POA question for lenders. (loans, loan, lender, closing)

[gentlearts]

My DIL will most likely be finalizing the mortgage for she and my son, while he is deployed. She has been informed that unless my son can call on the day of the closing from Iraq, or wherever he is, that she will not be able to use his POA at closing...(Translation, if she can't prove he's not dead on the day of closing, they will not proceed).
Has anyone heard of such a thing? A POA is a POA.
She has time to run this by some Army legal counsel, and is so mad that she may tell them to keep their darn house.

[rcarrillo]

Never heard of that. Some lenders can require a POA on a specific for or specific langauge to protect themselves... but never had one request a call.

Of course they will want the borrower to be alive when they buy a home, and I maybe can see a little worry about someone in Iraq... but I still have never heard of such a thing. They do not ask older individuals with POA to call to prove they did not die of a heart attack on the day of closing.... although that might be considered discrimination.

Is this a lender requesting the call and is it on a VA loan?

[gentlearts]

Originally Posted by rcarrillo

Never heard of that. Some lenders can require a POA on a specific for or specific langauge to protect themselves... but never had one request a call.

Of course they will want the borrower to be alive when they buy a home, and I maybe can see a little worry about someone in Iraq... but I still have never heard of such a thing. They do not ask older individuals with POA to call to prove they did not die of a heart attack on the day of closing.... although that might be considered discrimination.

Is this a lender requesting the call and is it on a VA loan?

It is a lender making the request, and I do not think it is a VA loan. My feeling is that that if challenged they will back down, but my DIL is a 23 yr old girl and has no experience dealing with self important bureaucrats.

[Jorge Camargo]

I recently refinaced a couple and the husband was in iraq. we simply did a power of attorney and cut thru all the red tape. the wife was able to proceed woth no problems and the got the house

[rcarrillo]

Originally Posted by gentlearts

It is a lender making the request, and I do not think it is a VA loan. My feeling is that that if challenged they will back down, but my DIL is a 23 yr old girl and has no experience dealing with self important bureaucrats.

Yes... not sure which lender this is, but I have done several VA loans where a spouse is serving oversees and have never had this asked. I have also had several conventional loans where one spouse was still living in another state (relocations) and nothing.

Banks can request the POA include specific language or be a specific form in some cases. But she should call and explain to them why logistically its not practical to get him on the phone from Iraq and why this is necessary.