Of the following loans made by a national bank, which loan is NOT covered by the OCC ARM regulation?
Of the following loans made by a national bank, which loan is NOT covered by the OCC ARM regulation?
OCC ARM (Adjustable Rate Mortgage) regulation applies primarily to residential lending. A loan made to purchase an eight-unit apartment complex is considered a commercial property rather than a residential property. Thus, it is not covered by the OCC ARM regulation. Loans secured by single-family dwellings, mobile homes, and duplexes, even when used as rental properties, typically fall under the scope of the OCC ARM regulation as they are considered residential properties.
The OCC ARM (Adjustable Rate Mortgage) regulation primarily applies to loans secured by residential properties. Option C involves a loan secured by an eight-unit apartment complex, which typically falls under commercial lending rather than residential lending. Therefore, it would not be covered by the OCC ARM regulation. Options A, B, and D involve loans secured by properties typically used for residential purposes, such as single-family dwellings, mobile homes, and duplexes. These loans would typically fall under the scope of the OCC ARM regulation as they involve adjustable or variable interest rates on residential properties.