What is a Closing Disclosure?

By Nicole Shea - AUG 19, 2019

A Closing Disclosure is a five-page form providing final details about the mortgage loan you’ve selected.

When will you receive it?

At least three business days before you’re scheduled to close on your mortgage loan.

Why is it important? It provides the estimated costs associated with the loan you’ve applied for, including:

• Loan amount

• Interest rate

• Monthly payment

• Closing costs

• Taxes and other costs

• Basic loan information

What’s important to know about the Closing Disclosure?

• Compare your Closing Disclosure with your most recent Loan Estimate to ensure the terms and costs are what you expected.

• You have this 3-day window to thoroughly review your loan information and ask any final questions of your lender.

• It’s possible some of your costs may change.

• If you find an error, contact your lender or settlement agent immediately to have it corrected.

• Ask your lender or closing agent to also provide your additional closing documents , including the Promissory Note, Mortgage or Security Instrument, so you can review them as well before your signing.

https://www.consumerfinance.gov/about-us/blog/loan-estimate-and-closing-disclosure-choose-right-home-loans/