Most Popular Lending Content
Interest Extension for a Consumer Mortgage Loan?
09/10/2012
Can one do an interest extension for a consumer mortgage loan? HELOC?
Reprice Loan if Rates Lower Before Processing
09/10/2012
Our VP of Lending wants me to draft an agreement for our clients stating that we will charge a $500 fee to "reprice" their mortgage loan if the rates go lower during the processing of the loan (before the loan closes). For example, they have a 4% rate and now rates dropped to 3.5%, we will charge them a $500 fee to lower the rate from the 4% to the 3.5%. The rationale is that we might lose them as a client if we don't lower the rate, but need to charge the fee for our costs. I am not comfortable with this from a Fair Lending perspective and am not sure if this violates other regs.
Date of Signature Match Date of Document?
09/10/2012
Does the date of signature have to match the date of document? For instance a promissory note is dated 01/01/2012 and the customers signs and dates the document 01/02/2012. Is this a violation of any kind? Either for consumer purpose loan or commercial?
Mandatory Escrows for All HPMLs Issues
09/10/2012
Since the establishment of escrows for all HPMLs became mandatory, we are having an issue with consumers who pay their homeowners insurance on a monthly basis. They don't want to make duplicate payments to the insurance company as well as our bank to fund their escrows. Understandably, they view this as a hardship, and are unable to afford an annual payment to their insurance company in order to get their premium paid in full and then start to fund their escrow. Any ideas what we can do in these situations? I understand that we can't simply have them sign a waiver releasing us from paying their homeowners premium, but still paying their real estate property taxes from their escrow.
PMI Disclosures Required on Non-Owner Occupied?
09/10/2012
Are initial PMI disclosures required on non-owner occupied purchase transactions?