Description:
As we begin 2025, interest rates are still volatile and houses are still expensive. Consumers are feeling the pinch, and community financial institutions are trying to respond every way they can.
What are these responses looking like?
- Some institutions are getting creative with their advertising (“Date the Rate, Marry the Loan”);
- Buydowns are a thing again;
- Points are popular;
- Assumptions are seeing a resurgence as existing loans’ low rates become a selling point
- Lenders are getting lots of questions about renewals, refis, and modifications as loans approach reset periods or maturity dates;
- ARM notices are getting more attention than they’ve seen in over a decade.
- Social Media influencers (and your lenders?) speculate on “The Cost of Waiting”
The low fixed rates of yesteryear lulled many bankers into variable rate complacency. We didn’t have to think too much about them, because we were too busy making loans in the hot market. Now that rates have climbed, variable rates have become quite relevant again.
The compliance issues surrounding variable rates are voluminous. Get a refresher on the multiple compliance items to watch far, as well as get a handle on the creative methods the industry is employing to keep loan volume going. Topics covered include:
- ATR / QM considerations for variable rate loans
- Buydowns
- Discount Points
- Assumptions
- Renewals
- Modifications (the rules are different for open-end vs closed-end!)
- Refinances (including the special variable rate trigger)
- ARM Disclosure requirements:
- From Application disclosure to CHARM to TRID
- Premium and discount rates
- ARM Notice compliance
- Advertising
- RESPA Section 8 as lenders grow partnerships with realtors
Good grief! That is a lot to keep straight in an adjusting landscape. Gain facts, tips, and perspective from a veteran compliance pro (25 years!) who does this stuff everyday as the Director of Compliance for a community bank.
Reminder: The registration fee includes live attendance AND a playback recording of the session, available once the session concludes.
Presenters:
Rebekah Leonard
Rebekah Leonard, CRCM Rebekah is the owner of Elucidate LLC, a compliance training and consulting company. Elucidate means to “make clear, explain, throw light upon”, and describes Rebekah’s desire to illuminate the complexities of compliance with passion and fun. She’s created and produced a TRID music video parody and several Compliance Breakout escape rooms, which she frequently provides at state banking compliance conferences. She is an accomplished speaker and regularly provides webinars through BOL and Compliance Resource.
Rebekah is currently serving as the VP Director of Compliance for a $6 Billion community bank in Montana. She began her career in 1995 at a private lending company, but soon settled into banking, where she’s covered nearly all of it – customer service and teller work, loan processing and review, and security and business continuity. She now oversees CRA, BSA and all aspects of compliance as a senior leader. She has successfully navigated numerous FDIC Compliance, CRA, and BSA Exams.
Rebekah has a bachelor’s degree in Organizational Leadership from Chapman University (Magna cum Laude), attended the American Bankers Association National Compliance School in 2003, and has held her Certified Regulatory Compliance Manager designation since 2006. She is a BOL Compliance Guru.
January 21, 2025