Answer:
There is no time period to wait, at least under the regulations, and after xxx-years in banking in a variety of states I have never seen any statute against it either. This would be purely a business decision and as to whether you would require a full application again, or not, is also a business decision. However, to be safe and to ensure a chain of information, I would at least get a signed application and ask the party to update any information since the last application (change of employment, residences, salary, etc.) Where this abbreviated procedure is used, I also advise the banker add a phrase to the application similar to "See application dated xxx - No changes" [if applicable]. This way you (1) have signatures accepting whatever agreements or disclosures you may have on your application; (2) You can generally show you provided the required early rate and terms information; (3) You've been able to update the applicant's file information if applicable and (4) just generally shows a clearer chain of activity on the applicant. CAUTION: Remember to provide any and all other disclosures as if you had a full application, not many shortcuts there!
First published on BankersOnline.com 9/11/06
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