Latest Lending - MDIA Topics

MDIA 3 Day Wait/APR Tolerance for Change

08/13/2012

It is clear according to MDIA that if the APR is out of tolerance an updated TIL must be redisclosed and the transaction is subject to the MDIA 3-day wait. However, if a change occurs, for example, in the loan amount, and the APR is NOT out of tolerance, according to Reg Z section 1026.17(f) must the TIL still be redisclosed? And if so, closing would not be subject to MDIA 3-day wait?

Early Disclosures Given Same Date as App

06/11/2012

If we give the early TIL the same date as the application, how soon can the loan be closed?

Disclosures for Consumer Loan - House Collateral

03/21/2011

A customer comes in to the bank and wants to borrow $27,000 to wipe out his credit card debt and wants to use his home for collateral. There will be a separate note done with a 6 yr. amort. The existing real estate loan will not be refinanced. The note will be a consumer note with a consumer application. What in the world do I need for disclosures? Everything that I would do for a regular real estate loan? New experience for us. We would normally refinance his home loan.

Triggers for MDIA

09/06/2010

Relative to MDIA, are there two triggers that would require the lender to redisclose under MDIA rules? Our QC company has cited us for failing to redisclose our TIL based on our finance charge being outside the $100.00 finance charge being understated. We've gone round and round about this and I truly think we only have to take the .125% APR into consideration for regular loans and .25% for irregular loans varying up or down. I've read 226.18, 226.19 and 226.22 until I'm blue in the face. Help!

TIL for Modified Loan?

08/16/2010

A loan is modified from a HELOC to a fixed rate second mortgage. Is a TIL disclosure to be given to the borrower?

HPML - Business Purpose Term Loan

04/26/2010

We have a business purpose term loan on a residential property that is being assumed by a new buyer (the tenant). We see that assumptions are HMDA reportable, but do we need to be concerned about the HOEPA spread, suggesting that this is a high priced mortgage?

MDIA - APR & the Word 'Varies'

01/11/2010

With MDIA, the regulation states in section 226.17 that early disclosures are required if the APR changes by more than 1/8%. Does the word "varies" indicate upward only or both upward and downward movement in APR?

Threads About the Lending Compliance Changes

11/10/2009

This is a compilation of links to some of the liveliest recent threads relating to the lending compliance challenges bankers are dealing with at this time.

Early Disclosures on Mortgage Preapprovals

11/02/2009

If an applicant is only seeking mortgage preapproval, and has not decided on a specific property to purchase, do we still need to provide a full set of early disclosures?

Reg Z Early Disclosures - Add 3 Days for ROR Loans

10/05/2009

If we can't close on a loan until seven business days (relative to the Reg Z Early Disclosure rules that were effective July 30, 2009) after the application and disclosure date (at the earliest), do we need to add an additional three days onto that for loans with rescission?

Reporting Income for CRA

02/23/2025

When reviewing purchased loans for CRA that are business purpose loans, can we use the revenue listed on the Loan Summary page to determine revenue if there is nothing else in the file that show the business income?

Interpreting HMDA definitions

02/23/2025

We are in the middle of HMDA verification for filing and have had some questions arise we cannot seem to find a clear answer to: 1. We have a loan that was made to pay down the primary residence portion of another existing loan with our institution and the collateral was released, but the existing loan remains open with security now of cattle, a cattle trailer, and vacant land. Under HMDA, a refinance is defined as the satisfaction of an existing loan, but is there guidance for whether "satisfaction" is only full payoff of the existing loan or can this be interpreted to also include satisfying the portion of the loan that was dwelling secured? 2. We have a loan that is secured by a dwelling. Currently we are reporting as one unit but looking at the appraisal, the property also has a living space over the garage that includes a living room, bedroom, and bathroom. Our HMDA team is of the opinion that because there is not a kitchen it is not considered a dwelling but we cannot seem to find guidance that would specify what components would constitute a "dwelling" under Regulation C other than a "residential structure". Is this interpretation correct?

Policy exception tracking systems

02/23/2025

How do financial institutions track policy exceptions?

Texas homestead and lien validity

02/16/2025

We have a situation where a customer owns a Texas property which is their homestead, and the only property they own. They are purchasing a home in Kansas and want to do a bridge loan for this purchase where by a lien is taken on the Kansas property and an additional collateral deed of trust is taken on the Texas homestead property. Since the deed of trust on the additional collateral does not become valid until the Texas property ceased to be homestead property and the property being purchased is not in Texas, is the lien on the additional collateral valid?

Commercial credit analysis teams

02/16/2025

What is a commercial credit team?

Latest Lending - MDIA Topics

Pages

Pages