Closing Statements - Need To Know Flashcards
What does TRID stand for?
TILA/RESPA Integrated Disclosure
What is RESPA?
Real Estate Settlement and Procedure Act
What is the document called that will replace the existing HUD-1 settlement statement?
Closing Disclosure
What government agency is responsable for the enforcement of RESPA?
The Consumer Financial Protection Bureau - CFPB
When does the loan estimate need to be provided to the consumer?
No later than three days after loan application.
How many days prior to settlement does a buyer need to be given the Closing Disclosure?
3 business days prior.
What is the purpose of the new disclosures?
To provide greater consumer Disclosure on the actual costs and details of their loan.
Does RESPA apply to cash transactions?
No
What would trigger the need to provide a new Closing Disclosure to the consumer and a new 3-day waiting period?
Changes to the APR, the addition of a Pre-Payment Penalty, or change of Loan Product.