BankNewswatch

Common Pitfalls of ARM Disclosures

Wednesday, October 21st, 2020 10:00 am - 12:00 pm CT

A BankWebinars.com Program

Click Here to register for live program $265

Click Here to register for live program $395*

What?
Since December 29, 1987 banks have been required to develop and deliver Adjustable Rate Mortgage (ARM) program disclosures for each different ARM program offered. The disclosures must be updated at least annually. Notices must be sent in response to rate changes. Many financial institutions have automated the ARM disclosure process, but violations still occur.

While many financial institutions have offered ARM products for decades, others only recently migrated from balloon mortgages to ARM products. Whether new to the ARM game or an old veteran this review of common problems with ARM loans will help keep your institution in compliance.

Many of the problems we see in this area result from mergers, acquisitions and system changes. In mergers or acquisitions loans originated by another lender are added to existing systems. Often the contract terms on the acquired loans are slightly different from the contract terms used by the acquiring lender. The systems must be able to handle the differences.

Why?
This two-hour program explains how to avoid problems when developing, maintaining and auditing ARM disclosures. The program explains the rules, reviews typical problems that occur, and provides steps to assure ongoing compliance.

Participants receive a detailed manual that serves as a handbook long after the program is completed.

Covered Topics

  • Failure to identify a transaction as an ARM loan;
  • Failure to deliver disclosures:
    • Within the required timeframes; and
    • With the required content;
  • Failure to periodically updating the disclosures; and
  • Failure to provide proper and timely rate adjustment disclosures.

Faculty

Jack Holzknecht┬áis the CEO of Compliance Resource, LLC. He has been delivering the word on lending compliance for 44 years. In 39 years as a trainer over 147,000 bankers (and many examiners) have participated in Jack’s live seminars and webinars. Jack’s career began in 1976 as a federal bank examiner. He later headed the product and education divisions of a regional consulting company. There he developed loan and deposit form systems and software. He also developed and presented training programs to bankers in 43 states. Jack has been an instructor at compliance schools presented by a number of state bankers associations.

* Registration Plus Recording: Includes the live session (one connection, unlimited attendees), CD ROM, (shipped 7-10 business days after live session), unlimited access to OnDemand Playback and links to presenter materials and supplementary handouts for 6 months after live session.