A lender's origination charge on the Loan Estimate is $2,000. At closing, the origination charge on the Closing Disclosure is $2,300. Under TRID, what must the lender do?
Correct Answer
C) Absorb the $300 increase or refund it to the borrower, because lender origination charges are in the zero-tolerance category
Lender origination charges are in the zero-tolerance category under TRID. They cannot increase from the Loan Estimate to the Closing Disclosure. The lender must absorb the $300 excess or credit it back to the borrower.
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