Origination ActivitiesQuestion 193 of 400
A borrower selects a pest-inspection provider FROM the creditor's written list of service providers. That charge is subject to which tolerance?
a.Zero tolerance
b.No tolerance
c.A separate 25 percent tolerance
d.10 percent cumulative tolerance
Explanation
When the consumer can shop for a service and selects a provider from the creditor's written list, the charge falls in the 10 percent cumulative tolerance category. Staying on the list keeps the charge within the aggregate 10 percent limit.
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Related questions on this topic
- Which fee falls under the 10 percent cumulative tolerance category?
- Which of the following is generally subject to NO tolerance limitation (may change without violating good faith)?
- A borrower chooses a title company that is NOT on the creditor's written list of providers. Into which tolerance category does that title service fee fall?
- Transfer taxes disclosed on the Loan Estimate are subject to which tolerance?
- After the Closing Disclosure is issued, which change requires a new three-business-day waiting period before consummation?
- Which post-CD change does NOT trigger a new three-business-day waiting period?
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