Do we need to collect (Georgia) GRMA if we are doing a business purpose loan? It is in a business name, but they are putting up their personal residence as collateral. I was thinking not, since a residential mortgage loan means a loan or agreement to extend credit made to a person.
Can a borrower pay the entire escrow balance into the escrow account up front? If so, does the bank then have a surplus in the account until the end of the year when all payments have been made?
Is a faxed signature acceptable on the ETIL disclosure?
If interest is charged off and the loan is modified for workout, is that charged off interest considered capitalized, since the interest was not collected at renewal or modification?
The bank makes a loan for the purchase of a manufactured home. The home will be placed on a pad in a park, which will be leased from the park owner, i.e., the bank does not have a lien on real estate. As I understand it, if the loan meets the criteria for a higher priced mortgage loan, beginning on 10/1/10, the bank must establish an escrow account for property taxes and premiums for mortgage-related insurance related to the loan. As RESPA does not apply to this loan, what, if any, escrow requirements apply (i.e., calculation of escrow cushion, annual escrow analysis, etc.)?