We have always done the 30 days notice before changing the variable rate HELOC rates, and our note says we will do so. Managment wants us to look into changing it as and when prime changes. All notes going forward will give no advance notice. Is there a regulation that shows this is allowed? I thought we had to give notice. Our existing notes are automatically extended and they also would like to have new notes drawn up at renewal for existing customers so they can go to these new no notice terms. What do you think?

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You may want to look at this discussion. I found it after my post and thought I deleted the post but must have not gotten it deleted. I don't think any notice at all is required as long as the documents are prepared correctly.

http://www.bankersonline.com/ubbthreads/...er=&postmarker=

I misquoted earlier. After reviewing 226.9 no notice seems to be necessary.