Answer from Randy: The borrower can rescind the loan for up to three years and return the money they owe you less any interest or other fees they have been charged.
Answer from Andy: There are also the standard penalties your regulator may raise or an attorney representing one or more of your customers.
FIRREA Penalties and
• Statutory damages double the finance charge (min $100, max $2,000)
• Actual damages
• Fines up to $500,000 or 1% of creditor’s net worth, whichever is less in class action suits
• Attorney’s fees and court costs
First published on BankersOnline.com 7/15/13