Page 7 - The eTRID Guide by Chicago Title

Know before you close.

A Quick Reference to the new CFPB Rule cont’d

4. Who prepares the Closing Disclosure? 6. What Closing Disclosure Delivery
Timing Period should you know?
The new CFPB rule provides that the creditor is ultimately
responsible for preparation of the CD. However, the rule As part of the final rule creating the new forms, the
also allows the creditor to delegate some or all of the CFPB determined that consumers would be better
preparation to the settlement agent. Determining which served by having a short time to review the new Closing
system will create the final form is important in establishing Disclosure prior to signing their loan documents. As a
workflows for the transfer of information. result, in its rule CFPB mandated consumers have three
business days after receipt of the Closing Disclosure to
5. Who, When & How must the review the form and its contents.
Closing Disclosure be delivered to the
Consumer? However, note that the three business day review

Generally, the creditor is responsible for delivery of the period starts upon “receipt” of the form by the
Closing Disclosure form no later than three business days
before consummation. Creditors may also contract with consumer. Unless some positive confirmation of the
settlement agents to have the settlement agent provide the
Closing Disclosure to consumers on the creditor’s behalf. receipt of the form (i.e., hand delivery), the form is

To ensure the consumer receives the Closing Disclosure “deemed received” three business days after the
on time, creditors must arrange for delivery as follows:
delivery process is started (i.e. mailing). As a result,
• By providing it to the consumer in person.
the combination of the “delivery time period” and the
• By mailing, or by other delivery methods, including
email. Creditors may use electronic delivery methods “review ttoKimnleooawpnebrsieoigfdno”irnergey.suoBluteslcoilnwossieisx. business days from
subject to compliance with the consumer consent and mailing an example for the
other applicable provisions of the Electronic Signatures in
Global and National Commerce Act. Closing Disclosure Timing.

• Creditors must ensure that the consumer receives the Changes to the Closing Disclosure Timing
Closing Disclosure at least three business days prior to
consummation even if the settlement agent was to deliver Sunday Monday Tuesday Wednesday Thursday Friday Saturday
the form. 1
234 567
Creditor
Three-day delivery period Three-day waiting period
5
Non-hand Delivery of Closing Disclosure Delivery of Closing
(i.e. mail) Disclosure Occurs

Sunday Monday 9 Tuesday Wednesday Thursday Friday Saturday 13 14
5
8 23 10 11 12 First day
6 disbursement
1 4 7 may occur
on most
waiting cont. Three-Fdirasyt ddealyivery period Three-day right oTfhrreees-dcaiyswsaiiotinng period re nances
Non-hand Deliversyiogf Cnloinsingg D/iscclloossurieng
Sunday not (i.e. mail) may occur (ApDDiepslcivlloiecsruyaroebfOCleclocsutirnosg most re nances)
counted

8 9 First1d0ay 11 12 13 14
First day
waiting cont. First day disbuTrshermeee-dnatsymrigahyt of rescission disbursement
Sunday not signing / closing occur for pu(Arpcphlicaabslee to most re nances) may occur
counted may occur and some on most
re nances
First day re nances
disbursements may
occur for purchase
and some
re nances

Timing ReferTeHnREcE DeAsY CbLOySINDG DaISyCLOSURE RULE

Chicago Title has also prepared a ConsummationClosing
Date
THREE DAY CLOSING DISCLOSURE RULNEOTE:

Monday Tuesday Wednesday Thursday Friday Saturday • If a federal holiday falls within the
Calendar for use after October 3, 2015. Please ask yourClosing
local representative for a copy.Date Monday
Delivery and/or Waiting Periods, add an

Tuesday Wednesday Thursday additionaFlrbiudsainyess day. Saturday

Waiting Preceding Preceding Preceding Preceding Preceding Preceding • The three-day period is measured by days,
Period Thursday Friday Saturday Monday Tuesday Wednesday
not hours. Thus, disclosure must be delivered
three days before closing, and not 72 hours
For more information on CFPB, simply visit our website•Handdeliver
prior to closing.
at www.chicagotitlelibrary.com/cfpb.html.Waiting
DelivePryeriod Preceding
Per•ioHdand deliverMonday
Preceding Preceding Preceding PrecedinPgMreocneddainyg• DeliesccltorosPunTrriceueascelmleysddatoyianasytlgsaortbtehedeDleivWleiPvreeerreddycnPeeedrsiiodndagaynd
ThPurercesddinagy PrecedingFridayPreceding SPraecteudrindgay may be signed in compliance with E-Sign
Wednesday Thursday Saturday
Tuesday Friday

requirements.

Note: If a federal holiday falls within the The three-day period is measured by days, not hours. Disclosures may also be delivered electronically to
This information is brought to you by:Delivery and/orWaiting Periods, add an start the Delivery Period and may be signed in
additional business day. compliance with E-Sign requirements.
Thus, disclosure must be delivered three days before
closing, and not 72 hours prior to closing.

Delivery Preceding Preceding Preceding Preceding Preceding Preceding
Period Monday Tuesday Know before you close.Wednesday
Thursday FridKanyow beforSeatyuorduacylose.

Your CFPB readiness partner - every step of the way.

Your CFPB readiness partner - every step of the way.©2015ChicagoTitleCompany.

Note: If a federal holiday falls within the The three-day period is measured by days, not hours. Disclosures may also be delivered electronically to
Delivery and/or Waiting Periods, add an Thus, disclosure must be delivered three days before start the Delivery Period and may be signed in
additional business day. closing, and not 72 hours prior to closing. compliance with E-Sign requirements.