Month: May 2020

Inaccurate information held by organizations regarding fair lending risk management can hinder them from successfully managing that risk. Today, we’re looking at five prevalent expectations within the industry and the reality for each. Expectation #1: Written policies ensure that an organization doesn’t need to worry about fair lending because it’s entirely protected. Reality: Although it’s…

We have been fielding interesting questions from our Fair Lending Magic™ subscribers who are preparing information for monthly CRA and fair lending committees about SBA loans in the pipeline.  As we all know, the SBA Paycheck Protection Program is a loan designed to provide a direct incentive for small businesses to keep their workers on the payroll. …

All lenders can recite the 5 C’s of credit backward and forward as easily as reciting the ABCs.  However, not as easy is determining the risk of loss and deciding whether to accept or not to accept the risk.  Lenders must objectively weigh the importance and evaluate the risk of loss using ratios and thresholds. …

The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was signed into law on March 27, 2020, and contains provisions to allow borrowers with federally backed mortgages to request temporary loan forbearance for up to 180 days.  In addition, the borrowers have the right to apply for an extension of another 180 days of…

I have been fielding questions from several housing groups who are trying to understand the implications of the current situation on their local area.  As we all know, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was signed into law on March 27, 2020, and contains provisions to allow borrowers with federally backed…