Misc Lending (Repeat)

Front 1

Residential Mortgage Transactions defined under HOPA

Back 1

"Initial acquisition, construction, or refinancingSingle Family DwellingBorrower's Principal residence

Townhouse, condominium,cooperatives, mobile homes considered single–family

DOES NOT APPLY TO FHA or VA loans"

Front 2

Contents/timing of HOCA notice

Back 2

"Provide notice within 45 days after borrower becomes delinquent and include on the notice:Notify borrower of availability of any homeownership counseling offered by the creditorProvide either a list of HUD–approved nonprofit homeownership counseling organizations or toll–free number to obtain list"

Front 3

Consumer Lease definition

Back 3

"Must include ALL of the following:
for use of personal property by individualused primarily for personal, family, or household purposesfor period of more than 4 monthstotal cost of no more than $25,000

Excluded:
leases for business, agricultural, or made to an organization or governmentfor real propertyfor personal property incidental to the lease of real propertyfor credit sales (as defined in Reg Z)"

Front 4

Open–End Lease

Back 4

Lease in which the amount owed at the end of the lease term is based on the difference between the residual value of the leased property and its realized value

Front 5

Closed–End Lease

Back 5

A lease other than an open–end lease. Allows consumers to walk away" at the end of the contract period, with no further payment obligation, unless property has been damaged"

Front 6

General Disclosure requirements for consumer leases

Back 6

"Can be provided electronically, subject to
E–Sign requirements

Dated disclosure must be given before lease signingNew disclosures must be provided when consumer renegotiates, or extends a lease

One lessor on behalf of multiple lessors may make required disclosures"

Front 7

Consumer Lease Advertising Requirements

Back 7

If trigger terms" (amount of any payment, down payment, or other payment required prior to or at lease signing) are stated, must also state:that the transaction is for a leasetotal amount due prior to or at lease signingnumber, amounts, and due dates or periods of the scheduled paymentsstatement of whether or not a security deposit is requiredstatement that an extra charge may be imposed at the end of the lease term where lessee's liability is based on difference between residual value of leased property and realized value at end of lease term"

Front 8

Consumer Lease record retention

Back 8

2 years

Front 9

Conforming Loan Requirements for PMI (Original Principal balance doesn't exceed Fannie and Freddie limits)

Back 9

"Only final termination provision applies

Must terminate PMI by the 1st day of the month following the date that is the midpoint of loan's amortization schedule (for fixed–rate) or amortization schedule then in effect (adjustable–rate), if borrower is current"

Front 10

Non–Conforming Loan Requirements for PMI

Back 10

Must terminate PMI on the date the principal balance, based on initial amortization schedule (fixed–rate) or schedule then in effect (adjustable–rate) for that mortgage and irrespective of the outstanding balance for that mortgage on that date, is first scheduled to reach 77% of original property value

Front 11

Initial PMI disclosure for non high–risk fixed–rate loans (can't charge borrower for disclosures)

Back 11

"For fixed rate loans:–Provide written initial amortization schedule and disclosure stating the following at the time of consummation:right to request PMI cancellation and date loan value will reach 80%right to request cancellation on earlier dateAutomatic termination at 78%Exemptions to cancellation and automatic termination provision for high–risk mortgages"

Front 12

Initial PMI disclosure for non high–risk adjustable rate mortgages

Back 12

"Right to request cancellation at 80% Servicer will notify borrower when that occursAutomatic termination at 78%Exemptions to the cancellation and automatic termination provisions for high–risk loans"

Front 13

Initial Notice for LPMI

Back 13

"–Must be provided no later than date loan commitment is made and advise borrower of differences between LPMI and BPMI, including:

Can't be canceled by borrower or automatically terminatedusually results in higher interest ratesonly terminates when mortgage is refinanced, paid off, or terminated–Must also state that LPMI and BPMI both have benefits and disadvantages, provide generic analysis of cost/benefits of both over a 10 year period, and that LPMI may be tax–deductible"

Front 14

Liability for Violations of HOPA

Back 14

"Individual ActionActual damagesstatutory damages not to exceed $2,000costs of the action, andreasonable attorney feesStatutory damages up to the lesser of $500,000 or 1% of liable party's net worthcosts of the action, andreasonable attorney feesActual damagesStatutory damages up to $1,000 per class member, but not to exceed the lesser of $500,000 or 1% of party's gross revenuesCosts of the action, andReasonable attorney's fees"

Front 15

Homeowners eligible for counseling under HOCA

Back 15

"loan secured by principal residencehome loan isn't assisted by FHAhomeowner is, or expected to be, unable to make payments, correct a delinquency within a reasonable time, or resume full home loan payments due to a reduction in income"