Any person has the right to make a loan inquiry and to file a written
application for a mortgage loan or home improvement loan and to receive
a written response thereto. The lending criteria of the Sterling Van
Dyke Credit Union relating to mortgage loans and home improvement loans
are described as follows:
credit union will make residential mortgage loans predominately within
the Southeast Michigan area to qualified applicants. The minimum
mortgage loan amount is $10,000. We will make first mortgage loans on
one and two family houses and condominiums that are or will be the
applicant's primary residence. The house or condominium must have an
acceptable appraisal and useful life of not less than the length of the
amortization period for the mortgage plus 10 years. The property must
have all usual improvements necessary to sustain acceptable living
standards, and meet zoning ordinances, and laws required for occupancy.
We also make investment property loans at higher rates.
Certain fees are involved in applying for a mortgage loan, such
as processing, appraisal and commitment fees, and credit reports, which
must be paid by the borrower. In addition, there will be settlement
fees if the mortgage loan is approved, which must also be paid by the
borrower. Settlement fees are further described in a pamphlet entitled
"Settlement Costs" which is available from the credit union. To apply
for a Residential Mortgage Loan, you should submit the completed credit
union written application to our mortgage department.
In addition to the
Home Improvement Loan discussed above, the credit union offers an
equity loan for any worthwhile purpose to any qualified applicant. This
loan requires the placement of a mortgage on your home. The Equity Loan
is a variable rate line of credit loan. The Equity Loan can be either a
1st or 2nd mortgage.
In evaluating applications, the credit union will consider your legal
capacity to borrow and encumber property. The credit union will then
evaluate your ability to repay the requested loan and handle your
present and future financial obligations. This will include your
ability to pay settlement costs, down payment, and other obligations,
as well as a verification of your assets, down payment funds,
employment history, and all other sources of your income.
You must also have a credit history acceptable to the credit
union, which indicates your ability and intent to repay the loan as
well as the stability of your employment. The credit union may use a
statistically sound, empirically derived credit scoring system to
determine the credit worthiness of certain loan applicants. In
addition, the property used to secure the loan must meet the credit
union appraisal standards.
Your loan may be sold in the secondary market.
applicants should feel free to ask us questions concerning the types of
loans available as the terms and conditions of all loans described in
this notice should be fully understood by the applicant.
The credit union complies with all applicable Federal and
State laws and regulations. The credit union reserves the right to stop
making any or all of the loans described in this notice for a period of
time to be determined by the credit union management.
This notice has described the mortgage lending criteria, in
general. Should you have any further questions, please telephone or
The Local Credit Union
39139 Mound Road
Sterling Heights, MI 48310
(586) 264-1212 or (800) 974-6478
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