Most Popular Lending Content
FACTA confusion
07/04/2005
I am confused on the FACT Act, could you please shed some light on this issue? I am not clear on when we are suppose to provide this notice to the customer, please advise.
Documentation Fees Affect on APR
07/04/2005
What fees are included in the APR? We are currently charging a Documentaion fee of $100.00. Should this fee affect the APR if it is being financed?
Is Free Checking for 50 & Older an ECOA Violation?
07/04/2005
We are in the process of implementing an automated overdraft protection service. As a courtesy, the Fair Lending folks at the FDIC spoke with us regarding "guidance" on this service. Specifically, they told us that if we have any checking products that are age-based (such as 50 years plus checking) that has a waived service charge that we are discriminating against all other accounts holders that have an account that is not aged base and has a service charge or a minimum balance requirement. The violation would fall under ECOA. We were told the only way that we would be in "guidance" would be if the aged based account was 62 years plus. We asked them to site specifically "where" in the Reg B or in the joint guidance that this is stated. Apparently this is very broad guidance. Has anyone else come up against this situation or been written-up in an exam for this? Any advise as to our next move?
Will HMDA Lead to Litigation?
07/04/2005
Will the expanded HMDA rules - now including interest rates - increase risk of class action ligitation for mortgage bankers?
Construction and End Loan and RESPA Query
07/04/2005
A mortgage lender faciliates a construction loan for a borrower and charges an origination fee to do so. The fee is shown on the HUD-1 if the mortgage lender closes the end loan. If an end loan is not closed the fee is never disclosed on a HUD-1. The construction lender allows the borrower to take a draw on the construction loan to pay the mortgage lender but pays the draw direct to the borrower who then pays the mortgage lender. Is this a violation of REPSA.