Skip to content
BOL Conferences
Thread Options
#2245225 - 11/06/20 05:11 PM Borrower request for higher rate after CD receipt?
Vive Accommodare Offline
Platinum Poster
Vive Accommodare
Joined: Apr 2013
Posts: 581
Compliance
Are we permitted to increase an interest rate in exchange for lender credit after it's been initially locked due to a borrower request? We're at closing now with the closing disclosure going out and now the borrower wants the credit. I feel this is okay to do since it's based on a changed circumstance (borrower request), but get hesitant any time it comes to the interest rate.
_________________________
"Tact is telling someone to go to [censored] in such a way, they look forward to the trip" Winston Churchill

Return to Top
TRID - TILA/RESPA Integrated Disclosures Rule
#2245240 - 11/06/20 06:37 PM Re: Borrower request for higher rate after CD receipt? Vive Accommodare
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 83,219
Galveston, TX
If you agree to a new rate lock at a higher rate with a lender credit, then that is going to throw your APR out of tolerance and cause a new three business day wait, but other than that, there would be no problem with it.
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top
#2245241 - 11/06/20 06:42 PM Re: Borrower request for higher rate after CD receipt? Vive Accommodare
Vive Accommodare Offline
Platinum Poster
Vive Accommodare
Joined: Apr 2013
Posts: 581
Compliance
It does create a three day waiting period, which the borrower is good with. Thank you for your input, Randy! Always appreciated.
_________________________
"Tact is telling someone to go to [censored] in such a way, they look forward to the trip" Winston Churchill

Return to Top