Most Popular Lending Content
Lien Release Timeline
02/23/2004
How many days do we have to release collateral on consumer loans (i.e. vehicle titles - deed of trust)?
Calculating Interim or Prepaid Interest
02/16/2004
My loan department and doc prep vendor are arguing about the proper calculation for interim (prepaid) interest on a first mortgage transaction. My loan depatment wants to charge interest for the day of closing. For example, for a loan closing January 15th, they would collect 17 days interim interest. The doc prep firm says none of their other clients do this, so they want a regulatory citation showing that it's okay. I can't find anything in any requlation that covers calculating interim or prepaid interest. Any ideas?
Determining Loan Purpose for HMDA
02/16/2004
Under HMDA, if the borrower is refinancing - cash out but using the proceeds to buy another home, is the loan purpose a refinance or a home purchase?
Term to use on HMDA Rate Calculation
02/16/2004
When using the HMDA rate calculator, which term would we use on our loans? On most of our real estate loans, we lock the interest rate in for 2-4 years, but set the payments up on a 10 year payoff. Would we use the 2-4 years or the 10 year term that it will take to pay the loan off? We want to use the correct term.
Decline Reasons and the FCRA Notice
02/16/2004
If I have a customer that applied for a loan and I declined it based on employment history and not the customer's credit, do I have to check the FCRA box if I pulled a credit report? Can the customer still receive a free copy of their credit report if I didn't decline them for derogatory credit?