Finance
Under Ohio law, a lender who imposes a prepayment penalty on a residential mortgage must disclose this to the borrower:
AOnly at closing
BPrior to loan commitment, on the Loan Estimate✓ Correct
COnly if the borrower asks about prepayment
DOnly on VA or FHA loans
Explanation
Under TRID requirements, any prepayment penalty must be disclosed on the Loan Estimate provided to the borrower within three business days of the loan application, before the borrower commits.
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