Chapter 1
Federal Mortgage Laws and Consumer Protection Regulations
Course: Safe Mlo Prep
Subject: Safe Mlo Prep
Chapter: Federal Mortgage Laws And Consumer Protection Regulations
OVERVIEW
The TRID rule — effective October 2015 — combined TILA and RESPA's disclosure requirements into two streamlined forms: the Loan Estimate (LE) and the Closing Disclosure (CD). TRID eliminated the GFE, early TILA disclosure, HUD-1, and final TILA disclosure — replacing all four with just two documents.
- The Loan Estimate
The Loan Estimate replaced the Good Faith Estimate and the early TILA disclosure.
Triggering event — all six application elements received:
- Borrower's name
- Borrower's income
- Borrower's Social Security number
- Property address
- Estimated property value
- Loan amount requested
Delivery deadline: Within 3 business days of receiving all six elements. Business day for LE: Monday through Saturday — excluding federal public holidays. Only fee before LE: Bona fide credit report fee only.