Vendor Guru Q&A - Lending

Latest Lending - Real Estate Lending Topics

Escrows

07/14/2024

Are escrows required for commercial loans?

Are buydowns the same as discount points?

07/07/2024

Are buydowns the same as discount points?

Fair lending concerns

06/30/2024

Aren’t fair lending concerns limited to mortgage loans?

HMDA reporting of business loans

06/23/2024

I thought business purpose loans were exempt from HMDA reporting.

Regulation Z Coverage

06/16/2024

How does the Truth in Lending Act and Regulation Z apply to a commercial loan?

Mortgage Investor Requirements

06/02/2024

Are there any requirements at either the federal or state level that would require an investor that has purchased a pool of loans to be licensed? Would the answer also depend on who is servicing the loans?

Does the FFIEC APR Tool work on HELOCs?

05/19/2024

Does the FFIEC APR Calculator work for HELOCs?

I think our CD Special is disclosing an inaccurate APY. It is less than the interest rate!

05/12/2024

My bank is doing CD specials a lot lately, and with rates being higher, there are now actual differences between the interest rate and the APY. I want to get it right! I’m concerned that something is wrong with our 13 month CD special (interest paid at maturity), because the APY is LESS than the interest rate. How can this be?!

Appraisals, Values and Exceptions

05/05/2024

Assume the following terms on a loan to an individual to purchase real estate: The purchase price is $100,000. The borrower wants to add an additional tract of land in lieu of paying any cash down. The land is owned free and clear and is valued at $30,000. This results in a loan amount of $100,000 with total collateral value of $130,000 and a loan to value (LTV) of 77%. Am I right in thinking that I will have a loan to cost exception and not an LTV exception? This loan would not need to be reported against the banks 30% of capital limit on commercial real estate exceptions.

Compliance Management: How often should I test APYs and APRs?

05/05/2024

How often should compliance be testing APY and APR accuracy? I rely on our expensive software to get it right. Is that OK?

Selective reporting to credit bureaus

10/20/2024

As part of an initiative to be able to sell to secondary market we need to set up reporting to all credit bureaus. Currently we only report to Equifax. I am wondering if there are any compliance concerns if we only report to all bureaus for some loans (mortgage loans) and not others (in house branch originated) or mortgages vs. other loan types, commercial vs consumer, etc?

Call report codes and agricultural use land

10/20/2024

We have a number of residential loans that sit on several acres of property that i would consider 1B if it were vacant, i.e., "usable for agricultural purposes." Should these be classified as 1C2A or 1B on the Call Report? The definitions leave room for interpretation. For example, a loan for a single family residence that sits on 100 acres.

Latest Lending - Real Estate Lending Topics

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