The Bank would like to know if there are specific rules for calculating the consumer’s ability to repay when there is an adjustable rate mortgage. If the mortgage loan will include multiple interest rate adjustments over the term, at what rate does the Bank qualify the customer?
Refinancing and Paying Off a Loan from a Private Party
Issue/Inquiry
If the Bank is making a loan to pay off a loan made by a private party to the same borrower and secured by the same dwelling, is this considered a refinance?