03/04/2013
During a recent webinar it was stated that Trust and Estate Accounts do not require the same regulatory disclosures as retail accounts. It was even recommended that they be carried as commercial and not retail accounts. This was news to the bankers listening to the webinar. Is it true they do not require the same disclosures as other retail accounts?
03/04/2013
What are the consequences of providing Reg Z disclosures for a business purpose loan? Does that subject the loan to Reg Z?
02/11/2013
We currently have Home Equity Lines of Credit (open ended) that have floor rates of 6.00% and 7.00% and we would like to reduce these to our new floor rate of 4.25%. I know under Reg Z Section 226.5b (f) it states we can make a change that will unequivocally benefit the consumer throughout the remainder of the plan. With that being said what type of documentation and disclosures must be given in order to stay in compliance with the regulators and terms of the loan? We want to ensure that if we do a modification agreement on the HELOC we do not need to redisclose on the loan.
01/28/2013
Our bank recently decided to purchase Mortgage Blanket Insurance to use in event borrowers lapse on their hazard insurance on a mortgage the bank has secured as collateral so that the bank will have coverage for the ownership interest of the real estate. This insurance is obtained through an insurance agency which is a subsidiary of the bank. The borrowers of course will not be incurred a charge for this. Are we required to provide an Affiliated Business Arrangement? Is there any other requirement that we must do for this?
12/24/2012
I am renewing a loan that was originally a HELOC. The loan matured and I collected an updated "consumer HELOC" application and obtained a new credit report. The loan was approved for renewal but for a lower amount and shorter term. I was told that I should not have collected a new loan application (purpose on application was stated a renewal of HELOC) because this is not a new loan request. No new disclosures were required and only a simple form modification agreement was needed to renew the loan. Can you please advise as to what documentation would be need for this type of transaction?
12/03/2012
We offer an online service to our Canadian clients in which they can go online (using online banking) and transfer funds from their US account to their Canadian account that resides with our Parent company. Clients can also contact a call center representative and ask them to make this transfer for them as well. Under the new Regulation E remittance transfer rules, would this type of transfer be required to comply with the new Reg E remittance transfer rules for disclosures, the 30 minute cancellation rule, etc? We have been back and forth on if this should be included?
11/26/2012
We will be revising our schedule of fees brochure as of November 1st. I know that we must provide 30 days notice to customers but my question is this: two of our checking accounts have tiered rates. One we want to change to a flat fee and the other we want to drop the tiers and raise the average collected balance in order not to incurred a fee. If the balance drops below $1000 there will be a flat fee. Can we just list this with the other changes or do we need to have a special section for this?
11/05/2012
We don't place the regulatory 9 day hold on new account deposits. However, we do place exception holds once in awhile (7 day). A Compliance Trainer told us that if you do the regulatory 9 day hold on new account deposits, you have to do it for all of them - you can't pick and choose. Is that true?
10/29/2012
If the original loan application package was issued for a husband and wife and signed by both but later changed the loan to husband's name only, can the original disclosures (not 1003) be used or would a new set be required in the husband's name with his signature only?
10/29/2012
We have a case-by-case hold policy at the bank where I work. We give a written hold notice to customers when we are placing a hold on their deposits. We have one customer who makes multiple deposits each week. Due to the history on the account, we place a hold on all check deposits into this account. The customer is aware of this. Are we permitted to forgo the written notice step of the case-by-case hold for this customer?