Once a Loan Application Is Signed, the Lender Begins a Process

question 14

Multiple Choice

Once a loan application is signed, the lender begins a process that typically includes ordering the fee appraisal, the title report, and a number of third party inspection, compliance, and engineering reports in an attempt to make sure the potential borrower did not misrepresent the property in any way in the original loan submission package. This process is more commonly referred to as:

• A) Due diligence
• B) Loan submission
• C) Loan development
• D) Defeasance