Wisconsin Administrative Code
Department of Financial Institutions
DFI-CU 51-75 - Department of Financial Institutions-Credit Unions
Chapter DFI-CU 54 - Real Estate Mortgage Loans
Section DFI-CU 54.05 - Required documentation
Current through February 26, 2024
Each real estate loan shall be supported by the following documents and information:
(1) A note properly executed, together with the related mortgage properly executed and recorded.
(2) Documentation establishing the quality and validity of the credit union's lien position by one of the following:
(3) An appraisal or a valuation if required by NCUA rules and regulations 12 CFR Part 722.
(4) A copy of insurance policies, with a mortgage clause payable to the credit union, indicating all improvements on the real estate are insured against fire and casualty loss. The required insurance coverage shall be the lesser of the full replacement value of the improvements or the outstanding balance of the loan. Proof of insurance may be maintained through a third party contract.
(5) Evidence of the status of the payment of real estate taxes acceptable to the board of directors as defined by policy.
(6) Documentation of types of existing closed-end or open-end mortgages and balances or potential balances outstanding from all other lenders holding liens senior to the credit union mortgage.
(7) The credit union shall maintain a general ledger accounting system which clearly segregates real estate loans for reporting and statutory calculation purposes.