Reg B - ECOA
Per CFPB Reg B, a creditor shall notify an applicant of action taken within how many days after receiving a completed application?
What is 30
Name three fees that should always be included as a Finance Charge in order to correctly calculate the APR.
What are origination fee, flood certification, inspection, construction disbursement, Lereta tax service, e-filing fee, recording fee, settlement agent fee, courier fee?
A borrower has a lapse in flood coverage. When does the bank need to notify them?
What is the same day the bank finds out the policy has lapsed?
True or False: A consumer refinance transaction with a rescission is signing on Tuesday, which makes the funding date Friday.
False: Three business days must pass making funding on the 4th day, Monday.
How many business days after a Change of Circumstance must a revised LE be provided?
What is 3?
True or False: If a consumer loan is approved within 30 days and borrower withdraws the application at 42 days, an adverse action notice must be sent.
What is false. Document the file with the date approved and then the date withdrawn. Retain in file.
What disclosure statement must be added to the Truth in Lending box for any consumer savings secured loan?
What is "Required Deposit: The Annual Percentage Rate does not take into account my required deposit"
45 days.
What is the number of days after a lapse in flood coverage that the borrower/bank has to obtain proof of insurance from the borrower or force place insurance?
What is the minimum number of days BEFORE closing that an LE may be delivered?
What is 7 business days?
We must provide the initial LE not later than how many business days after completed application received?
What is 3 business days – for LE delivery, we don’t count Saturday because not all bank business functions are open
What are HELOC, land loan or construction loan?
If borrowers sign HELOC documents on Tuesday June 4, what date should the borrower sign the non-cancellation section of the Right of Rescission (assuming no holidays)?
What is June 10?
In what instances does a borrower need to sign the acknowledgement of the flood determination when their property is in a SFHA? (Name at least 2)
What is at least 10 days before loan closing, loan extension, modification and/or renewal?
Bob is requesting a loan to purchase a property, demo the existing home and build a new primary residence. What is the TRID loan purpose on the CD?
What is purchase?
What is the TRID loan purpose hierarchy?
What is purchase, refinance, construction, home equity (in that order)
Within how many days does a creditor need to provide a copy of an appraisal or written valuation to the borrower for a loan to be secured by a 1st lien on a dwelling?
What is "promptly upon completion or within 3 business days". (7 days max if we perform internal review before sending)
Which disclosure needs to be updated in DocuSign the first week ending in July annually?
What are HELOC disclosures?
Possibly a pirate’s favorite state
AR (Arkansas)
Name four of the six elements that comprise a complete application for TRID purposes.
What is address, loan amount, income, estimated value of property, name, social security number?
True or False: The general loan information at the top of the LE is optional (loan #, settlement agent, etc)
What is false?
When can the bank require the signature of an applicant's spouse who is not a joint applicant?
Extra credit 100 pts: If the applicant's spouse signs the personal financial statement, does that constitute joint intent?
Extra extra credit 200 pts: True or False: Reg B only apply to consumer loans.
What is when the spouse's signature is necessary to secure the bank's collateral position?
What is "no". Spouse would need to sign the application and they need to mark that it is a joint application.
What is "false". Reg B applies to consumer and commercial credit.
Name two fees that are not considered Finance Charges for Reg Z purposes.
What are appraisal, credit report, lender's title insurance, homeowners insurance, property tax, HOA fee?
How does the bank determine the amount of flood insurance required?
What is the lesser of the loan balance, maximum allowable flood insurance, or insurable value on homeowners insurance
We must have confirmation that a consumer has received the Closing Disclosure no later than how many business days before closing?
3 business days – the CD business day (and LE 7 day rule prior to closing) is all calendar days except Sunday and legal holidays
How many brains and hearts do octopus have?
What is nine brains and three hearts?