10/20/2003
When a customer at our bank comes in to do a $1000 personal unsecured loan and we hold a mortgage on their home prior to this loan, that has an additional advance clause, if we uncheck the box on the new $1000 loan that refers to cross collateralization, are we securing the loan with the real estate anyway, due to a previous security agreement being in the customers file? Would unchecking the box on the loan that says "collateral securing other loans from lender may also secure this loan" cover that bases for compliance?
10/01/2003
Federal regulators have some fancy tools and the Comptroller of the Currency plans to use his. The tool in question is federal preemption.
09/22/2003
When using an Estate account, can checks made payable to the deceased be deposited directly into that account or do they have to be made payable to the estate?
08/18/2003
I have a lender making a $1MM loan to a consumer to construct a personal residence. The loan is NOT real estate secured. I am finding myself unwilling to accept that there are no disclosure requirements for this transaction, however, I believe it to be exempt from Reg Z,RESPA, HMDA and Flood. Is there something I am overlooking?
08/01/2003
07/22/2003
Question: I have a situation with a safe deposit box that I would like to clear up and hope you can shed some light on the matter.
06/24/2003
Question: We have a single name checking account and an IRA with the mother of a son and daughter.
06/16/2003
We are working on our AML procedures and training and are trying to find examples of how someone would launder money by using a loan. We have come up with buying a CD with a small amount of cash, pledging it on a loan, and using it to pay off the loan. What other examples can you give?
04/21/2003
We are renewing a commercial loan secured by real estate owned 100% by the business. The business is owned 100% by Mr. Business Owner. In the past, the loan was individually (not jointly )guaranteed by Mr. Business Owner and his wife, Mrs. Business Owner. We have no financials due to the value of the property and loan/value ratio.We don't know what % ownership the wife has in any of Mr. Business Owner's assets. Do you think there is any value in keeping Mrs. Business Owner as a guarantor? How would I justify or explain to the loan review committee we really don't need her as a guarantor?
04/21/2003
We will soon be launching a home improvement product for which we will be taking security interest in items that will likely become fixtures, i.e., windows, furnaces, etc. We will not be taking any traditional mortgage in connection with this product. Is the right of rescission triggered by taking such interests? Also, is there any concern with the application of federal flood regulations?