A first-lien dwelling loan subject to Regulation B will be consummated on Friday, April 24. The applicant wants the appraisal copy at closing. No other law prohibits a timing waiver, no clerical-correction exception applies, and the creditor operates Monday through Friday with no holidays. What is the latest date to obtain the timing waiver?
Correct Answer
A) The waiver must be obtained by Tuesday 21 April, 3 business days before
A. Obtain the waiver by Tuesday, April 21. The ordinary waiver itself must precede consummation by at least three business days. Count back from Friday: Thursday, Wednesday, Tuesday. The copy must still be supplied at or before consummation. Scope and exceptions: Waiving delivery timing is not waiving receipt of the copy or waiving a different mortgage-disclosure waiting period. Source: 1002.14(a)(1) — https://www.consumerfinance.gov/rules-policy/regulations/1002/14/
Why This Is the Correct Answer
A. Obtain the waiver by Tuesday, April 21. The ordinary waiver itself must precede consummation by at least three business days. Count back from Friday: Thursday, Wednesday, Tuesday. The copy must still be supplied at or before consummation. Scope and exceptions: Waiving delivery timing is not waiving receipt of the copy or waiving a different mortgage-disclosure waiting period.
Why the Other Options Are Wrong
Option B: No waiver is possible: the 3-business-day delivery rule cannot be waived
Timing can be waived under the stated conditions.
Option C: The waiver must be obtained by Friday 17 April, a full week beforehand
A full week is earlier than necessary.
Option D: The waiver may be signed at the closing table along with the other papers
The closing-table waiver is too late without the excluded exception.
Exam Tip
Distinguish the waiver deadline from the later copy-delivery deadline.
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