What must an MLO do if a borrower requests to proceed with a loan after receiving a Loan Estimate but before the required waiting period expires?
Correct Answer
B) Require the borrower to wait the full disclosure period before proceeding
Under TRID rules in 12 CFR 1026.19(e)(2), borrowers must receive the Loan Estimate at least 3 business days before consummation. This waiting period generally cannot be waived, except in limited bona fide personal financial emergency situations.
Why This Is the Correct Answer
Under TRID rules in 12 CFR 1026.19(e)(2), borrowers must receive the Loan Estimate at least 3 business days before consummation. This waiting period generally cannot be waived, except in limited bona fide personal financial emergency situations.
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An MLO is refinancing a borrower who has a second mortgage. The new first mortgage will have a higher balance to pay off both existing loans. Which analysis is required for tangible net benefit?
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