After all the training, we still have a loan officer who made a request for a Loan Estimate more than 3 days after application. What are the consequences of being out of tolerance for disclosing after 3 days?

Also wondering this...
I am new to this institution--there was no compliance officer here for several months. I caught 1 or 2 they missed providing an LE on while reviewing the backed up AA's.

For FDIC banks, the maximum civil money penalty for each occurrence of late disclosures is $4,000. Max goes way up if a pattern or practice is detected.

In addition to possible civil money penalties, most investors will not buy a loan if it has a late LE. In my opinion, banks should have a daily report that is closely monitored to ensure LEs go out timely. I wouldn't leave it up to the loan officer due to the high risk.

TMatt87, would you direct me to where the penalty is spelled out? I would like to share that with my Lenders. Thanks.

This came up on another thread. I would try to get an LE out ASAP for anything that is still active. Some institutions are giving borrowers "fee-free" loans in these instances, but the official penalty is as mentioned above.