What happens if the borrower, after asking for a review by the Credit Review Committee, proposes changes to the restructure plan that the qualified lender is willing to consider?
A qualified lender may agree to consider changes to the plan of restructuring that was the basis of the adverse decision. If this happens before the Credit Review Committee meeting, then the adverse decision is effectively withdrawn. After these changes are added to the plan and a new least-cost analysis is performed, if no restructuring is achieved then a new adverse decision letter notifying the borrower(s) of the right to a review by the Credit Review Committee would be issued. If the lender agrees to consider changes after a Credit Review Committee meeting, it is considered a new application and plan of restructuring, to which the committee’s decision on the original adverse credit decision does not apply.
