Date: August 1, 2013
Time: 3:00pm - 4:30pm
The ability to repay concept is simple – make sure the borrower can pay before you make the mortgage loan. The CFPB’s final pronouncement on this simple concept contained 236,000 words. This webinar is the second of two presentations on this topic. It will address the management impact of the calculation rules and continue the discussion regarding the decisions management must make in the mortgage loan area. The program will focus on the second test for a “qualified mortgage” – debt to income. While you have been calculating this number for a long time, the CFPB has specific ideas on how it should be done – and they will likely require policy and procedure modifications.
The far-more problematic “residual income” issue and the impact this could have on your mortgage-decision process will also be covered. The session will conclude with the impact on balloon mortgages and the asset-liability management process. (The definition and impacts of “qualified mortgages” and “unqualified mortgages” and the “points and fees” test were covered in Part 1 on June 26).
This webinar will include changes announced by the CFPB on May 29, 2013.
Continuing Education: Attendance verification for CE credits upon request
- The concept
- The new calculation methods required for debt to income
- The impact of “residual income”
- The impact on balloon lending, and the management decisions that must be made
- TAKE-AWAY TOOLKIT
- A calculation method that will assist in making the debt-to-income calculation, which you can edit to meet your individual needs
- Electronic training log
- Quiz you can administer to measure staff learning and a separate answer key
WHO SHOULD ATTEND?
This informative session is designed for senior management, including those with responsibilities for loan management and asset liability management. Lenders, compliance personnel, underwriters, and loan processors will also benefit from this webinar.