We have a construction perm loan in closing where a third party wishes to pay all closing costs on a refinance transaction. The manufactured home builder is paying all costs due to an error they made in the order process. How do I show this on an alternate form CD? Can we use the full CD in this circumstance even though we used the alternate form LE? Any guidance would be appreciated greatly!

No - you cannot switch formats. I would show the costs to the borrower and show the credit from the third party in the payoffs and payments section as a negative number.

Actually, I did some testing and I was going to go ahead an put them in as paid by other. I really didn't recall that being a column on the alternate form, but it is. I am then thinking I would exclude the applicable fees from the finance charge as they are not borrower paid?

Yes - that will work also

Thank you for your help!