Scenario: Bank A in the Southeast was in the path of Hurricane Irma remnants. Closing on Purchase Money Mortgage is scheduled for this Friday and bank emailed Closing Disclosure to applicant on Tuesday - consumer has consented to electronic delivery. Customer did not open document until today (Wednesday morning). Reg Z's 1026.19(f)(1) and 1026.38 (t)(3) seem to punt back to ESIGN on this issue. I'm trying to determine if this is a definite No Go, an issue to be considered under the written notice of bona fide personal emergency or some Act of God provision that I can't find in the regs at the present time. Thoughts?

Unless you have a receipt acknowledgement from the customer - anything E-Sign compliant follows the 3+3 rules whether the customer ever opens it or not. Investor rules may differ.

Since they acknowledged it today, that is when your three day clock starts. Saturday is the earliest you can close.

Same Hurricane Irma - different issue.

On a refi transaction that we closed last week, the disbursement date was 9/11. We were unable to open the bank on 9/11 as well as the bank being paid off and the title company, so the disbursement didn't occur until 9/12 when we reopened. The bank being paid off did not re-open until 9/13 and sent a revised payoff to the title company. The title company collected the additional funds from the borrower and the payoff occurred.

My question stems around how we are to handle the revised CD. My thought is the revised CD needs to have the disbursement date updated to 9/12 and the payoff amount adjusted accordingly.

Is this correct? Is there a place in the reg that addresses the situation? Thank you for any input.

that would be the logical solution to me.

Thank you. It does seem logical to handle it just like any other scenario that would make a CD inaccurate after closing.

I will say, however, that it would make me wonder if it would extend your ROR period based on the 'last of the 3 events' being receipt of the disclosure. Such a catch 22 because that would make the payoff change AGAIN!

As long as you abide by the allowance and timing of a post-consummation corrected CD, I don't see that as extending the rescission period as the initial disclosure was based on all known facts at the time of issuance.

Otherwise you could get yourself into an infinite loop

Thanks again!!