My bank has a mortgage department (not a separate division). On the Loan Estimate's provided by the department Saturday is counted as a business day. The reasoning is that the mortgage department takes applications and can lock rates on Saturday; however the bank is not open for any business (branches closed, etc.). If an LE is prepared on the bank side (lot loans or consumer construction loans), Saturday is not counted as a business day. The examiners, external consultants and internal auditors have never cited this as an issue. I can't wrap my head around how this is acceptable.

Thoughts?

I would not be able to wrap my head around it either. It refers to the creditor as a whole and not an office of a division of the creditor. Why don't they just change it? It is probably one little flag in the doc prep system and then there will never be a question. Even if you could make an argument for it, what real difference does it make if they give someone an extra day to provide the intent to proceed. Seems a small price to pay to avoid a potential criticism.

Official Interpretation

2(a)(6) Business Day

1. Business function test. Activities that indicate that the creditor is open for substantially all of its business functions include the availability of personnel to make loan disbursements, to open new accounts, and to handle credit transaction inquiries.

Wanted to revive this for a similar situation. Sounds like little to no clarification will be found in the Regulation/Official Commentary/Preamble related to this topic? I couldn't tell what was being advocated for in this thread. Randy, were you saying that the lender should just consider Saturday a business day for the entire organization?

Does anybody know of any CFPB guidance issued on different divisions or segments being open/closed for "business day" TRID purposes? We have situations on occasion where certain branches/offices may be closed on days when other offices and the main office are open. It makes a difference with our company because disclosures are done at the LO/Processor level and they are located in the branches/offices. So, going off of the main office being open, this provides one less day to issue disclosures in the appropriate time frame.

How does "...this provide one less day to issue disclosures in the appropriate time frame?"
And if your main office is closed on weekends, then how can you consider any branch 'open for substantially all business' ?

It would be the other way around. The main office is open for instance and the branch is closed. Because disclosures are done at the branch level, if we were to count the day the main office is open as a "business day," the LO/Processor at the branch really has only 2 days to issue the LE rather than 3.

I ask this out of curiosity -- This was the rule pre-TRID for loans subject to RESPA -- the early TIL disclosures were to be provided within three business days of receipt of the application. So why is it that the business day definition is causing problems now, if it didn't back then?

It may have come up, but I was an OCC examiner at that point in time

Anybody have a take on this?

It says creditor - it doesn't say branch or department:

2(a)(6) Business Day

1. Business function test. Activities that indicate that the creditor is open for substantially all of its business functions include the availability of personnel to make loan disbursements, to open new accounts, and to handle credit transaction inquiries.

So, no go, basically? lol.