CFPB TRID Sec. 12.1 - When are creditors required to correct Closing Disclosures?

Compliance > Regulation Z - TILA / TRID Specific > Closing Disclosures
Q:  When are creditors required to correct Closing Disclosures?
 
A:  Creditors must redisclose terms or costs on the Closing Disclosure if certain changes occur to the transaction after the Closing Disclosure was provided that cause the disclosures to become inaccurate. (Comment 19(f)(1)(i)-1). There are three categories of changes that require a corrected Closing Disclosure containing all changed terms. (§ 1026.19(f)(2))
  • Changes that occur before consummation that require a new three-business-day waiting period. (§ 1026.19(f)(2)(ii))
  • Changes that occur before consummation and do not require a new three-business-day waiting period. (§ 1026.19(f)(2)(i))
  • Changes that occur after consummation. (§ 1026.19(f)(2)(iii))
 
This Closing Disclosure / CD information can be found in the CFPB's TILA-RESPA Integrated Disclosure rule compliance guide - http://www.consumerfinance.gov/regulatory-implementation/tila-respa/
 

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