After the consumer receives a Closing Disclosure, the creditor corrects a seller credit that changes cash to close but does not make the APR inaccurate, change the loan product, or add a prepayment penalty. Is a new three-business-day waiting period generally required?

Correct Answer

A) No; the corrected disclosure can generally be received at or before consummation

Why this is correct: The TRID rule provides specific, limited triggers that require a new three-business-day waiting period after a corrected Closing Disclosure is provided. As the original explanation states, these triggers are: 1) the Annual Percentage Rate (APR) becomes inaccurate, 2) the loan product changes, or 3) a prepayment penalty is added. The question specifies that the correction is only to a seller credit, which changes the "Cash to Close" figure, but none of the three triggering events occur. Therefore, the corrected Closing Disclosure can generally be provided at or even immediately before consummation without restarting the waiting period. Why the other choices are wrong: "Yes; every numerical change restarts the waiting period" is wrong because this is too broad; only changes that meet the specific triggers restart the period. "Yes; every seller-credit change requires a new application" is wrong because adjusting a seller credit is a common correction that does not necessitate a new application. "No corrected Closing Disclosure is permitted" is wrong because creditors are permitted and often required to issue corrected disclosures to reflect accurate information; the rule governs the timing of its delivery. Exam tip: Memorize the three triggers for a new waiting period: APR inaccuracy, loan product change, or adding a prepayment penalty. If the change isn't one of these, the waiting period does not restart.