Refinancings and HMDA

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Question:

I have a second mortgage, 10 year fixed equity loan. From the settlement sheet, the loan proceeds were used to payoff an existing second mortgage at another bank. Is this loan HMDA reportable?

Answer:

Section V. A.5. Code 3(c) of appendix A to HMDA states "You may report all refinancings of loans secured by one to fourfamily residential dwellings, regardless of the purpose of or amount outstanding on the original loan, and regardless of the amount of new money (if any)that is for home purchase or home improvement purposes."

First published on BankersOnline.com 6/17/02