Finance
A Tennessee borrower's 'good faith' deposit with a lender at loan application:
ACounts toward the down payment at closing
BCovers the cost of the appraisal and credit report, and may be refundable under certain circumstances✓ Correct
CIs the same as the earnest money deposit
DGuarantees the loan will be approved
Explanation
At loan application, lenders often collect upfront fees for the appraisal and credit report. Under TRID, lenders cannot collect fees (other than a bona fide credit report fee) before the borrower receives and acknowledges the Loan Estimate.
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