that there a several inconsistencies on here. Is there an accurate list available?
Are credit life insurance, disability insurance, or GAP unsurance included in the APR we dosclose to borrowers?
Our bank has an indirect lending department where we finance autos, RVs, etc. We have always required that the dealer disclose any protection products that are financed, such as an extended service contract or GAP insurance, as a line item on the loan contract as per Reg Z. We are getting pushback from some of our dealers concerning the disclosure of some of these products. They claim that any non-refundable product, such as paint protection, is a "front-end" product that Reg Z excludes from disclosure on the contract. We can find no such distinction in Reg Z between refundable and non-refundable products. Does such a distinction exist or should all financed protection products be disclosed?
When there is a postage fee/courier fee for a TRID loan, is this fee always disclosed as a prepaid finance charge or does who is charging for the fee determine if it is a prepaid finance charge or not?
For example, when the lender is charging a postage/courier fee, the fee is disclosed as a prepaid finance charge because the lender is charging it. When the title company is charging a postage/courier fee, would it be a non-prepaid finance charge, or is this still considered a prepaid finance charge?
If you have a Filing Fee (lien on title) and a UCC1 recording fee to the State, would both of these amounts be reflected in the Fed Box or just the Filing fee on the title?
If the interest rate disclosed in a promissory note is incorrect (it is lower than what is actually being charged), is that a Reg Z problem? What if the TILA disclosure is within tolerance and is considered correct, could this then be an issue with UDAAP?
If an APR fee is paid at closing by the lender should it still count as a APR fee the borrower pays?
Can you tell me what fees are supposed to affect the APR?
We are looking at charging fees for credit reports. We have never done this. How do we do this correctly? We are looking for any recommendations or guidance you can offer.