A borrower's credit score drops from 740 to 680 between the Loan Estimate and underwriting due to a new credit inquiry. This change moves them from a 3.5% rate to a 4.0% rate. The lender wants to issue a revised Loan Estimate. Which statement is correct?
Correct Answer
C) A revised LE can be issued because the credit score change affects loan terms
Under TRID, a revised Loan Estimate may be issued when there are changed circumstances that affect the accuracy of the LE. A significant credit score change that affects loan terms qualifies as a changed circumstance, allowing for a revised LE to be issued.
Why This Is the Correct Answer
Under TRID, a revised Loan Estimate may be issued when there are changed circumstances that affect the accuracy of the LE. A significant credit score change that affects loan terms qualifies as a changed circumstance, allowing for a revised LE to be issued.
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A borrower receives a revised Loan Estimate on Tuesday due to a changed circumstance. They want to proceed but request that closing occur on the following Monday. Under TRID, the earliest possible closing date is:
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