Which documentation would BEST support a tangible net benefit determination for a refinance transaction?
Correct Answer
C) Written analysis comparing total costs and benefits over time
Under 12 CFR 1026.43(e)(3), creditors must document the basis for their tangible net benefit determination. A comprehensive written analysis comparing total costs, payments, and benefits over the loan term provides the most thorough documentation of the benefit analysis.
Why This Is the Correct Answer
Under 12 CFR 1026.43(e)(3), creditors must document the basis for their tangible net benefit determination. A comprehensive written analysis comparing total costs, payments, and benefits over the loan term provides the most thorough documentation of the benefit analysis.
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