What Is Closing Disclosure?
Closing Disclosure: The five-page form with your final loan terms and closing costs, received 3 business days before closing.
Also called: CD
The Closing Disclosure (CD) is a five-page form showing the final terms and costs of your mortgage. Under TRID, you must receive it at least three business days before closing.
What's on it
- Page 1: loan terms, projected payments and cash to close
- Page 2: itemized closing costs
- Page 3: calculating cash to close, and the summary of the transaction
- Page 4: loan disclosures, such as assumption, late fees and the escrow account
- Page 5: loan calculations, including the APR, total of payments and finance charge, plus contact information
How to review it
Compare it line by line with your latest Loan Estimate. Check the rate, loan amount, payment, fees, credits and cash to close. Ask about any difference.
Changes that require a new three-day wait
- The APR increases beyond tolerance
- The loan product changes
- A prepayment penalty is added
Other changes can be corrected without delaying closing.