what is the risk borrowing home loan from a small and new bank?

by Jewish Historical Society of the Upper Midwest

Question by h.f.: what is the risk borrowing home loan from a little and new bank?
I am having a traditional loan application with a big bank. I just found a small bank in Florida, founded in 2004, is offering better rate and cost compared to those big famous banks. The small bank is member of FDIC. Somebody told me small bank may not follow federal regulations. How do I tell if a bank is a qualified home loan lender that follows all lending regulations? What is the risk borrowing home loan from a small bank?

Best answer:

Answer by Rico
There is no risk for you, you’re the borrower. As long as you get the money at the rate, terms and fees you understand.

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