Most Popular Lending Content
Calculating APR On Loan Renewal
06/02/2003
I have a consumer loan I am renewing. We are doing new loan documents. This loan is to pay off the old loan. On our disbursement we also need to get the accrued interest for approx 7 - 8 days (the new loan is closing 7-8 days after the old one matured) In figuring out the APR - would the accrued interest be a finance charge - or other charges of lender? It is not to prepay interest for the new loan - it is interest left over from the previous loan.
Using Maiden Name On Loan Documents
06/02/2003
We received an application for a mortgage in the applicant's married name. However, when our documentation department prepared the loan documents, they were done in our borrower's maiden name (the applicant has been married over a year). The title to the property pledged as collateral was in the applicant's maiden name which is why the documents were prepared the way they were. Are there any legal concerns regarding the way this was processed? The manager of the documentation department says that since both names show up on the credit report it's a non-issue.
Loan To A 16-Year-Old
06/02/2003
One of our consumer officers made a loan to an employee and his 16 year old son as co-applicants. Of course, the 16 year old is well below the 18 year old limit for entering into a contract, so his signature is essentially worthless. My question is, are there any other issues we need to worry about - such as notifying the father that he alone is responsible for the loan and reporting the 16 year old's credit to credit reporting agencies.
Building a CIP
06/01/2003
The rules are out and the initial shock wave is over. No more excuses. It is time to get serious about building a Customer Identification Program.
Coverage
Correcting rescission problems
06/01/2003
Question: We found a rescindable loan for which the Truth in Lending disclosure was inaccurate. The loan, a 30-year mortgage, is presently less than one year old.