Code of Maine Rules › 02 - DEPARTMENT OF PROFESSIONAL AND FINANCIAL REGULATION › 030 - BUREAU OF CONSUMER CREDIT PROTECTION › Chapter 550 - MORTGAGE LENDING: GUIDELINES FOR DETERMINING REASONABLE, TANGIBLE NET BENEFIT › Attachment - Attachment A

Current through 2024-29, July 17, 2024
Attachment "A" to the Reasonable, Tangible Net
				  Benefit and Ability to Pay Rule,
reflecting
				  changes necessitated
by Public Law 2009, Chapter
				  362, "An Act to Conform State Mortgage Laws with Federal
				  Laws"
STATE OF
MAINE
- REASONABLE,
				  TANGIBLE NET BENEFIT DISCLOSURE FORM
This disclosure is being provided to you pursuant to Maine's
				  residential mortgage lending laws. The law protects borrowers from certain loan
				  brokering and lending practices. One of the prohibited practices is known as
				  "flipping a residential mortgage loan when making a higher-priced mortgage
				  loan."
WHAT IS FLIPPING"
"Flipping" is the making of a
				  higher-priced mortgage loan (the "new loan") to a borrower who refinances an
				  existing residential loan when the new loan does not result in a "reasonable,
				  tangible net benefit" to the borrower.
Borrower name(s):
Property address:
BASED UPON THE REVIEW BY THE LENDER, AND THE MORTGAGE
				  BROKER, IF ONE IS USED, OF ALL OF THE CIRCUMSTANCES RELATED TO THE NEW LOAN AND
				  ANY DEBTS TO BE PAID FROM THE PROCEEDS OF THE NEW LOAN, THE NEW LOAN PROVIDES A
				  REASONABLE, TANGIBLE NET BENEFIT TO YOU AS FOLLOWS:
Loan Information
New Loan
Old Loan
Monthly payment amount
Length of repayment period
Amount of cash out (or paid to others)
Interest rate or weighted average interest rate
Type of loan (Adjustable Rate Loan or Fixed Rate Loan)
Adjustable Fixed (Circle one.)
Adjustable Fixed (Circle one.)
Bona fide personal need, as reasonably determined by
							 the borrower"
Yes No (Circle one.)
CREDITOR TO COMPLETE:
The borrower received the following reasonable, tangible net
				  benefit from the new loan (include bona fide personal need, if
				  applicable):
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
After reviewing all relevant information, the lender and
				  mortgage broker, if one was used, confirm that they have performed the analysis
				  of the applicable reasonable, tangible net benefit as identified above and that
				  they have explained the analysis to the borrower. The borrower(s)
				  acknowledge(s) that the lender and mortgage broker, if one was used, have
				  identified and explained the reasonable, tangible net benefit(s).
FOR LENDERS:
I have reviewed and explained this Form and the answers
				  provided therein to the borrower.
_____________________ ________,___________
Agent/Loan Officer's printed name Title
______________________________ ___________
Agent/Loan Officer's signature Date
On behalf of: _______________________________
(Name of Lender)
FOR LOAN BROKERS:
I have reviewed and explained this Form and the answers
				  provided therein to the borrower.
_____________________ ______,_____________
Agent/Loan Officer's printed name Title
______________________________ ___________
Agent/Loan Officer's signature Date
On behalf of: ________________________________
(Name of Mortgage Broker)
_______________________ __________________________
Borrower's printed name Co-Borrower's printed name
_______________________ __________________________
Borrower's signature Co-Borrower's signature
Date:__________________ Date:_____________________
* If the terms of the refinancing change after the mortgage
				  broker explains its answers to the borrower and signs this form, the lender
				  shall explain its answers to the borrower and sign a new form.
CONSUMERS: If you have questions regarding
							 your loan or creditor, please contact the Bureau of Consumer Credit Protection.
							 Its website address is
http://www.Credit.Maine.gov/
, and
							 its toll-free telephone number, if calling in Maine, is
							 1-1800-332-8529.