TILA-RESPA INTEGRATED DISCLOSURES RULE (TRID)

Question 1

Act: TILA-RESPA INTEGRATED DISCLOSURES RULE (TRID)
Reg:

Answer 1

Reg: X and Z

Question 2

• Initial Truth-in Lending disclosure and RESPA Good Faith Estimate (GFE) combined into..
• Final Truth-in-Lending disclosure and RESPA HUD-1 combined into…

Answer 2

Loan Estimate form.

Closing Disclosure.

Question 3

TRID Covers:

Answer 3

Most closed-end consumer mortgages.

Question 4

TRID does not apply to:

Answer 4

• Home-Equity Lines of Credit.
• Reverse Mortgages.
• Mortgages secured by a mobile home or by a dwelling that is not attached to real property
(vacant land).
• Loans made by a creditor who makes five or fewer mortgages in a year.
• Certain no-interest loans secured by subordinate liens made for the purpose of down payment
orsimilar homebuyerassistance,propertyrehabilitation,energyefficiency,orforeclosureavoidanceorprevention.

Question 5

TRID Application consists of..

Answer 5

NIPLES

1. Name
2. Income
3. Property address
4. Loan amount
5. Estimated property value
6. Social security number to obtain a credit report

Question 6

LOAN ESTIMATE:

Answer 6

Must be delivered or placed in the mail no later than the third business day after receiving the

• Loan Estimate must also be delivered or placed in the mail no later than the seventh business day before consummation of the transaction.
• Borrower has ten (10) General Business Days to shop for Lender.
• Until the Loan Estimate is provided and the consumer indicates intent to proceed with the transaction, a creditor cannot impose any fee other than a bona fide and reasonable credit report fee.

Question 7

TRID Tolerance Requirements are:

Answer 7

• Zero Tolerance
• 10% Cumulative Tolerance
• No Tolerance Limitations

Question 8

CLOSING DISCLOSURE:

Answer 8

Must be provided to the consumer at least three Rescission Business Days prior to consummation.

Question 9

What requires a new Closing Disclosure?

Answer 9

• The disclosed APR becomes inaccurate.
• The loan product changes.
• A prepayment penalty is added.

Question 10

Special information booklet (Your Home Loan Tool Kit):

Answer 10

Creditors must provide the toolkit to mortgage applicants as a part of the application process.

Question 11

TILA-RESPA Records Retention:

Answer 11

• Closing Disclosure Forms – 5 years after consummation.
• Loan Estimate Forms – 3 years after consummation.
• Escrow Cancellation Notice – 2 years from notice.
• Partial Payment Policy – 2 years from notice