Home equity lines of credit (HELOCs) are secured by a mortgage but have very distinct and unique compliance requirements from that of a traditional mortgage loan. Join us as we dive deep into the specific requirements for HELOCs, starting with the program specific disclosure, required compliance disclosures, and contents of the periodic statement.
Included in this session is how to handle challenging situations by properly calculating a significant decline in home value, identifying when additional draws can be restricted, and when a credit limit can be reduced. All are critical components for managing the HELOC product within the regulatory guidelines.
If your institution offers HELOCS or is exploring adding them to the product mix, this session will provide the details needed to satisfy compliance requirements from application through note burning!
What You’ll Learn
- Identify the required components of a HELOC disclosure
- Explain the compliance disclosures applicable to HELOCs
- Properly calculate timing for right of rescission
- Compute a significant decline in home value
- Recognize when additional extensions can be prohibited
- Calculate minimum coverage required by the Flood Disaster Protection Act
Who Should Attend
This informative session is designed for anyone involved with originating or servicing your HELOCs, including consumer lenders, loan servicing staff, credit officers, compliance officers, and auditors.