Placed under the umbrella of the Consumer Financial Protection Bureau as part of the Dodd-Frank Act of 2010, the Real Estate Settlement Procedures Act (RESPA) requires loan settlement information to be prepared on a special form known as the:
A) Closing Disclosure
B) Servicing Agreement
C) "Your Home Loan Toolkit" booklet
D) Certificate of occupancy

Question

Quizplus · Accepted Answer

RESPA requires loan settlement information to be prepared on a special form known as the Closing Disclosure. This form must be given to the borrower at least three business days before the loan closing date, and it outlines all the fees, charges, and costs associated with the loan, including the interest rate, loan amount, and total closing costs. The purpose of the form is to ensure that borrowers have all the information they need to make informed decisions about their loans, and to prevent surprises or hidden fees at closing.

Placed Under the Umbrella of the Consumer Financial Protection Bureau