A borrower receives their Closing Disclosure on Tuesday and requests to close on Friday of the same week. The lender discovers a $50 increase in the title insurance fee on Thursday. What is the latest action the lender can take?
Correct Answer
B) Issue a revised Closing Disclosure on Thursday for Friday closing
Under TRID (12 CFR 1026.19(f)(2)(ii)), for changes that do not trigger a new 3-business-day waiting period (like a minor title insurance fee increase), a revised Closing Disclosure can be provided up to the day of closing. Since this change falls within tolerance thresholds and doesn't affect APR, the closing can proceed with a revised CD issued Thursday.
Why This Is the Correct Answer
Under TRID (12 CFR 1026.19(f)(2)(ii)), for changes that do not trigger a new 3-business-day waiting period (like a minor title insurance fee increase), a revised Closing Disclosure can be provided up to the day of closing. Since this change falls within tolerance thresholds and doesn't affect APR, the closing can proceed with a revised CD issued Thursday.
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