HOME EQUITY LINE OF CREDIT APPLICATION PACKET

Transcription

1 HOME EQUITY LINE OF CREDIT APPLICATION PACKET Thank you for applying for a Home Equity Line of Credit with Investors Bank. If you have any questions regarding the Home Equity Line of Credit application, please contact the Investors Bank Loan Originations Department at (732) or DL-Loanapplications@myinvestorsbank.com or stop in to your local branch. To help expedite the process of your loan request we require that you provide the following documents/information: Loan application verified for the following items: Loan amount completed. Loan purpose checked. Loan application checked off on the top right for Individual Credit or Joint Credit. Borrower s address and all contact telephone/mobile numbers are completed on application. Applicant s property information completed in Section 3 (estimated value, taxes, HOA dues, etc.). If purpose of loan is debt consolidation (all debts to be paid are listed in the applicable debt section). Complete entire application. Loan application disclosure forms completed and signed: ECOA Notice to Loan Applicant. Home Equity Line Of Credit - Disclosure. Notice of Re-Verification of Credit History & Employment. Servicing Disclosure Statement T Request for Transcript of Tax Return. Automatic Debit Payment Disclosure. Authorization to Release Information. USA Patriot Act Information. Supply us with supporting Validation Documents per the checklist below: Copies of all W-2 forms for most recent two years. Copy of 30 days most current paystubs. Copies of most recent two months savings/checking bank statements. Copy of current mortgage statement, tax bill and homeowners insurance policy on subject property. If Self-Employed provide: copies of most recent two years complete personal and business federal income tax returns (including K-1s). If Retired - provide: o copies of most recent two years complete federal income tax returns (including copies of 1099s). o copy of the current year social security awards letter and/ or proof of pension. If Rental Property(s) Owned - provide for each property owned: o copies of most recent two years complete personal federal income tax returns. o copies of most recent mortgage statements. o copies of hazard insurance (must reflect insurance premium). o copies of tax bill(s) For Condominium Units, Townhouses, Plan Unit Developments (PUD) include a copy of the monthly maintenance fees / HOA dues. If Divorced - provide: o copy of final Divorce Decree and o copies of Property Settlement Agreement. Provide your address for quick access to a copy of your property appraisal/valuation. address: Please submit all of the above applicable forms via one of the following options: DL-Loanapplications@myinvestorsbank.com, or MAIL: Investors Bank, ATTN: Loan Originations, 101 Wood Ave South, Iselin, NJ 08830, or HAND DELIVER: Drop off at any local branch of Investors Bank. Print Applicant s Name Applicant s Signature If application is received by branch personnel: Signature of branch personnel reviewing application Print Co-Applicant s Name Co-Applicant s Signature Branch #: Print Name Home Equity Line of Credit

2 ECOA NOTICE TO LOAN APPLICANT You are required to read this statement concerning the Equal Credit Opportunity Act of 1975 (ECOA), as amended, before our loan interviewer may commence taking your application. The reason for this is to enable Investors Bank to comply with this law in a manner which provides our customers with the best possible service. At the bottom of this notice you will be asked to sign and acknowledge that you have read it and aware of your rights under this law. If you refuse to sign, the interviewer cannot proceed with the application. 1. It is the policy of Investors Bank to comply with all applicable laws and regulations. Since you are about to request, in writing, that we extend mortgage credit to you based on the information you are about to give, we want you to be aware of your rights under the Equal Credit Opportunity Act of 1975, as amended. 2. The Federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the bases of race, color, religion, national origin, sex, marital status, age (providing the applicant has the capacity to enter into a binding contract); because all or part of the applicants income derives from any public assistance program; or, because the applicant has in good faith exercised any right under the Consumer Credit Protection Act. 3. The Federal agency that administers compliance with this law concerning our company is: Consumer Financial Protection Bureau, PO Box 4503, Iowa City, IA Under this law there are three (3) classes of marital status, and they are: a) Unmarried, which includes anything, which is not remaining two (2) choices. b) Married. c) Separated. We are not concerned with any other category. 5. If you are under legal obligation to anyone to pay alimony, child support, or separate maintenance, we are required to document the amount of any such obligation, and its duration, by requesting written evidence. 6. If you wish to claim as income, the receipt of any income from sources other than your normal employment, you may do so. If such income is claimed and is to be evaluated in determining your eligibility for the requested credit, we will require written evidence of this income. 7. When we have a completely documented application file, we will render our decision. If it should become unfortunately necessary to make an adverse decision, you are entitled to be informed, in writing, of such decision within thirty (30) days of the decision. I acknowledge that I have read the above statement/notice and am aware of Investors Bank s policies concerning the above-mentioned portion of the Equal Credit Opportunity Act. Print Applicant s Name Applicant s Signature Date Print Co-Applicant s Name Co-Applicant s Signature Date Home Equity Line of Credit

3 101 Wood Avenue South, Iselin, New Jersey Phone: Fax: HOME EQUITY LINE OF CREDIT APPLICATION Individual Credit Joint Credit $ Amount of Loan: Loan Purpose: (please check at least one) Purchase Of Additional Real Estate Home Equity (please check one below) Refinance Debt Consolidation - (Credit Cards, (Pay off any lien on subject property Student Loans, Car Loans, etc.). Mortgage, Home Equity Loan, Home Equity Cash Out (No existing lien/mortgage Line of Credit) on subject property). Construction Of New Dwelling Home Improvement (Home renovations). Other 1. Personal Information About Applicant FIRST, MIDDLE, LAST NAME OF APPLICANT MARITAL STATUS: MARRIED UNMARRIED (includes single, divorced, widowed) SEPARATED DATE OF BIRTH (MONTH/DATE/YEAR) NO. OF DEP. SOCIAL SECURITY NO. HOME ADDRESS - NO. AND STREET CITY/TOWN STATE ZIP CODE YEARS THERE HOME TELEPHONE NO. CELL NO. ADDRESS PREVIOUS HOME ADDRESS (if less than two years at present address) YEARS THERE NAME OF EMPLOYER SELF EMPLOYED TELEPHONE NO. POSITION SALARY (GROSS Monthly) $ YEARS EMPLOYED IN THIS LINE OF WORK OR PROFESSION YEARS ON THIS JOB BUSINESS ADDRESS - NO. AND SREET CITY STATE ZIP CODE WILL YOU BE RETIRING WITHIN THE NEXT 3 YEARS? IF "YES" PLEASE PROVIDE DATE OF RETIREMENT AND INCOME YOU EXPECT TO RECEIVE AT TIME OF RETIREMENT. DATE OF RETIREMENT: INCOME: $ NAME AND ADDRESS OF PREVIOUS EMPLOYER (if less than two years) YEARS THERE POSITION SALARY OTHER INCOME (GIVE SOURCE AND GROSS MONTHLY AMOUNT) Alimony, child support or separate maintenance income need not be revealed if you do not wish to have it considered as a basis for repaying this obligation. $ 2. Personal Information About Co-Applicant FIRST, MIDDLE, LAST NAME OF APPLICANT MARITAL STATUS: MARRIED UNMARRIED (includes single, divorced, widowed) SEPARATED DATE OF BIRTH (MONTH/DATE/YEAR) NO. OF DEP. SOCIAL SECURITY NO. HOME ADDRESS - NO. AND STREET CITY/TOWN STATE ZIP CODE YEARS THERE HOME TELEPHONE NO. CELL NO. ADDRESS PREVIOUS HOME ADDRESS (if less than two years at present address) YEARS THERE NAME OF EMPLOYER SELF EMPLOYED TELEPHONE NO. POSITION SALARY (GROSS MONTHLY) $ YEARS EMPLOYED IN THIS LINE OF WORK OR PROFESSION BUSINESS ADDRESS - NO. AND SREET CITY STATE ZIP CODE YEARS ON THIS JOB WILL YOU BE RETIRING WITHIN THE NEXT 3 YEARS? IF "YES" PLEASE PROVIDE DATE OF RETIREMENT AND INCOME YOU EXPECT TO RECEIVE AT TIME OF RETIREMENT. DATE OF RETIREMENT: INCOME: $ NAME AND ADDRESS OF PREVIOUS EMPLOYER (if less than two years) YEARS THERE POSITION SALARY OTHER INCOME (GIVE SOURCE AND GROSS MONTHLY AMOUNT) Alimony, child support or separate maintenance income need not be revealed if you do not wish to have it considered as a basis for repaying this obligation. $ Home Equity Line of Credit

4 3. Applicant's Property Information ADDRESS NO. AND STREET CITY/TOWN STATE ZIP CODE PROPERTY LOCATION AND DESCRIPTION COUNTY NUMBER OF FAMILIES PRINCIPAL RESIDENCE OF APPLICANT YES NO ANNUAL TAXES HOMEOWNERS INSURANCE PREMIUM MONTHLY ASSOCIATION FEE $ $ $ DATE HOME PURCHAED PURCHASE PRICE PRESENT ESTIMATED VALUE $ $ 4. Subject Property Mortgage Information AMT. OF ORIGINAL MORTGAGE MORTGAGE BALANCE MONTHLY PAYMENT MORTGAGE HELD BY $ $ $ MORTGAGE INFORMATION DO MORTGAGE PAMENTS INSURANCE? ACCOUNT NUMBER ADDRESS INCLUDE TAXES? YES NO YES NO OTHER MORTGAGES: LIST CO., NAME, LOAN BALANCE AND MONTHLY PAYMENT. 5. Applicant's Financial Statement (MORE DETAILED STATEMENTS AND SCHEDULES MAY BE REQUIRED) This statement and any applicable supporting schedules may be completed jointly by both applicants if their assets and liabilities are sufficiently joined so that the statement can be meaningfully and fairly presented on a combined basis, otherwise separate statements and schedules are required. LIST ASSETS Include all cash, savings accounts, checking accounts, stock and other assets easily converted into cash, and other real estate owned. Attach additional sheet if necessary. NAME AND ADDRESS OF BANK, CREDIT UNION, ETC. ACCOUNT # CASH OR MARKET VALUE 1 $ 2 $ 3 $ 4 $ 5 $ 6 $ 7 $ 8 $ 9 $ 10 $ 11 $ 12 $ 13 $ 14 $ 15 $ Home Equity Line of Credit

5 6. Applicant's Debts LIST ALL DEBTS Include bank, finance company, credit card, store charge and personal debts, also alimony, support payments and other mortgage loans. Attach additional sheet if necessary. If none, state "None." NAME AND ADDRESS OF CREDITOR IN WHAT NAME ACCT. NUMBERS UNPAID BALANCE MONTHLY PAYMENT 1 $ $ 2 $ $ 3 $ $ 4 $ $ 5 $ $ 6 $ $ 7 $ $ 8 $ $ 9 $ $ 10 $ $ AUTOMOBILE (LOANS OR LEASE) BEING FINANCED THROUGH PLEASE INDICATE WHICH OF THE ABOVE DEBTS, IF ANY, WILL BE PAID IN FULL WITH THIS LOAN: $ $ Please read this statement before signing. Everything that I have stated in this application is correct to the best of my knowledge. I understand that you will retain this application whether or not it is approved. You are authorized to check my credit and employment history. I/We authorize Investors Bank to order a consumer credit report to verify other credit information. It is understood that signing below authorizes Investors Bank to obtain credit information on applicable parties. I/We understand that an address for each loan applicant must be provided to receive information via . I/We authorize Investors Bank to send the disclosures, other documents, and related correspondence to the addresses identified on this application. I/We authorize copy of documents to be used as original. DATE OF APPLICATION MO DAY YEAR 1 2 APPLICANT'S SIGNATURE CO-APPLICANT'S SIGNATURE To be completed by interviewer. THIS APPLICATION WAS TAKEN BY: PRINT INTERVIEWER'S NAME INTERVIEWER'S SIGNATURE NMLS# BRANCH # DATE Investors Bank Home Equity Line of Credit

6 HOME EQUITY LINE OF CREDIT DISCLOSURE Important Information About The Home Equity Line of Credit Please Read Carefully Sign And Return This disclosure contains important information about our Home Equity Line of Credit. It is subject to change at any time. Your terms will be set at the time we receive a signed loan application from you. 1. Availability of Terms: The terms described below outline Investors Home Equity Line of Credit. If any of these terms change, other than the annual percentage rate, prior to you entering into the loan agreement, you are entitled to a refund of any fees that you have paid to Investors Bank in connection with your application. The terms of your loan agreement and note may also include a requirement that your minimum monthly loan payment be deducted automatically from a checking account at Investors Bank. 2. Security Interest: Investors Bank will secure a mortgage lien on your home. You could lose your home if you fail to meet the obligations in the Investors Bank Home Equity Line of Credit Agreement that you will sign, should your loan be approved. 3. Possible Actions: Under certain circumstances Investors Bank can (1) terminate your line of credit, require you to pay the outstanding balance and possibly charge you certain legal fees for the collection of the funds due; (2) refuse to make additional extensions of credit; and (3) reduce your credit limit. You may ask for more specific information concerning when these actions can be taken, which Investors Bank will provide as soon as reasonably possible and before you enter into the loan agreement. 4. Determination of Credit Limit: Investors Bank will consider your ability to repay the loan (principal and interest) by looking at your income, debts, and other financial obligations as well as your credit history. 5. Minimum Payment Requirements: You can obtain advances on your outstanding line of credit for ten (10) years (the Draw Period ). During the draw period payments will be due monthly. Your minimum payment will equal the Finance Charges that accrued on the outstanding balance. Upon the sale or transfer of the property securing the line, the entire outstanding principal balance plus any accrued interest will be due in full. This is referred to as a balloon payment. 6. Minimum Payment Example: On an outstanding line of credit advance of $10,000 your minimum payment would be calculated as follows: For this example we are using 30 days at an annual percentage rate of 6.00% which would amount to $ Your minimum monthly payment would, in this example, be $ Example of payment calculation: $10,000 x 6.00%/12 = $50.00 During the interest-only period (the Draw Period ), the minimum payment will not reduce the principal that is outstanding on your line of credit. After the draw period, you will no longer be able to obtain credit advances and must pay the outstanding balances over fifteen (15) years (the repayment period). Payments will be due monthly. 7. Amortization Rate and Payment: At the end of the draw period in year 11 the rate shall be the prevailing 15 year fixed home equity rate in effect at that time. You will be notified of your change in rate and new monthly payment for the remaining period of your loan 45 days prior to the due date of your new monthly payment. If the index is no longer available, we may choose a new index that is based on comparable information. You will be given notice of any change of index. Page 1 of 3 Home Equity Line of Credit

7 8. Fees and Charges: A $50.00 annual maintenance fee will be charged each year on the anniversary of the origination date of the loan. No other fees will apply. An initial supply of checks will be provided for accessing your line of credit. Future checks, if needed, are supplied at no cost to you. You must, however, carry insurance on the property that secures the line of credit and pay the cost of coverage directly to the insurance carrier. New York Properties: Investors Bank will be responsible for the Mortgage Recording Tax fee on loans up to $500, Minimum Credit Advance: There is no minimum draw amount. You may obtain as many credit advance draws as you desire. 10. Tax Deductibility: The interest on the portion of the credit extension that is greater than the fair market value of the dwelling is not tax deductible for Federal income tax purposes; consult your tax advisor for further information regarding the deductibility of interest and charges. 11. Appraisal: You have the right to a copy of any appraisal report or valuation estimate used in connection with your loan application for credit. The appraisal is prepared solely for our use in evaluating your loan application. The appraisal should not be relied upon by any other person or entity. The Bank makes no express or implied representation or warranty of any kind, and we expressly disclaim any liability to any person or entity with respect to the appraisal. A fee may be charged to you for the cost of the appraisal/valuation report. The Bank will provide a free copy of any appraisal/valuation report upon completion or at least three business days before consummation, whichever is earlier whether credit is extended, denied, incomplete, withdrawn or approved not accepted. For quick access to a copy of your property appraisal/valuation, please provide your address: 12. Variable Rate Information: Investors Bank Home Equity Line of Credit has a variable rate feature during the draw period; therefore, the annual percentage rate (APR) and the minimum payment can change as a result. The interest rate and APR will be at a minimum of the Prime Rate (currently 3.25%) and a maximum of 15.00% (the Ceiling ). There is no Floor rate. The Annual Percentage Rate includes only interest. However, an annual fee of $50.00 will be charged on the anniversary of the loan. Periodic adjustments include only interest and no other costs. The annual percentage rate is based on the value of an index. The index used is the Prime Rate as published in the Wall Street Journal Money Rates on the 15 th day of the month. If more than one Prime Rate is published in the Wall Street Journal for that day, the highest Prime Rate will be used. If the index is no longer available, we may choose a new index that is based on comparable information. You will be given notice of any change of index. Please ask us for the current index value, margin, discount or premium and annual percentage rate. Interest rate information will be provided on your monthly billing statements. Introductory Rate Offer For the first twelve (12) months from the closing date, the interest rate and Annual Percentage Rate (APR) will be at 3.24%. This is known as the Introductory Rate. Thereafter, the interest rate and APR will be variable as described above and the minimum floor will apply. If you take advantage of the additional optional variable rate feature described below, the Introductory Rate will be at 2.99% for the first twelve (12) months from the closing date. Thereafter, the interest rate and APR will be at a minimum of the Prime Rate minus a.25% (currently 3.25% -.25% = 3.00%) and a maximum of 15.00% (the Ceiling ). There is no Floor rate. Additional Optional Variable Rate Feature: At your option, the annual percentage rate (APR) may be set at one-quarter of one percent (.25%) lower than the APR that otherwise would be charged in connection with this loan, based on scheduled payments being automatically deducted from a checking account at Investors Bank. In the event that the borrower terminates this relationship with the bank, the APR charged on the unpaid principal balance, commencing with the first month thereafter, shall be increased by one-quarter of one percent per annum. The increase will take the form of higher payment amounts. Page 2 of 3 Home Equity Line of Credit

8 13. Rate Changes During the Draw Period: During the draw period your annual percentage rate can change monthly. The maximum annual percentage rate (the Ceiling ) that can apply over the entire term of your line of credit will be 15.00%. The minimum annual percentage rate that can apply over the entire term of your line of credit will be at the Prime Rate. There is no Floor rate. A Finance Charge will be charged on all loan advances. The Finance Charges begins on the date a loan advance is posted to the Line of Credit by applying the Daily Periodic Rate to the average daily balance (including current transactions). To get the average daily balance, take the beginning balance of the Line of Credit each day, add any new loan advances, and subtract any payments or credit and unpaid Finance Charges. This provides the daily balance. Then add up all the daily balances for the billing cycle and divide the total by the number of days in the billing cycle. This gives you the Average Daily Balance. To determine the Finance Charge for any monthly billing cycle, the average daily balance of the Line of Credit is first multiplied by the Daily Periodic Rate. Then, this product is multiplied by the number of days in the billing cycle. The Daily Periodic Rate is 1/360 th of the initial Annual Percentage Rate. 14. Maximum Rate and Payment Example: If you had an outstanding balance of $10,000, the minimum monthly payment at the maximum annual percentage rate of 15% would be $ The maximum rate can be reached at the beginning of any billing cycle. Example of payment calculation: $10,000 x 15.00%/12 = $ Historical Example: The following table shows how the annual percentage rate and the minimum monthly payment for an outstanding line of credit balance of $10,000 would have been changed based on changes in the index over the past 15 years. The index values reflect the prime interest rate as of October 26 of each year indicated. This example assumes that a $10,000 advance is taken at the beginning of the first billing cycle and reduced according to the terms of the plan with no subsequent draw taken. The minimum payment represents interest only for the first payment of each year. This example may not reflect all discounted rates being offered. Year Index (%) (Prime Interest Rate Annual Percentage Rate Minimum Payment ($) No Floor Rate Please sign to acknowledge that you have read the above information and return. Please retain the next copy for your records. Print Applicant s Name Print Co-Applicant s Name Applicant s Signature Date Co-Applicant s Signature Date Page 3 of 3 Home Equity Line of Credit

9 HOME EQUITY LINE OF CREDIT DISCLOSURE Important Information About The Home Equity Line of Credit Please Read Carefully Save This Copy For Your Records This disclosure contains important information about our Home Equity Line of Credit. It is subject to change at any time. Your terms will be set at the time we receive a signed loan application from you. 1. Availability of Terms: The terms described below outline Investors Home Equity Line of Credit. If any of these terms change, other than the annual percentage rate, prior to you entering into the loan agreement, you are entitled to a refund of any fees that you have paid to Investors Bank in connection with your application. The terms of your loan agreement and note may also include a requirement that your minimum monthly loan payment be deducted automatically from a checking account at Investors Bank. 2. Security Interest: Investors Bank will secure a mortgage lien on your home. You could lose your home if you fail to meet the obligations in the Investors Bank Home Equity Line of Credit Agreement that you will sign, should your loan be approved. 3. Possible Actions: Under certain circumstances Investors Bank can (1) terminate your line of credit, require you to pay the outstanding balance and possibly charge you certain legal fees for the collection of the funds due; (2) refuse to make additional extensions of credit; and (3) reduce your credit limit. You may ask for more specific information concerning when these actions can be taken, which Investors Bank will provide as soon as reasonably possible and before you enter into the loan agreement. 4. Determination of Credit Limit: Investors Bank will consider your ability to repay the loan (principal and interest) by looking at your income, debts, and other financial obligations as well as your credit history. 5. Minimum Payment Requirements: You can obtain advances on your outstanding line of credit for ten (10) years (the Draw Period ). During the draw period payments will be due monthly. Your minimum payment will equal the Finance Charges that accrued on the outstanding balance. Upon the sale or transfer of the property securing the line, the entire outstanding principal balance plus any accrued interest will be due in full. This is referred to as a balloon payment. 6. Minimum Payment Example: On an outstanding line of credit advance of $10,000 your minimum payment would be calculated as follows: For this example we are using 30 days at an annual percentage rate of 6.00% which would amount to $ Your minimum monthly payment would, in this example, be $ Example of payment calculation: $10,000 x 6.00%/12 = $50.00 During the interest-only period (the Draw Period ), the minimum payment will not reduce the principal that is outstanding on your line of credit. After the draw period, you will no longer be able to obtain credit advances and must pay the outstanding balances over fifteen (15) years (the repayment period). Payments will be due monthly. 7. Amortization Rate and Payment: At the end of the draw period in year 11 the rate shall be the prevailing 15 year fixed home equity rate in effect at that time. You will be notified of your change in rate and new monthly payment for the remaining period of your loan 45 days prior to the due date of your new monthly payment. If the index is no longer available, we may choose a new index that is based on comparable information. You will be given notice of any change of index. Page 1 of 3 Home Equity Line of Credit

10 8. Fees and Charges: A $50.00 annual maintenance fee will be charged each year on the anniversary of the origination date of the loan. No other fees will apply. An initial supply of checks will be provided for accessing your line of credit. Future checks, if needed, are supplied at no cost to you. You must, however, carry insurance on the property that secures the line of credit and pay the cost of coverage directly to the insurance carrier. New York Properties: Investors Bank will be responsible for the Mortgage Recording Tax fee on loans up to $500, Minimum Credit Advance: There is no minimum draw amount. You may obtain as many credit advance draws as you desire. 10. Tax Deductibility: The interest on the portion of the credit extension that is greater than the fair market value of the dwelling is not tax deductible for Federal income tax purposes; consult your tax advisor for further information regarding the deductibility of interest and charges. 11. Appraisal: You have the right to a copy of any appraisal report or valuation estimate used in connection with your loan application for credit. The appraisal is prepared solely for our use in evaluating your loan application. The appraisal should not be relied upon by any other person or entity. The Bank makes no express or implied representation or warranty of any kind, and we expressly disclaim any liability to any person or entity with respect to the appraisal. A fee may be charged to you for the cost of the appraisal/valuation report. The Bank will provide a free copy of any appraisal/valuation report upon completion or at least three business days before consummation, whichever is earlier whether credit is extended, denied, incomplete, withdrawn or approved not accepted. For quick access to a copy of your property appraisal/valuation, please provide your address: 12. Variable Rate Information: Investors Bank Home Equity Line of Credit has a variable rate feature during the draw period; therefore, the annual percentage rate (APR) and the minimum payment can change as a result. The interest rate and APR will be at a minimum of the Prime Rate (currently 3.25%) and a maximum of 15.00% (the Ceiling ). There is no Floor rate. The Annual Percentage Rate includes only interest. However, an annual fee of $50.00 will be charged on the anniversary of the loan. Periodic adjustments include only interest and no other costs. The annual percentage rate is based on the value of an index. The index used is the Prime Rate as published in the Wall Street Journal Money Rates on the 15 th day of the month. If more than one Prime Rate is published in the Wall Street Journal for that day, the highest Prime Rate will be used. If the index is no longer available, we may choose a new index that is based on comparable information. You will be given notice of any change of index. Please ask us for the current index value, margin, discount or premium and annual percentage rate. Interest rate information will be provided on your monthly billing statements. Introductory Rate Offer For the first twelve (12) months from the closing date, the interest rate and Annual Percentage Rate (APR) will be at 3.24%. This is known as the Introductory Rate. Thereafter, the interest rate and APR will be variable as described above and the minimum floor will apply. If you take advantage of the additional optional variable rate feature described below, the Introductory Rate will be at 2.99% for the first twelve (12) months from the closing date. Thereafter, the interest rate and APR will be at a minimum of the Prime Rate minus a.25% (currently 3.25% -.25% = 3.00%) and a maximum of 15.00% (the Ceiling ). There is no Floor rate. Additional Optional Variable Rate Feature: At your option, the annual percentage rate (APR) may be set at one-quarter of one percent (.25%) lower than the APR that otherwise would be charged in connection with this loan, based on scheduled payments being automatically deducted from a checking account at Investors Bank. In the event that the borrower terminates this relationship with the bank, the APR charged on the unpaid principal balance, commencing with the first month thereafter, shall be increased by one-quarter of one percent per annum. The increase will take the form of higher payment amounts. Page 2 of 3 Home Equity Line of Credit

11 13. Rate Changes During the Draw Period: During the draw period your annual percentage rate can change monthly. The maximum annual percentage rate (the Ceiling ) that can apply over the entire term of your line of credit will be 15.00%. The minimum annual percentage rate that can apply over the entire term of your line of credit will be at the Prime Rate. There is no Floor rate. A Finance Charge will be charged on all loan advances. The Finance Charges begins on the date a loan advance is posted to the Line of Credit by applying the Daily Periodic Rate to the average daily balance (including current transactions). To get the average daily balance, take the beginning balance of the Line of Credit each day, add any new loan advances, and subtract any payments or credit and unpaid Finance Charges. This provides the daily balance. Then add up all the daily balances for the billing cycle and divide the total by the number of days in the billing cycle. This gives you the Average Daily Balance. To determine the Finance Charge for any monthly billing cycle, the average daily balance of the Line of Credit is first multiplied by the Daily Periodic Rate. Then, this product is multiplied by the number of days in the billing cycle. The Daily Periodic Rate is 1/360 th of the initial Annual Percentage Rate. 14. Maximum Rate and Payment Example: If you had an outstanding balance of $10,000, the minimum monthly payment at the maximum annual percentage rate of 15% would be $ The maximum rate can be reached at the beginning of any billing cycle. Example of payment calculation: $10,000 x 15.00%/12 = $ Historical Example: The following table shows how the annual percentage rate and the minimum monthly payment for an outstanding line of credit balance of $10,000 would have been changed based on changes in the index over the past 15 years. The index values reflect the prime interest rate as of October 26 of each year indicated. This example assumes that a $10,000 advance is taken at the beginning of the first billing cycle and reduced according to the terms of the plan with no subsequent draw taken. The minimum payment represents interest only for the first payment of each year. This example may not reflect all discounted rates being offered. This example assumes that a $10,000 advance is taken at the beginning of the first billing cycle and reduced according to the terms of the plan with no subsequent draw taken. The minimum payment represents interest only for the first payment of each year. This example may not reflect all discounted rates being offered. Year Index (%) (Prime Interest Rate Annual Percentage Rate Minimum Payment ($) No Floor Rate Please retain this copy for your records. Page 3 of 3 Home Equity Line of Credit

12 RE-VERIFICATION OF CREDIT HISTORY AND EMPLOYMENT STATUS DISCLOSURE This is to advise you that Investors Bank ensures that the quality of every loan it originates meets the Bank s standards. In order to ensure that every loan meets the Bank s credit and employment standards, critical data such as credit history and employment status will be re-verified prior to your scheduled loan closing. It is important for you to know that, once you have submitted a loan application with us, you should maintain your total debt obligations at or below the levels revealed to us during the underwriting of your loan. Material increases in current obligations, potential or new obligations that would affect the initial decision that was made during underwriting, may also affect your loan approval which will cause your closing to be postponed or cancelled. Print Applicant s Name Print Co-Applicant s Name Applicant s Signature Co-Applicant s Signature Date Date Home Equity Line of Credit

13 101 Wood Avenue South, Iselin, New Jersey SERVICING DISCLOSURE STATEMENT 855-i Bank4U ( ) NOTICE TO FIRST LIEN MORTGAGE LOAN APPLICANTS: THE RIGHT TO COLLECT YOUR MORTGAGE LOAN PAYMENTS MAY BE TRANSFERRED. FEDERAL LAW GIVES YOU CERTAIN RELATED RIGHTS. IF YOUR LOAN IS MADE, SAVE THIS STATEMENT WITH YOUR LOAN DOCUMENTS. SIGN THE ACKNOWLEDGMENT AT THE END OF THIS STATEMENT ONLY IF YOU UNDERSTAND ITS CONTENTS. Because you are applying for a mortgage loan covered by the Real Estate Settlement Procedures Act (RESPA) (12 U.S.C et seq.) you have certain rights under that Federal law. This statement tells you about those rights. It also tells you what the chances are that the servicing for this loan may be transferred to a different loan servicer. Servicing refers to collecting your principal, interest and escrow account payments, if any. If your loan servicer changes, there are certain procedures that must be followed. This statement generally explains those procedures. Transfer Practices and Requirements: If the servicing of your loan is assigned, sold, or transferred to a new servicer, you must be given written notice of that transfer. The present loan servicer must send you notice in writing of the assignment, sale or transfer of the servicing not less than 15 days before the effective date of the transfer. The new loan servicer must also send you notice within 15 days after the effective date of transfer. The present servicer and the new servicer may combine this information in one notice, so long as the notice is sent to 15 days before the effective date of transfer. The 15 day period is not applicable if a notice of perspective transfer is provided to you at settlement. The law allows a delay in the time (not more than 30 days after a transfer) for servicers to notify you, upon the occurrence of certain business emergencies. Notices must contain certain information. They must contain the effective date of the transfer of the servicing of your loan to the new servicer, and the name, address, and toll-free or collect call telephone number of the new servicer, and toll-free or collect call telephone numbers of a person or department for both your present servicer and your new servicer to answer your questions. During the 60-day period following the effective date of the transfer of the loan servicing, a loan payment received by you old servicer before its due date may not be treated by the new loan servicer as late, and a late fee may not be imposed on you. Complaint Resolution: Section of RESPA (12 U.S.C. 2605) gives you certain consumer rights, whether or not your loan servicing is transferred. If you send a qualified written request to your servicer, your servicer must provide you with a written acknowledgment within 20 Business Days of receipt of your request. A qualified written request is a written correspondence, other than notice on payment coupon or other payment medium supplied by the servicer, which includes your name and account number, and the information regarding your request. Not later than 60 Business Days after receiving your request, your servicer must make any appropriate corrections to your account, or must provide you with a written clarification regarding any dispute. During this 60- Business Day period, your servicer may not provide information to a consumer reporting agency concerning any overdue payment related to such period or qualified written request. A Business Day is any date in which the offices of the business entity are open to the public for carrying on substantially all of its business functions. Damages and Costs: Section 6 of RESPA also provides for damages and costs for individuals or classes of individuals in circumstances where servicers are shown to have violated the requirements of the Section. Servicing Transfer Estimates: 1. The following is the best estimate of what will happen to the servicing of your mortgage loan: A. X We may assign, sell or transfer the servicing of your loan sometime while the loan is outstanding. We are able to service your loan, and we will not x haven t decided whether to service your loan. B. We do not service mortgage loans, and we have not serviced mortgage loans in the past three years. We presently intend to assign, sell or transfer the servicing of your mortgage loan. You will be informed about your servicer. 2. For all the first lien mortgage loans that we make in the last 12 month period after your mortgage loan is funded, we estimate that the percentage of such loans for which we will transfer servicing is between: X 0 to 25% 26 to 50% 51 to 75% 76 to 100% This estimate we x does does not include assignments, sales or transfers to affiliates or subsidiaries. This is only our best estimate and it is not binding. Business conditions or other circumstances may affect our future transferring decisions. 3. We have previously assigned, sold, or transferred the servicing of first lien mortgage loans. (Signature Not Mandatory) DATE ACKNOWLEDGMENT OF MORTGAGE LOAN APPLICANT I/we have read this disclosure form, and understand its contents, as evidenced by my/our signature(s) below. I/we understand that this acknowledgment is a required part of the mortgage loan application. APPLICANT S SIGNATURE CO-APPLICANT S SIGNATURE Print Name Print Name DATE Home Equity Line of Credit

14 Form 4506-T (Rev. August 2014) Department of the Treasury Internal Revenue Service Request for Transcript of Tax Return Request may be rejected if the form is incomplete or illegible. For more information about Form 4506-T, visit OMB No Tip. Use Form 4506-T to order a transcript or other return information free of charge. See the product list below. You can quickly request transcripts by using our automated self-help service tools. Please visit us at IRS.gov and click on "Get Transcript of Your Tax Records" under "Tools" or call If you need a copy of your return, use Form 4506, Request for Copy of Tax Return. There is a fee to get a copy of your return. 1a Name shown on tax return. If a joint return, enter the name shown first. 1b First social security number on tax return, individual taxpayer identification number, or employer identification number (see instructions) 2a If a joint return, enter spouse s name shown on tax return. 2b Second social security number or individual taxpayer identification number if joint tax return 3 Current name, address (including apt., room, or suite no.), city, state, and ZIP code (see instructions) 4 Previous address shown on the last return filed if different from line 3 (see instructions) 5 If the transcript or tax information is to be mailed to a third party (such as a mortgage company), enter the third party s name, address, and telephone number. Caution. If the tax transcript is being mailed to a third party, ensure that you have filled in lines 6 through 9 before signing. Sign and date the form once you have filled in these lines. Completing these steps helps to protect your privacy. Once the IRS discloses your tax transcript to the third party listed on line 5, the IRS has no control over what the third party does with the information. If you would like to limit the third party's authority to disclose your transcript information, you can specify this limitation in your written agreement with the third party. 6 Transcript requested. Enter the tax form number here (1040, 1065, 1120, etc.) and check the appropriate box below. Enter only one tax form number per request. a Return Transcript, which includes most of the line items of a tax return as filed with the IRS. A tax return transcript does not reflect changes made to the account after the return is processed. Transcripts are only available for the following returns: Form 1040 series, Form 1065, Form 1120, Form 1120A, Form 1120H, Form 1120L, and Form 1120S. Return transcripts are available for the current year and returns processed during the prior 3 processing years. Most requests will be processed within 10 business days b Account Transcript, which contains information on the financial status of the account, such as payments made on the account, penalty assessments, and adjustments made by you or the IRS after the return was filed. Return information is limited to items such as tax liability and estimated tax payments. Account transcripts are available for most returns. Most requests will be processed within 10 business days. c Record of Account, which provides the most detailed information as it is a combination of the Return Transcript and the Account Transcript. Available for current year and 3 prior tax years. Most requests will be processed within 10 business days Verification of Nonfiling, which is proof from the IRS that you did not file a return for the year. Current year requests are only available after June 15th. There are no availability restrictions on prior year requests. Most requests will be processed within 10 business days.. 8 Form W-2, Form 1099 series, Form 1098 series, or Form 5498 series transcript. The IRS can provide a transcript that includes data from these information returns. State or local information is not included with the Form W-2 information. The IRS may be able to provide this transcript information for up to 10 years. Information for the current year is generally not available until the year after it is filed with the IRS. For example, W-2 information for 2011, filed in 2012, will likely not be available from the IRS until If you need W-2 information for retirement purposes, you should contact the Social Security Administration at Most requests will be processed within 10 business days. Caution. If you need a copy of Form W-2 or Form 1099, you should first contact the payer. To get a copy of the Form W-2 or Form 1099 filed with your return, you must use Form 4506 and request a copy of your return, which includes all attachments. 9 Year or period requested. Enter the ending date of the year or period, using the mm/dd/yyyy format. If you are requesting more than four years or periods, you must attach another Form 4506-T. For requests relating to quarterly tax returns, such as Form 941, you must enter each quarter or tax period separately. Caution. Do not sign this form unless all applicable lines have been completed. Signature of taxpayer(s). I declare that I am either the taxpayer whose name is shown on line 1a or 2a, or a person authorized to obtain the tax information requested. If the request applies to a joint return, at least one spouse must sign. If signed by a corporate officer, partner, guardian, tax matters partner, executor, receiver, administrator, trustee, or party other than the taxpayer, I certify that I have the authority to execute Form 4506-T on behalf of the taxpayer. Note. For transcripts being sent to a third party, this form must be received within 120 days of the signature date. Phone number of taxpayer on line 1a or 2a Sign Here Signature (see instructions) Title (if line 1a above is a corporation, partnership, estate, or trust) Date Spouse s signature For Privacy Act and Paperwork Reduction Act Notice, see page 2. Cat. No N Form 4506-T (Rev ) Date Home Equity Line of Credit

15 Form 4506-T (Rev ) Page 2 Section references are to the Internal Revenue Code unless otherwise noted. Future Developments For the latest information about Form 4506-T and its instructions, go to Information about any recent developments affecting Form 4506-T (such as legislation enacted after we released it) will be posted on that page. General Instructions Caution. Do not sign this form unless all applicable lines have been completed. Purpose of form. Use Form 4506-T to request tax return information. You can also designate (on line 5) a third party to receive the information. Taxpayers using a tax year beginning in one calendar year and ending in the following year (fiscal tax year) must file Form 4506-T to request a return transcript. Note. If you are unsure of which type of transcript you need, request the Record of Account, as it provides the most detailed information. Tip. Use Form 4506, Request for Copy of Tax Return, to request copies of tax returns. Automated transcript request. You can quickly request transcripts by using our automated self-help service tools. Please visit us at IRS.gov and click on Get Transcript of Your Tax Records under Tools or call Where to file. Mail or fax Form 4506-T to the address below for the state you lived in, or the state your business was in, when that return was filed. There are two address charts: one for individual transcripts (Form 1040 series and Form W-2) and one for all other transcripts. If you are requesting more than one transcript or other product and the chart below shows two different addresses, send your request to the address based on the address of your most recent return. Chart for individual transcripts (Form 1040 series and Form W-2 and Form 1099) If you filed an individual return Mail or fax to: and lived in: Alabama, Kentucky, Louisiana, Mississippi, Tennessee, Texas, a foreign country, American Samoa, Puerto Rico, Guam, the Commonwealth of the Northern Mariana Islands, the U.S. Virgin Islands, or A.P.O. or F.P.O. address Alaska, Arizona, Arkansas, California, Colorado, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oklahoma, Oregon, South Dakota, Utah, Washington, Wisconsin, Wyoming Connecticut, Delaware, District of Columbia, Florida, Georgia, Maine, Maryland, Massachusetts, Missouri, New Hampshire, New Jersey, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, South Carolina, Vermont, Virginia, West Virginia Internal Revenue Service RAIVS Team Stop 6716 AUSC Austin, TX Internal Revenue Service RAIVS Team Stop Fresno, CA Internal Revenue Service RAIVS Team Stop 6705 P-6 Kansas City, MO Chart for all other transcripts If you lived in or your business was in: Alabama, Alaska, Arizona, Arkansas, California, Colorado, Florida, Hawaii, Idaho, Iowa, Kansas, Louisiana, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oklahoma, Oregon, South Dakota, Texas, Utah, Washington, Wyoming, a foreign country, or A.P.O. or F.P.O. address Connecticut, Delaware, District of Columbia, Georgia, Illinois, Indiana, Kentucky, Maine, Maryland, Massachusetts, Michigan, New Hampshire, New Jersey, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, South Carolina, Tennessee, Vermont, Virginia, West Virginia, Wisconsin Mail or fax to: Internal Revenue Service RAIVS Team P.O. Box 9941 Mail Stop 6734 Ogden, UT Internal Revenue Service RAIVS Team P.O. Box Stop 2800 F Cincinnati, OH Line 1b. Enter your employer identification number (EIN) if your request relates to a business return. Otherwise, enter the first social security number (SSN) or your individual taxpayer identification number (ITIN) shown on the return. For example, if you are requesting Form 1040 that includes Schedule C (Form 1040), enter your SSN. Line 3. Enter your current address. If you use a P. O. box, include it on this line. Line 4. Enter the address shown on the last return filed if different from the address entered on line 3. Note. If the address on lines 3 and 4 are different and you have not changed your address with the IRS, file Form 8822, Change of Address. For a business address, file Form 8822-B, Change of Address or Responsible Party Business. Line 6. Enter only one tax form number per request. Signature and date. Form 4506-T must be signed and dated by the taxpayer listed on line 1a or 2a. If you completed line 5 requesting the information be sent to a third party, the IRS must receive Form 4506-T within 120 days of the date signed by the taxpayer or it will be rejected. Ensure that all applicable lines are completed before signing. Individuals. Transcripts of jointly filed tax returns may be furnished to either spouse. Only one signature is required. Sign Form 4506-T exactly as your name appeared on the original return. If you changed your name, also sign your current name. Corporations. Generally, Form 4506-T can be signed by: (1) an officer having legal authority to bind the corporation, (2) any person designated by the board of directors or other governing body, or (3) any officer or employee on written request by any principal officer and attested to by the secretary or other officer. Partnerships. Generally, Form 4506-T can be signed by any person who was a member of the partnership during any part of the tax period requested on line 9. All others. See section 6103(e) if the taxpayer has died, is insolvent, is a dissolved corporation, or if a trustee, guardian, executor, receiver, or administrator is acting for the taxpayer. Documentation. For entities other than individuals, you must attach the authorization document. For example, this could be the letter from the principal officer authorizing an employee of the corporation or the letters testamentary authorizing an individual to act for an estate. Signature by a representative. A representative can sign Form 4506-T for a taxpayer only if the taxpayer has specifically delegated this authority to the representative on Form 2848, line 5. The representative must attach Form 2848 showing the delegation to Form 4506-T. Privacy Act and Paperwork Reduction Act Notice. We ask for the information on this form to establish your right to gain access to the requested tax information under the Internal Revenue Code. We need this information to properly identify the tax information and respond to your request. You are not required to request any transcript; if you do request a transcript, sections 6103 and 6109 and their regulations require you to provide this information, including your SSN or EIN. If you do not provide this information, we may not be able to process your request. Providing false or fraudulent information may subject you to penalties. Routine uses of this information include giving it to the Department of Justice for civil and criminal litigation, and cities, states, the District of Columbia, and U.S. commonwealths and possessions for use in administering their tax laws. We may also disclose this information to other countries under a tax treaty, to federal and state agencies to enforce federal nontax criminal laws, or to federal law enforcement and intelligence agencies to combat terrorism. You are not required to provide the information requested on a form that is subject to the Paperwork Reduction Act unless the form displays a valid OMB control number. Books or records relating to a form or its instructions must be retained as long as their contents may become material in the administration of any Internal Revenue law. Generally, tax returns and return information are confidential, as required by section The time needed to complete and file Form 4506-T will vary depending on individual circumstances. The estimated average time is: Learning about the law or the form, 10 min.; Preparing the form, 12 min.; and Copying, assembling, and sending the form to the IRS, 20 min. If you have comments concerning the accuracy of these time estimates or suggestions for making Form 4506-T simpler, we would be happy to hear from you. You can write to: Internal Revenue Service Tax Forms and Publications Division 1111 Constitution Ave. NW, IR-6526 Washington, DC Do not send the form to this address. Instead, see Where to file on this page. Home Equity Line of Credit

16 AUTOMATIC DEBIT PAYMENT DISCLOSURE Please complete and return with your application I currently have a checking account with Investors Bank. I will establish an automatic loan deduction from the following Investors Bank account: Investors Bank Checking Account Number.** I will open a new checking account with Investors Bank and establish automatic loan deduction.** ** An interest rate reduction of one quarter of one percent (.25%) from the APR will apply. (SPECIAL HOME IMPROVEMENT LOANS not eligible for interest rate reduction.) I do not wish to open a checking account with Investors Bank and understand that the rate on the loan for which I am applying will be one-quarter of one percent (.25%) higher than the currently published rate for fixed-rate loans. Changes to the above terms may cause your closing to be posponed. Print Applicant s Name Print Co-Applicant s Name Applicant s Signature Co-Applicant s Signature Date Date Home Equity Line of Credit

17 AUTHORIZATION TO RELEASE INFORMATION 1. I/We have applied for a Home Equity loan from Investors Bank. As part of the application process, Investors Bank may verify information contained in my/our loan application and in other documents required in connection with the loan, either before the loan is closed or as part of its quality control program. 2. I hereby authorized Investors Bank to verify my past and present employment earnings records, bank accounts, stock holdings, and any other asset balances that are needed to process my mortgage loan application. 3. I further authorize Investors Bank to order a consumer credit report and verify other credit information, including past and present mortgage and landlord references. 4. The information the lender obtains is only to be used in the processing of my application for a Home Equity loan. 5. A copy of this authorization may be accepted as an original. Print Applicant s Name Print Co-Applicant s Name Applicant s Signature Co-Applicant s Signature Date Date Home Equity Line of Credit

18 USA PATRIOT ACT INFORMATION CERTIFICATION The undersigned certify the following: 1. I/We have applied for a Home Equity loan from Investors Bank. In applying for the loan, I/We completed a loan application; containing various information on the purposes of the loan; the amount, employment, income information, assets, and liabilities. I/We certify that all of the information is true and complete. I/We made no misrepresentations in the loan application or other documents, nor did I/We omit pertinent information. 2. I/We understand and agree that Investors Bank reserves the right to change the loan review process. This may include, but is not limited to verifying the information provided on the application with the employer and/or the financial institution. 3. I/We fully understand that it is a Federal crime punishable by fine or imprisonment, or both, to knowingly make any false statements when applying for this loan, as applicable under the provisions of Title 18, United States Code, Section IMPORTANT INFORMATION ABOUT PROCEDURES FOR OPENING A NEW ACCOUNT In accordance with Section 326 of the USA PATRIOT Act signed October 26, 2001, the Bank is required to obtain, verify and record information that identifies each person who opens an account or who has signing authority on an account. In some cases, identification will be requested for those individuals banking with the opening of the account. What this means for you: When you open an account, we will ask you for your name, address, date of birth, tax identification number and other information that will allow us to identify you. We will also ask to see your driver s license or other identifying documents. Protection of our customer s information and identify is the Bank s pledge to you. Print Applicant s Name Print Co-Applicant s Name Applicant s Signature Co-Applicant s Signature Date Date Home Equity Line of Credit

19 Board of Governors of the Federal Reserve System The Federal Reserve Board What you should know about Home Equity Lines of Credit Home Equity Line of Credit

20 What You Should Know about Home Equity Lines of Credit i Table of contents Home Equity Plan Checklist... 2 What is a home equity line of credit?... 3 What should you look for when shopping for a plan?... 4 Costs of establishing and maintaining a home equity line... 5 How will you repay your home equity plan?... 6 Lines of credit vs. traditional second mortgage loans... 8 What if the lender freezes or reduces your line of credit? Glossary... A1 Where to go for help... A4 More resources... A7 Home Equity Line of Credit