I need to know what is the guideline for handling an unresponsive lender when handling a payoff request. There is a legal timeline that they have to respond to (looking for reg. on this).
Do mortgage closing loan documents need to contain the loan number on the document (i.e. HUD, initial escrow disclosure statement, notice of right to cancel)?
We as a company have been doing a lot of streamlined refinances that require us to get the HUD-1 from the loan that the borrowers currently have. In reviewing these I have noticed that it is common practice for other lenders to reflect negative discount points, a/k/a the funds they (the lender) are crediting to the borrower for closing costs. We currently add our lender credit to the HUD just like you would an earnest deposit or seller paid closing costs, which means the credit to closing costs is not reflected in our GFE and the APR the borrower sees does not reflect the fact that they are in fact paying lower closing costs due to the credit we are giving them. I feel like this is putting us at a disadvantage when borrowers compare our GFE and TIL to other lenders they are considering.
We have a customer that deposited a check from a friend. The check was a convenience check on the friend's credit card account. Right now the issuing bank tells us that check has cleared. What will happen when the friend gets their credit card statement and they didn't actually write that check and it's fraud? What are the return time frames that credit card checks fall into?
Have you heard of the obvious error rule? The FDIC has recently completed a compliance exam and mentioned the obvious error rule in relation to the APR calculation on open-end credit.
A borrower does not meet VA (or FHA) net tangible benefit for refinancing. What would be an appropriate reason for Statement of Denial?
Per CRA classification, we are an intermediate-small institution. With that classification, one of the requirements for us to include in our Public CRA File are the prior two years CRA Disclosure Statements. Is this another name for the public section of our CRA Performance Evaluation, or is it something else? If it is something else, what, and where can I find a sample?
We are terming out one of our matured home equity lines of credit and paying off this loan to do a fixed-rate closed-end consumer loan on the balance owed. Are we required to provide a HUD-1A settlement statement or can we prepare a simple closing statement? A GFE was provided after application.
Is there any way to initiate a release of a UCC when you are not the debtor. For instance, we refinance a loan secured by a UCC, obtain a pay off from the debtor with acknowledgement to release the UCC but they never do. It's a lot of work to keep following up to request releases on a UCC, any suggestions?
We have a borrower who rescinded his loan within the 3 day period and all funds collected were refunded. He has now re-applied and our compliance officer states we cannot charge him for the appraisal since it was the appraisal also completed for the rescinded loan. The new application was made within two weeks of rescission.