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Doesn't Meet VA/FHA Net Tangible Benefit Refi

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Question: 
A borrower does not meet VA (or FHA) net tangible benefit for refinancing. What would be an appropriate reason for Statement of Denial?
Answer: 

From Reg. B, 1002.9

(2) Statement of specific reasons. The statement of reasons for adverse action required by paragraph (a)(2)(i) of this section must be specific and indicate the principal reason(s) for the adverse action. Statements that the adverse action was based on the creditor's internal standards or policies or that the applicant, joint applicant, or similar party failed to achieve a qualifying score on the creditor's credit scoring system are insufficient.

You tell them the reasons why they didn't meet the requirments.

First published on BankersOnline.com 1/14/13

First published on 01/14/2013

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