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A borrower receives a Loan Estimate showing an appraisal fee of $500. At closing, the appraisal fee is $525. The appraisal company was selected by the lender. Does this violate TRID tolerance rules?

Loan Origination Activities · 27% of the SAFE exammedium

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Correct answer: Yes, because lender-selected services have zero tolerance for increases

Under TRID, fees for services where the borrower cannot shop (lender-selected services, including appraisals chosen by the lender) have ZERO tolerance — they cannot increase from the Loan Estimate amount. The $25 increase violates this rule.

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