We received a commercial loan for booking, and included in it was a Closing Disclosure (TRID format) that had been prepared by the settlement attorney. In TRID trainings (pre-TRID), I remember something about institutions being in violation when providing TRID disclosures for NON-TRID transactions. I’m trying to locate that in the Reg, and having some difficulty. Can you help? Thanks so much! PS…we don’t allow attorneys to prepare our CDs for TRID transactions. 🙂
TRID applies to a transaction subject the Regulation Z that is secured by a dwelling. A loan made in the commercial department may be subject to Regulation Z. If the loan is made to an entity, such as a corporation or a LLC, then Regulation Z and TRID do not apply. Although a TRID disclosure is not required in such a transaction, it is not a violation to provide the disclosure. If the TRID disclosure contains errors, the financial institution would have liability, either under Truth in Lending or under UDAAP.
IMO, because it was missing the issue date, it would be a violation, because it was incomplete. The attorney also provided a separate settlement statement, that described the transaction, as well. Go figure.