How much does it cost to receive a Loan Estimate?
The only fee a lender can ask you to pay prior to providing a Loan Estimate is a fee for obtaining your credit report. Credit report fees are typically less than $30.
The Loan Estimate is a form that went into effect on Oct. 3, 2015.
A lender cannot collect any other fees before providing you with a Loan Estimate. In fact, a lender must wait until you indicate that you'd like to proceed with the loan application before charging you any other fees. Until that time, a lender also cannot collect your credit card number or require you to provide a check for anything other than a reasonable fee to obtain your credit report.
Once you receive a Loan Estimate, it's up to you to decide whether you want to proceed with that particular lender and that particular loan application. If you have received your Loan Estimate and you tell the lender that you want to proceed, then the lender can charge you additional fees. For example, lenders commonly charge an application fee or an appraisal fee after you decide to proceed with the loan application.
You won't receive a Loan Estimate if you applied for a mortgage prior to Oct. 3, 2015, or if you're applying for a reverse mortgage. For those loans, you will receive two forms — a Good Faith Estimate (GFE) and an initial Truth-in-Lending disclosure — instead of a Loan Estimate.
If you are applying for a HELOC, a manufactured housing loan that is not secured by real estate, or a loan through certain types of homebuyer assistance programs, you will not receive a GFE or a Loan Estimate, but you should receive a Truth-in-Lending disclosure.
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