Asurity is pleased to announce additional home equity line of credit (HELOC) testing capabilities in RegCheck® available for all users. With rising home values across much of the United States, HELOCs continue to be a popular financing option for homeowners looking to improve their homes, consolidate debt, or to invest in new real estate and major purchases. State and federal regulations typically include unique requirements for HELOCs, and as a result lenders must ensure that their compliance workflow accounts for the restrictions specific to both HELOCs and traditional mortgages.

In particular, certain states commonly place limits on recurring charges on HELOCs, including annual fees. States may also limit the advance or draw amount, set usury thresholds that are different from closed-end loans, or restrict other types fees specific to HELOCs.

We are continuously making updates to RegCheck to provide our users with best-in-market mortgage lending compliance software. As part of this effort, we are adding the following new state-level HELOC checks to RegCheck:

• Texas A6 Home Equity Loan Annual Fee Check – Determines whether the loan charges an annual fee. Annual fees are prohibited on Texas A6 open-end loans.
• Texas A6 Home Equity Loan Minimum Advance Check – Determines whether the loan provides for a minimum advance not less than $4,000. Texas A6 open-end loans must have a minimum advance of $4,000 or more.
• Pennsylvania Annual Fee Check – Determines whether the loan charges an annual fee greater than $50. Pennsylvania open-end loans cannot charge an annual fee greater than $50.

These new checks will be on the RegCheck production environment following an upcoming June release. We will continue to add more enhancements to RegCheck, including more comprehensive HELOC state and federal testing, where applicable.