Home Improvement Loan - Subject to HMDA & RESPA?

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Question:

If we make a loan to consumers for the purchase of HVAC system (home improvement) and file a UCC-1 financing statement on the specific equipment and the real estate (include legal description and file in real estate records), I believe this loan would be subject to HMDA and RESPA. Am I correct?

Answer:

If you classify the loan as HI loan or the loan is secured by the dwelling, then it would be reportable.

First published on BankersOnline.com 3/22/10