Look out for revised Loan Estimates | Consumer Financial Protection Bureau (2024)

FAQs

Are revisions to a loan estimate allowed? ›

A revised Loan Estimate must be provided within 3 business days of receiving information sufficient to establish a changed circ*mstance. When the rate is locked a creditor must provide a revised version of the Loan Estimate within 3 business days after the locking of the interest rate.

Q: May a revised Loan Estimate and a Closing Disclosure be issued on the same day? No. The revised Loan Estimate must be issued one day before the Closing Disclosure. Q: May a revised Loan Estimate be issued after a Closing Disclosure has already been provided to the borrower?

The Closing Disclosure, when a revised Loan Estimate is provided in person, it is considered received by the consumer on the day it is provided. If it is mailed or delivered electronically, the consumer is considered to have received it three business days after it is delivered or placed in the mail.

Revised loan estimate timing

The TRID rule requires that the revised loan estimate be provided within three business days of receiving information supporting the need to revise. “Business day” is defined as any day the lender's offices are open for substantially all business functions.

Negotiate to get the best deal for you

Often, lenders are willing to match or beat their competitors' offers. They can also explain why their estimates differ from other lenders. If the lender you feel most comfortable with is charging more, ask them to match what you find elsewhere.

A revised Closing Disclosure may be delivered at or before consummation reflecting any changed terms, unless: The disclosed APR becomes inaccurate. The Loan Product changes – prior Closing Disclosure becomes inaccurate. A Prepayment penalty is added.

The biggest difference between your loan estimate and Closing Disclosure is that the charges on your Closing Disclosure are finalized. But keep in mind that there are limits to the fees and charges that can and can't change between your loan estimate and your final Closing Disclosure.

As your closing date may be changed, the amount of interest you will need to pay for your first month of homeownership will depend on how many days are left in the month. Homeowner's insurance: Your homeowner's insurance amount can also change between the Loan Estimate and Closing Disclosure.

The general rule in section 1026.19(a)(1) requires credit unions to provide a good faith loan estimate to applicants for mortgage transactions within three business days of receiving an application.

What is the time limit for a revised loan estimate to be delivered to the consumer? ›

The Loan Estimate must be provided to consumers no later than three business days after they submit a loan application. The second form (Closing Disclosure) is designed to provide disclosures that will be helpful to consumers in understanding all of the costs of the transaction.

The lender must provide you a Loan Estimate within three business days of receiving your application.

Your Estimated Cash to Close includes your down payment and closing costs, minus any deposit you have already paid to the seller, any amount the seller has agreed to pay toward your closing costs (seller credits), and other adjustments.

A Loan Estimate isn't an indication that your loan application has been approved or denied. You don't need to have a signed contract for the property that you're receiving a Loan Estimate for. You're not obligated to pay an application fee other than a reasonable fee for the lender to run a credit report.

This is a standard form of amendment agreement for use where a borrower and its lenders have agreed to modify their loan agreement by adding, changing or removing provisions and defined terms.

When a creditor revises a Loan Estimate, it must deliver the revised disclosure to the applicant no later than four business days prior to consummation.

All lenders must provide a loan estimate within three days of receiving a completed loan application.