Rescinding the Rescission

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Question:

We have a borrower that elected to exercise the right of rescission and signed the disclosure. A day or so after doing so, the borrower again changed their mind and wishes to continue with the transaction. What steps should be taken at this point in relation to compliance?

Answer:

We would have them give us a hand written statement with the reasons, reprint the documents with the current dates, resign the documents and put them through another rescission period, but only after all fees that may have been already refunded due to the rescission have been repaid.

First published on BankersOnline.com 7/02/07