Legal Ease is a ‘question of the week’ chosen from actual calls and emails received by our compliance team. Specific questions posed by community bankers are answered in an easy to understand format. Citations to relevant regulations and commentary are routinely provided. A ‘compliance tip’ is usually included at the bottom of each Legal Ease as a best practice or something to watch out for. Past Legal Ease are included in a searchable archive here.
Question of the Week
We made an interim construction ‘only’ loan with no intent to do the permanent financing. Just before the house was completed, the borrower said the permanent financing fell apart and asked us to do the permanent loan. If modify the loan into a permanent loan, is that loan now HMDA reportable?
Learn the answer here