Does State law limit how much a customer's payment can be short of full payment, where we can still advance the due date?

Also, is it State law that we cannot charge a late fee on an interest only loan?

Hello? Anybody out there?

Nanwa, I am sure we still charge a late fee on interest only loans. As long as your contract allows for it I don't think there are any rules against it.

As for how short, I think that is up to your bank. If you allow short payments of $10 and still advance the due date, as long as you do it across the board it shouldn't be a problem. Secondary market would obviously have their own limits but I don't know of a limit on the State law end of it.

Thanx BQ! I think, as long as we keep track and make sure we place anything over 90 days delinquent on nonaccrual, we should be OK.