Sec 1-Page 109 2

A creditor receives information confirming that a valid changed circumstance has occurred and that a revised Loan Estimate is permitted under TILA-RESPA rules.

When must the creditor generally deliver or mail the revised Loan Estimate?

A lender issues a revised Loan Estimate shortly before the scheduled closing date and intends to rely on the revised disclosure at consummation.

What timing rule must the creditor follow?

A settlement is scheduled during the seven-business-day waiting period after a revised Loan Estimate has been issued.

What must generally occur if the creditor intends to rely on the revised Loan Estimate?

A creditor mails a revised Loan Estimate to the borrower. The borrower actually receives the disclosure several days later.

When does the seven-business-day waiting period begin?

A creditor has already provided the Closing Disclosure to the borrower. The loan officer later attempts to issue a revised Loan Estimate to support increased fees.

How do federal disclosure rules generally apply?

A creditor identifies a valid reason to revise settlement charges before the Closing Disclosure is issued.

Under what condition may the creditor generally provide a revised Loan Estimate?

After providing the Closing Disclosure, a lender realizes that revised fee disclosures would have supported a higher settlement charge.

Why may the creditor no longer redisclose the Loan Estimate?

Because the Closing Disclosure must be provided no later than three business days before consummation, a creditor must carefully time any revised Loan Estimate.

By when must the consumer generally receive a revised Loan Estimate?