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Which of the following would NOT be considered a changed circumstance that could justify a revised Loan Estimate?

Correct Answer

D) Borrower's decision to lock the interest rate

Under TRID regulations (12 CFR 1026.19(e)(3)(iv)), changed circumstances include new information affecting creditworthiness or loan eligibility. A borrower's decision to lock an interest rate that was previously unlocked is not considered a changed circumstance requiring a revised Loan Estimate.

Answer Options
A
Discovery of unreported debt affecting the debt-to-income ratio
B
Borrower's request to add a co-borrower
C
Change in the borrower's income verification
D
Borrower's decision to lock the interest rate

Why This Is the Correct Answer

Under TRID regulations (12 CFR 1026.19(e)(3)(iv)), changed circumstances include new information affecting creditworthiness or loan eligibility. A borrower's decision to lock an interest rate that was previously unlocked is not considered a changed circumstance requiring a revised Loan Estimate.

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