To be excluded, a bona fide discount point
for a closed-end loan paid by the borrower for the purpose of reducing the interest rate and the interest rate reduction per discount point
paid must be consistent with established industry practices.
Lewis explained that, in addition to the incentives mentioned, Fifth Third also is offering an additional u percent discount point
savings (an estimated $750 savings) if a customer has the monthly mortgage payment automatically deducted from a Fifth Third Bank account.
5 percent discount, which is not a bona fide discount point
because it wasn't used to lower the rate.
Lowest rates shown reflect the payment of one discount point
44%, with borrowers paying 1% in discount point
plus closing costs.
I explained at the meeting and in my letter that the term bona fide discount point
must be clearly defined because the nature of the reduction can make it vary considerably, depending on such circumstances as the rate and the present value of the dollar at the time of origination.
payments made by consumers would need to he bona fide, and used solely to buy down the interest rate.
Not an offer to enter into an interest rate or discount point
agreement under Minn.
Under Miller-Watt-Frank, this borrower would not be able to choose the prepayment and discount point
terms to make the loan more affordable.
The amendments include (1) an amended Consumer Complaint Notice and a new Mortgage Broker Recovery Fund Notice, (2) new prohibitions and requirements concerning labeling a fee a discount point
and (3) new advertising requirements.
15, the CFPB released new HMDA reporting requirements, under which credit unions will have to collect new facts, including an applicant's debt-to-income ratio, the interest rate of the loan and the discount points
charged for the loan.
and pre-paid items can be paid by the seller or other third party up to the amount allowed by the product guidelines.