Question

Is the TILA Disclosure and Loan Estimate delivered to a reverse mortgage applicant?

A) Yes, both the TILA Disclosure and Loan Estimate are delivered.
B) No, neither the TILA Disclosure nor the Loan Estimate are delivered.
C) Yes, the TILA Disclosure is delivered, but the Loan Estimate is not.
D) No, the TILA Disclosure is delivered, but the Loan Estimate is not.

Answer 1

Option C) Yes, the TILA Disclosure is delivered, but the Loan Estimate is not.

Step-by-step explanation:

The answer is option C) Yes, the TILA Disclosure is delivered, but the Loan Estimate is not.

When a reverse mortgage application is made, the lender is required to provide the applicant with a TILA (Truth in Lending Act) Disclosure.

This disclosure provides information about the loan terms, including the interest rate, fees, and other costs.

However, reverse mortgages are not subject to the same requirements as traditional mortgages, so a Loan Estimate, which is typically provided to applicants for traditional mortgages, is not required for reverse mortgage applicants.