The LAR (Loan/Application Register) Formatting Tool is designed to assist banks in formatting loan application data in the appropriate manner to support ongoing compliance with Home Mortgage Disclosure Act (HMDA) requirements.
A letter of credit is a bank-issued document guaranteeing a business’s payment for goods or services to a third party up to a specified dollar amount.
Loan administration is a broad topic in banking that involves determining loan eligibility, tracking loan documentation, and generating reports.
A loan assistant supports a lender on the front-end of the loan process. This allows the lender to be more productive in his or her own position.
Loan documents include all the documents that are necessary for a financial institution to make a loan to its customers, including the promissory note.
Financial institutions encounter loan exceptions when documentation is expected to be in the loan file but is missing.
A loan file is a hard copy or electronic organizational tool that helps banks manage a customer’s credit and loan documents. Banks use loan files to store and organize important documents in compliance with their retention policies.
Loan imaging is the process of leveraging technology to scan paper loan documents onto a computer or network repository and then organizing the electronic files.
A loan origination system (“LOS”) is technology that helps banks generate loan documentation in a way that complies with regulatory and internal requirements. Banks usually install loan origination software on their local servers or access it through a cloud-based platform.
In a loan participation, two or more banks fund one loan to a customer. The lead bank makes the loan and then sells a portion to at least one participating bank.
A loan pipeline report helps stakeholders understand the financial institution’s current lending opportunities.
A loan policy is a bank’s lending guidelines that set the terms on how and to whom it will loan funds.