Indiana § 24-9-4-8 Repayment ability; commercially reasonable practices to determine
debt to income ratio

Indiana Statutes

§ 24-9-4-8 — Repayment ability; commercially reasonable practices to determine debt to income ratio

Indiana § 24-9-4-8

Art. 9HOME LOAN PRACTICES

Ch. 4Additional Prohibitions for High Cost Home Loans

This text of Indiana § 24-9-4-8 (Repayment ability; commercially reasonable practices to determine debt to income ratio) is published on Counsel Stack Legal Research, covering Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ind. Code § 24-9-4-8 (2026).

Text

(a)A creditor may not make a high cost home loan without regard to repayment ability.

(b)If a creditor presents evidence that the creditor followed commercially reasonable practices in determining the borrower's debt to income ratio, there is a rebuttable presumption that the creditor made the high cost home loan with due regard to repayment ability. For purposes of this section, there is a rebuttable presumption that the borrower's statement of income provided to the creditor is true and complete.

(c)Commercially reasonable practices include the use of:

(1)the debt to income ratio:

(A)listed in 38 CFR 36.4337(c)(1); and

(B)defined in 38 CFR 36.4337(d); and

(2)the residual income guidelines established under:

(A)38 CFR 36.4337(e); and

(B)United States Department of Veterans Affair

Free access — add to your briefcase to read the full text and ask questions with AI

(a) A creditor may not make a high cost home
loan without regard to repayment ability.
(b) If a creditor presents evidence that the creditor followed
commercially reasonable practices in determining the borrower's debt
to income ratio, there is a rebuttable presumption that the creditor made
the high cost home loan with due regard to repayment ability. For
purposes of this section, there is a rebuttable presumption that the
borrower's statement of income provided to the creditor is true and
complete.
(c) Commercially reasonable practices include the use of:
(1) the debt to income ratio:
(A) listed in 38 CFR 36.4337(c)(1); and
(B) defined in 38 CFR 36.4337(d); and
(2) the residual income guidelines established under:
(A) 38 CFR 36.4337(e); and
(B) United States Department of Veterans Affairs form
26-6393.