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#2102780 - 10/13/16 12:55 PM LE-Rate Lock section
mdog76 Offline
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Joined: Jan 2007
Posts: 645
On the first page of the LE that states "All other estimated closing costs expire on xx/xx/xxxx", what happens if we go past that stated date with out issuing a CD? Do we start all over? We are close on a stated date due to a CIC for extra doc prep work from the title company that we were not aware of in the beginning.

Thanks

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#2102790 - 10/13/16 01:46 PM Re: LE-Rate Lock section mdog76
John Burnett Offline
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John Burnett
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Posts: 40,086
Cape Cod
The "estimated closing costs expire on [date]" disclosure gives the date, which must be at least 10 business days after issuance of the original LE, by which the applicant must express an intent to proceed in order for the non-rate-related costs on the LE to be honored going forward. If the intent to proceed is received after that date, the creditor is able to issue a new LE with new cost estimates -- tossing out any of the estimates on the original LE. There is no connection here to the closing disclosure for the loan, which could be issued quickly or weeks away, depending on the situation.

If you have learned of extra title costs, you have 3 business days from obtaining that information to issue a revised LE (or, depending on timing, a closing disclosure) with the updated title costs estimate.
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#2102948 - 10/13/16 09:52 PM Re: LE-Rate Lock section mdog76
MScarn6942 Offline
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Joined: Aug 2015
Posts: 756
Land Lacking in Lakes, IL
Let's say you go past your date but nothing has changed - you're not required to reissue your LE, correct? You can still honor those original fees without giving a corrected/updated date?
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#2102970 - 10/14/16 01:00 PM Re: LE-Rate Lock section mdog76
John Burnett Offline
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John Burnett
Joined: Oct 2000
Posts: 40,086
Cape Cod
Yes and Yes.
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John S. Burnett
BankersOnline.com
Fighting for Compliance since 1976
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