How will banks check new FEMA floodplain maps?

Question

Banks are only required to check floodplain maps for Making, Increasing, Renewing, or Extending a loan. How likely are they to check old existing real estate loans against the new maps?

Answer 1

Unless the loan is sold to a new service provider, it would be very unlikely that it would be checked at this point.  However, if they are made aware that you are in an area where the flood plain has changed, they may re-evaluate.  I would think your insurance company may be able to notify them if you now are told by FEMA that you must get flood insurance.

Answer 2

It's very unlikely that they will check this, especially if you are making the payments on time.  Banks are having enough trouble keeping up with all of the people who are defaulting on their loans.  They will not want to open up a can of worms for their paying customers.

Good luck.