[mwebster]

Can you tell me if a Loan Options Form would be required in the following scenario?

Customer wishes to refinance their first mortgage. Balance of the loan is such that the bank could offer the customer either a first mortgage refi, conforming to secondary market, or a portfolio product such as a HELOC or fixed term home equity loan. Would the loan originator be required to use a Loan Options Form to present these products to the customer?

[rcooper]

Are you talking about an anti-steering form? If so, although a good idea, a form isn’t required by regulation, but it may be required by your policy or your secondary market investor. The prohibition on steering applies to any consumer loan secured by a dwelling.

[Author]

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