What does '0% Fee Tolerance' refer to in TRID tolerances?

What does '0% Fee Tolerance' refer to in TRID tolerances?

• A. COAT
• B. RR
• C. POPIN
• D. NONE

Answer: (A)

Zero tolerance in TRID refers to costs at the table, the COAT category. COAT stands for Costs At The Table, covering closing charges that are paid at the closing table to the settlement agent for services performed at closing. The amount for these items must match exactly what was disclosed on the Loan Estimate; no rounding up or changes are allowed. Since COAT is the specific category tied to zero tolerance, it’s the best fit. The other terms aren’t recognized TRID tolerance categories, and saying NONE would miss the real zero-tolerance rule that applies to these at-the-closing charges.

Zero tolerance in TRID refers to costs at the table, the COAT category. COAT stands for Costs At The Table, covering closing charges that are paid at the closing table to the settlement agent for services performed at closing. The amount for these items must match exactly what was disclosed on the Loan Estimate; no rounding up or changes are allowed. Since COAT is the specific category tied to zero tolerance, it’s the best fit. The other terms aren’t recognized TRID tolerance categories, and saying NONE would miss the real zero-tolerance rule that applies to these at-the-closing charges.