Would the bank be violating Reg. O if it offered a higher Money Market rate for just shareholders?
There is not a direct prohibition in Reg. O, since it primarily governs credit and not deposit accounts, like money market accounts. However, many banks have it in their internal policy to not give preferential interest rates to shareholders on deposit accounts either, to follow the spirit and intent of Reg O. Also, remember preferential treatment will oftentimes bring extra scrutiny.
I have a loan officer who issued a loan estimate that predates the application date by 1 day. While I don’t believe this to be best practice, I’m not certain whether it’s also a violation of regulation. Can someone please confirm?
Assuming the required six pieces of information had not been received, then at least conservatively, yes, this could be considered a violation. The timeline to provide an LE starts running from the time the application is received, which is based on when the bank received the sixth piece of required information. So an LE issued before the application wouldn't have followed the rules of being provided within 3 days after the application, and likely would not have included all of the required information.
(A) The creditor shall deliver or place in the mail the disclosures required under paragraph (e)(1)(i) of this section not later than the third business day after the creditor receives the consumer's application, as defined in § 1026.2(a)(3).
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