Understanding TRID

The TILA-RESPA Integrated Disclosure (TRID)

Might as well be speaking in a foreign language, right? There has been so much talk about the new TRID rule implementation because it forced a complete change in how REALTORS®, Lenders, and Title Companies work to get a Buyer to closing.

Here 9 TRID facts you should Know (originally posted by Endeavor America)

  1. The new TILA_RESPA Integrated Disclosure (TRID) became mandatory for all loan applications taken after October 3, 2015
  2. The GFE (Good Faith Estimate) and the TIL (Truth in Lending Statement) will be combined into one form called the Loan Estimate or LE
  3. Loan Estimate (LE) to be delivered to the borrower within three business days of application
  4. Loan Estimate (LE): Borrower has ten days from date LE was delivered or placed in the mail to notify the lender of their intent to proceed with the loan transaction
  5. The HUD-1 (Settlement Statement) and the Final TIL (Truth in Lending Statement) will be combined into one form called the “Closing Disclosure” or CD
  6. Closing Disclosure (CD) to be delivered to the borrower three business days prior to consummation (closing and the date the note is signed)
  7. Re-disclosure required within three business days of valid change of circumstance
  8. If a disclosure is mailed, it is deemed received by the consumer on the 3rd business day. Other delivery options can include (1) Hand Delivery (2) Courier Service with signed receipt (3) E-Sign (Docusign)
  9. The rule does not apply to (1) Home Equity Lines of Credit (2) Reverse Mortgages (3) Mortgages secured by mobile homes or dwellings not attached to real property (land)

Here is a helpful document to make sure the new process goes smoothly. Just follow these tips:

Attachment-1B-TRID