On day 8 after providing the initial Loan Estimate, a lender discovers the property requires a specialized environmental assessment costing $1,500 that wasn't initially known. When must the revised Loan Estimate be provided?
Correct Answer
A) Within 3 business days of discovery
Under 12 CFR 1026.19(e)(4)(i), when a changed circumstance occurs, the creditor must provide a revised Loan Estimate within 3 business days of receiving information sufficient to establish that a changed circumstance has occurred, regardless of when the original estimate expires.
Why This Is the Correct Answer
Under 12 CFR 1026.19(e)(4)(i), when a changed circumstance occurs, the creditor must provide a revised Loan Estimate within 3 business days of receiving information sufficient to establish that a changed circumstance has occurred, regardless of when the original estimate expires.
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