Folks can anyone point me to clear defining regulations that say a maximum amount of a new loan request has to be determined by reducing the maximum permitted loan by the highest outstanding balance in the last 12 months?
I have a situation that Ascensus is refusing to permit any loan over what they say is a 12 month look back period. I had a loan that was completely repaid on June 29, 2016. The loan since June is not outstanding.
By the Ascensus Calcs: now 95K is vested. So a maximum allowed is 8616$.
50,000-(maximum outstanding in last 12 months)=50,000-41383.71=8,616.29$ is what Ascensus says is my maximum new borrowing allowance.
From everything I read in the CFR indicates that look back should only apply when there are prior existing loans that are outstanding in that all loans cannot exceed the maximum 50K.
In my case I currently do not have any outstanding loans.
Thanks for your reply.
Ken
