A borrower's loan application includes a request for a specific loan amount, but during underwriting, the lender determines they qualify for a higher amount and wants to offer it. The loan terms remain the same except for the loan amount. What action is required?
Correct Answer
A) A revised Loan Estimate must be provided within 3 business days
Any change in loan amount constitutes a changed circumstance under TRID that affects the accuracy of the Loan Estimate. A revised Loan Estimate must be provided within 3 business days of the lender becoming aware of the changed circumstance, per 12 CFR 1026.19(e)(3)(iv).
Why This Is the Correct Answer
Any change in loan amount constitutes a changed circumstance under TRID that affects the accuracy of the Loan Estimate. A revised Loan Estimate must be provided within 3 business days of the lender becoming aware of the changed circumstance, per 12 CFR 1026.19(e)(3)(iv).
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