A borrower receives a Closing Disclosure (CD) from their lender. Three days later, but before closing, the lender discovers a tolerance violation that requires a refund to the borrower. Which of the following is the correct procedure for the lender to follow?
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A
Issue a revised Closing Disclosure with the correction and proceed to closing as scheduled.
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B
A new 3-day waiting period is not required, and the correction can be shown on a revised CD provided at closing.
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C
Delay the closing, issue a new CD, and start a new 3-day waiting period.
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D
Cancel the loan and require the borrower to re-apply.