Q: How should the Loan Type field be completed on the Loan Estimate?
A: Regulation Z has very technical requirements for the completion of the Loan Type field. While creditors should review regulatory conditions and commentary, a general description of the requirement is as follows:
If the loan is not guaranteed or insured by a Federal or State government agency, the type shall be disclosed as “Conventional.”
If the loan is insured by the Federal Housing Administration, the type shall be disclosed as “FHA.”
If the loan is guaranteed by the U.S. Department of Veterans Affairs, the type shall be disclosed as “VA.”
For federally-insured or guaranteed loans other that FHA or VA, and for loans insured or guaranteed by a State agency, the type shall be disclosed as “Other,” and provide a brief description of the loan type.