12 CFR §1026.19 — Certain mortgage and variable-rate transactions (TRID timing)
Regulation Z §1026.19 is the timing and integration rule for the TRID Loan Estimate and Closing Disclosure: when the LE must be delivered, seven-business-day and three-business-day waiting periods, good-faith tolerance buckets, redisclosure triggers, and the no-fee restriction before LE delivery.
Verbatim regulatory text
Verbatim provisions from 12 CFR §1026.19 — Certain mortgage and variable-rate transactions (TRID timing) — each quote is a verified substring of the regulator-published source snapshot, not retyped. Quoted for reference; this is not legal advice. The operational layer (P&P updates, prompts) lives in the regulation update kits.
12 CFR §1026.19(e)(1)(iii)(A) — Loan Estimate timing: 3 business days after application
(A) The creditor shall deliver or place in the mail the disclosures required under paragraph (e)(1)(i) of this section not later than the third business day after the creditor receives the consumer 's application, as defined in § 1026.2(a)(3).
12 CFR §1026.19(e)(1)(iii)(B) — Loan Estimate timing: 7 business days before consummation
(B) Except as set forth in paragraph (e)(1)(iii)(C) of this section, the creditor shall deliver or place in the mail the disclosures required under paragraph (e)(1)(i) of this section not later than the seventh business day before consummation of the transaction.
12 CFR §1026.19(e)(2)(i)(A) — Pre-LE fee restriction (intent-to-proceed gate)
(A) Fee restriction. Except as provided in paragraph (e)(2)(i)(B) of this section, neither a creditor nor any other person may impose a fee on a consumer in connection with the consumer 's application for a mortgage transaction subject to paragraph (e)(1)(i) of this section before the consumer has received the disclosures required under paragraph (e)(1)(i) of this section and indicated to the creditor an intent to proceed with the transaction described by those disclosures.
12 CFR §1026.19(e)(3)(i) — Good faith for estimated closing costs (zero-tolerance default)
(i) General rule. An estimated closing cost disclosed pursuant to paragraph (e) of this section is in good faith if the charge paid by or imposed on the consumer does not exceed the amount originally disclosed under paragraph (e)(1)(i) of this section, except as otherwise provided in paragraphs (e)(3)(ii) through (iv) of this section.
12 CFR §1026.19(e)(3)(ii) — 10-percent aggregate tolerance bucket
(ii) Limited increases permitted for certain charges. An estimate of a charge for a third-party service or a recording fee is in good faith if:
12 CFR §1026.19(e)(4)(i) — Revised Loan Estimate: 3 business days from changed-circumstance trigger
(i) General rule. Subject to the requirements of paragraph (e)(4)(ii) of this section, if a creditor uses a revised estimate pursuant to paragraph (e)(3)(iv) of this section for the purpose of determining good faith under paragraphs (e)(3)(i) and (ii) of this section, the creditor shall provide a revised version of the disclosures required under paragraph (e)(1)(i) of this section or the disclosures required under paragraph (f)(1)(i) of this section (including any corrected disclosures provided under paragraph (f)(2)(i) or (ii) of this section) reflecting the revised estimate within three business days of receiving information sufficient to establish that one of the reasons for revision provided under paragraphs (e)(3)(iv)(A) through (F) of this section applies.
12 CFR §1026.19(f)(1)(ii)(A) — Closing Disclosure timing: 3 business days before consummation
(A) In general. Except as provided in paragraphs (f)(1)(ii)(B), (f)(2)(i), (f)(2)(iii), (f)(2)(iv), and (f)(2)(v) of this section, the creditor shall ensure that the consumer receives the disclosures required under paragraph (f)(1)(i) of this section no later than three business days before consummation.
12 CFR §1026.19(f)(2)(ii) — Changes before consummation requiring a new CD 3-day waiting period
(ii) Changes before consummation requiring a new waiting period. If one of the following disclosures provided under paragraph (f)(1)(i) of this section becomes inaccurate in the following manner before consummation, the creditor shall ensure that the consumer receives corrected disclosures containing all changed terms in accordance with the requirements of paragraph (f)(1)(ii)(A) of this section:
12 CFR §1026.19(f)(2)(iii) — Post-consummation corrected CD: 30-day window
(iii) Changes due to events occurring after consummation. If during the 30-day period following consummation, an event in connection with the settlement of the transaction occurs that causes the disclosures required under paragraph (f)(1)(i) of this section to become inaccurate, and such inaccuracy results in a change to an amount actually paid by the consumer from that amount disclosed under paragraph (f)(1)(i) of this section, the creditor shall deliver or place in the mail corrected disclosures not later than 30 days after receiving information sufficient to establish that such event has occurred.
12 CFR §1026.19(f)(2)(v) — Refund of tolerance overage: 60 days post-consummation
(v) Refunds related to the good faith analysis. If amounts paid by the consumer exceed the amounts specified under paragraph (e)(3)(i) or (ii) of this section, the creditor complies with paragraph (e)(1)(i) of this section if the creditor refunds the excess to the consumer no later than 60 days after consummation, and the creditor complies with paragraph (f)(1)(i) of this section if the creditor delivers or places in the mail corrected disclosures that reflect such refund no later than 60 days after consummation.
12 CFR §1026.19(f)(5) — No fee for preparation or delivery of CD
(5) No fee. No fee may be imposed on any person, as a part of settlement costs or otherwise, by a creditor or by a servicer (as that term is defined under 12 U.S.C. 2605(i)(2) ) for the preparation or delivery of the disclosures required under paragraph (f)(1)(i) of this section.
12 CFR §1026.19(g)(1)(i) — Special information booklet at time of application
(i) The creditor shall deliver or place in the mail the special information booklet not later than three business days after the consumer 's application is received. However, if the creditor denies the consumer 's application before the end of the three-business-day period, the creditor need not provide the booklet. If a consumer uses a mortgage broker, the mortgage broker shall provide the special information booklet and the creditor need not do so.
12 CFR §1026.19(b) — Certain variable-rate transactions (ARM disclosures)
(b) Certain variable-rate transactions. Except as provided in paragraph (d) of this section, if the annual percentage rate may increase after consummation in a transaction secured by the consumer 's principal dwelling with a term greater than one year, the following disclosures must be provided at the time an application form is provided or before the consumer pays a non-refundable fee, whichever is earlier (except that the disclosures may be delivered or placed in the mail not later than three business days following receipt of a consumer 's application when the application reaches the creditor by telephone, or through an intermediary agent or broker):
12 CFR §1026.19(b) — Certain variable-rate transactions (ARM disclosures) — enumerated items (chapeau recall fix)
(1) The booklet titled Consumer Handbook on Adjustable Rate Mortgages, or a suitable substitute. (2) A loan program disclosure for each variable-rate program in which the consumer expresses an interest. The following disclosures, as applicable, shall be provided:
12 CFR §1026.19(b) — Certain variable-rate transactions (ARM disclosures) — enumerated items (chapeau recall fix) — enumerated items (chapeau recall fix)
(i) The fact that the interest rate, payment, or term of the loan can change. (ii) The index or formula used in making adjustments, and a source of information about the index or formula. (iii) An explanation of how the interest rate and payment will be determined, including an explanation of how the index is adjusted, such as by the addition of a margin. (iv) A statement that the consumer should ask about the current margin value and current interest rate. (v) The fact that the interest rate will be discounted, and a statement that the consumer should ask about the amount of the interest rate discount. (vi) The frequency of interest rate and payment changes. (vii) Any rules relating to changes in the index, interest rate, payment amount , and outstanding loan balance including, for example, an explanation of interest rate or payment limitations, negative amortization, and interest rate carryover. (viii) At the option of the creditor, either of the following: (A) A historical example, based on a $10,000 loan amount , illustrating how payments and the loan balance would have been affected by interest rate changes implemented according to the terms of the loan program disclosure. The example shall reflect the most recent 15 years of index values. The example shall reflect all significant loan program terms, such as negative amortization, interest rate carryover, interest rate discounts, and interest rate and payment limitations, that would have been affected by the index movement during the period. (B) The maximum interest rate and payment for a $10,000 loan originated at the initial interest rate (index value plus margin, adjusted by the amount of any discount or premium) in effect as of an identified month and year for the loan program disclosure assuming the maximum periodic increases in rates and payments under the program;