Which disclosure that is required to be sent three days after application indicates to the borrower whether or not the servicing of their loan may be sold or transferred?

Asked by: John Corwin  |  Last update: January 17, 2025
Score: 4.2/5 (17 votes)

mortgage broker must provide a GFE within three business days after a mortgage broker receives either an application. The lender is responsible for ascertaining whether the GFE has been provided. If the mortgage broker has provided the GFE to the applicant, the lender is not required to provide an additional GFE.

What is the 3 day disclosure rule for loan estimates?

The Disclosure time period begins on the business day following receipt of the consumer's application. Loan Estimate -Initial disclosure (Delivery): The lender must provide the initial Loan Estimate no later than 3 business days (using the general definition of business day) after application is received.

What disclosures are required within 3 days of application?

Disclosure of good faith estimate of costs must be made no later than 3 days after application. This means that a creditor must deliver or mail the early disclosures for all mortgage loans subject to RESPA no later than 3 business days (general definition) after the creditor receives a consumer's application.

What must be given to borrowers within three days after the loan application?

If the borrowers do not sign the Loan Estimate and/or the separate disclosure is not provided, then the borrowers should have been provided a Mortgage Loan Disclosure Statement within the required three-day timeframe.

Which of the following disclosures must be given within 3 business days of receiving an application?

Servicing Disclosure Statement

RESPA requires the lender or mortgage broker to tell you in writing, when you apply for a loan or within the next three business days, whether it expects that someone else will be servicing your loan (collecting your payments).

RESPA Servicing Disc Statements, Booklets & Requirements (Mod 4) | NMLS SAFE MLO Exam Study Series

27 related questions found

What disclosure is specifically required within 3 business days of a complete application for an adjustable rate mortgage loan?

Loan Estimate (LE): This must be provided within three business days of receiving the loan application. LEs specifically outline the estimated interest rate, monthly payment, and total closing costs for the product.

What are legally required disclosures?

The receiving party or its representatives may be required by oral questions (i.e., testimony), interrogatories, or other requests for documents in legal proceedings, subpoenas, civil investigative demands, or similar processes, to disclose confidential information.

Which document must the borrower receive at least 3 days before the signing appointment?

Which document must the borrower receive at least three days before the signing appointment? The signer in a mortgage loan should receive the Closing Disclosure at least three days before the closing date (signing date) of their mortgage loan to review and ask any questions to their lender.

What two disclosures are required by RESPA?

RESPA is a federal law that requires lenders to provide information about the settlement costs and services involved in a mortgage transaction. The TILA-RESPA Integrated Disclosure (TRID) rule requires two forms: the Loan Estimate and the Closing Disclosure.

When you apply for a mortgage loan within 3 days of your application the mortgage company must provide you with?

Each lender is required to send you a Loan Estimate within three business days of receiving your six key pieces of information.

What 3 types of disclosures do not require patient authorization?

A covered entity is permitted, but not required, to use and disclose protected health information, without an individual's authorization, for the following purposes or situations: (1) To the Individual (unless required for access or accounting of disclosures); (2) Treatment, Payment, and Health Care Operations; (3) ...

When must an AfBA disclosure be given to the borrower?

Disclosures before the closing/settlement

The referring party must give the AfBA disclosure to the consumer at or prior to the time of referral. The disclosure must describe the business arrangement that exists between the two providers and give the borrower an estimate of the second provider's charges.

What must be disclosed in initial disclosures?

The Rule lists four categories of information that are required in the initial disclosures: 1) witnesses; 2) documents; 3) damages calculations; and 4) insurance agreements.

What disclosures is specifically required within 3 days of application?

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.

What is the Trid 3 day appraisal rule?

You must notify the applicant in writing within three business days of application of the right to receive a copy of any appraisal developed in connection with the application. Appendix C to the rule includes sample text for this disclosure.

When must the closing disclosure be given to borrowers at least three business days before loan __________?

Here's what the Closing Disclosure timeline looks like: Initial Closing Disclosure: The lender is required to provide the borrower with an initial Closing Disclosure at least three business days before the scheduled closing date. Review period: The borrower is given a three-day period to review the Closing Disclosure.

What is the 3 day disclosure rule?

Your lender is required to send you a Closing Disclosure that you must receive at least three business days before your closing. It's important that you carefully review the Closing Disclosure to make sure that the terms of your loan are what you are expecting.

What is the 3 day rule for RESPA?

This form integrates and replaces the existing RESPA GFE and the initial TIL for these transactions. The creditor is generally required to provide the Loan Estimate within three-business days of the receipt of the consumer's loan application.

What are the two types of mortgage disclosures?

Making the mortgage process easier

The Know Before You Owe mortgage disclosure rule replaces four disclosure forms with two new ones, the Loan Estimate and the Closing Disclosure. The new forms are easier to understand and easier to use.

What is the 3 day rule in real estate?

The California Purchase Contract is chock-full of deadlines: three days to place a deposit into escrow; 17 days to perform investigations; scheduling utilities, organizing closing, and many other important details.

What must be given to borrowers within three days after the loan application quizlet?

A disclosure statement given to borrowers that discloses whether the lender intends to service the loan or transfer it to another lender or servicing company. Must be given at the time of the loan application or within 3 business days.

What must be delivered to the buyer at least 3 days prior to consummation or closing?

A creditor must furnish § 1026.32 disclosures at least three business days prior to consummation for a closed-end, high-cost mortgage and at least three business days prior to account opening for an open-end, high-cost mortgage.

What are the three types of disclosure?

There are three types of disclosure.
  • Authorized disclosure.
  • Willful unauthorized disclosure.
  • Inadvertent unauthorized disclosure.

What are the mandatory disclosures?

An applicant, recipient, or subrecipient of a Federal award must promptly disclose whenever, in connection with the Federal award (including any activities or subawards thereunder), it has credible evidence of the commission of a violation of Federal criminal law involving fraud, conflict of interest, bribery, or ...

What disclosures are required for loans?

The Truth in Lending Act, or TILA, also known as regulation Z, requires lenders to disclose information about all charges and fees associated with a loan. This 1968 federal law was created to promote honesty and clarity by requiring lenders to disclose terms and costs of consumer credit.