12 CFR 1024CFPBactive
Real Estate Settlement Procedures Act (Regulation X)
Plain English Summary
Protects homebuyers by requiring clear disclosure of mortgage costs and preventing kickbacks in real estate transactions.
CFR Title
12
CFR Part
1024
Effective Date
Dec 30, 2011
Jurisdiction
US
Full Text
Mortgage loan servicers must provide borrowers with timely and accurate disclosures about loan costs and settlement charges. The regulation prohibits kickbacks and unearned fees in the mortgage settlement process.
Servicers must follow specific procedures for handling borrower inquiries, correcting errors, and processing loss mitigation applications. Borrowers must receive a Loan Estimate within three business days of applying for a mortgage and a Closing Disclosure three business days before closing.
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