Section B of the Closing Disclosure (“Services Borrower Did Not Shop For”) can include items that are subject to different tolerances. For instance, it could include third-party services where the consumer is not allowed to shop for a provider (0% tolerance). This might include things like the appraisal, credit report, etc. It could also include third-party services required by the lender where the applicant is allowed to shop but does not do so (10% tolerance non-affiliate / 0% affiliate). Finally, it could include third-party services required by the lender where the applicant chooses a provider included on the shopping list (10% tolerance non-affiliate / 0% affiliate). Whether the applicant shops determines where the charge appears on the Closing Disclosure and it could be different than where it was disclosed on the Loan Estimate.
Jerod explains more in the video.
Published
2026/01/07