Loan - Policy Appendix Flashcards
Maximum Loan to Value by Collateral Type is covered in which Appendix?
Appendix A
The terms of a loan should never exceed or approach _________ of the collateral?
The maximum useful life
What does FirstBank value more, purchase price or appraisal price?
Purchase price
What are 6 normal closing costs?
Origination fees Title policy premiums Attorney fees Third party inspection fees Appraisal fees Fees required to perfect the security interest in the collateral pledged
Seller Concessions
Obligations paid by the seller of the home that are required by the buyer
What are the two guarantees from traditional whole life insurance?
The size of the death benefit
He rate of cash value growth
For unsecured loans, FirstBank normally limits the credit amount to what percentage of the borrowers tangible net worth?
10%
What section of loan policy do you look at for more guidance on unsecured lending?
V.B.6. Underwriting Criteria
Advance rate (%) for accounts receivable collateral?
80%
Percentage advance should not exceed ________ for inventory collateral?
50%
Where do you go to access additional information regarding loans secured by accounts receivable and inventory?
Chapter XI.C.1. And 2
What percentage down payment is required on used equipment?
25%
Where do you go to access additional information regarding loans secured by furniture, fixtures, and equipment?
Chapter XI.C.3.
What is covered in Appendix B?
Unique Properties
What are included as ‘residential properties’?
1-4 family properties and vacant residential lots
What does Appendix F cover?
Private Mortgage Insurance (PMI)
What is covered in Appendix I?
Condominium and Factory Built Housing Guidelines
How is owner occupancy defined?
Primary residence or second home
What 2 placed do you look for guidance regarding condominium project eligibility?
Conforming Guidelines and Private Mortgage Insurance Eligibility Workbook
What property types are considered ‘factory built’?
Manufactured
Modular
Panelized
Prefabricated
What topic is covered in Appendix L?
Flood Insurance
What topic is covered in Appendix M?
Officers Lending Limits
What appendix is the prepayment penalty clause found in?
Appendix J
What appendix covers loan to value guidelines?
Appendix H
What appendix covers condominiums, townhomes, and factory built housing guidelines?
Appendix I
