Sec4-P31

A borrower submits a loan application with a floating interest rate. Two days later, the borrower locks the rate, which causes the discount points and lender credits to change. The loan officer reviews the file to determine whether updated disclosures are required.

A lender experiences an increase in settlement charges during processing but decides to absorb the cost instead of passing it on to the borrower.

A borrower requests a change to the loan program that affects settlement charges. The loan officer reviews whether a new disclosure is required.

Updated documentation shows the borrower no longer qualifies for the originally quoted loan program.

A lender becomes aware of a qualifying changed circumstance but waits six business days before issuing a revised Loan Estimate.

A lender experiences a change in settlement charges but chooses not to increase the borrower’s fees.

A construction loan’s settlement date is delayed due to permitting issues.

A creditor wants to recover increased fees caused by a valid changed circumstance.

A lender issues a revised Loan Estimate even though no triggering event occurred.

A borrower asks why a revised Loan Estimate was required after locking the interest rate.

A lender chooses not to issue a revised Loan Estimate after a changed circumstance and later attempts to increase fees.

A lender fails to issue a revised Loan Estimate within the required timeframe and later attempts to collect higher charges.