If Home Equity Lines of Credit are exempt from RESPA, are we required to provide an Affiliated Business Arrangement?
We have a couple of tech-savvy lending officers who regularly post to personal blogs. We have a policy requirement that their blogging must include disclaimers that they are expressing personal opinions only and not writing on behalf of the bank.However, occasionally they may mention a bank product or service ("My bank offers a 35-year fixed rate loan" appeared in one of the blogs last week). Can their blogs be considered advertisements with trigger terms and compliance issues for the bank? Do we have to control what they post?
Our bank is brand new to escrow. We will use Oct. 31 for our aggregate analysis date. For loans closed on all other dates besides Oct. 31, what is the rule for issuing short year statements to get all loans on the same computation year schedule? If we close a loan in August, can we wait until the following October to do analysis?
When you have an ARM loan that is being escrowed, can you avoid sending two notices of payment increase/decrease, due to the interest rate and escrow requirement change? We would like to do our escrow analysis and rate adjustment notification at the same time to avoid customer confusion.
I have been told that the flood determination life of loan fee is determined to be a pre-paid finance charge. How do we need to disclose this on the HUD and GFE? Do I disclose the life of loan fee combined with the flood fee or do I need to separate it out into two separate fees? If they need to be two separate fees, could you please tell me the regulation and subsection under which it would be found?
On the HUD-1, where are we supposed to put the property taxes? We require the customer to pay his taxes and also homeowner's insurance. I am a little confused as to where to list this on the HUD. We were told not to put it on the GFE, so I want to make sure we are listing it on the HUD-1. If the title company put taxes on the front to show taxes paid in full for sale, do we also have to list this on the back of the HUD-1?
Do we need to send out a monthly statement on a HELOC that has a zero balance?
As part of the Reg Z changes and the Credit Card Act changes, there is the requirement to have at least a 21 day window from the billing statement to when the payment is due. Does this affect our HELOCs and Ready Reserve (overdraft protection) accounts which are both open end credit? Our HELOCs have statements printed on the first of each month with payments due on the 15th, if paid manually or the 5th, if paid with auto-debit, and our Ready Reserve accounts have payments automatically taken at the time the statement cycles. I was initially told it does not affect them - but I just am not sure!
Does a bank have to provide a billing notice for closed-end loans, and is there a requirement to provide a periodic statement to identify payment transactions on closed-end loans?
In 2004, when HUD withdrew its controversial July 29, 2002, proposal "Simplifying and Improving the Process of Obtaining Mortgages to Reduce Settlement Costs to Consumers," no one believed it w