Can the disclosure be signed electronically?

Yes. Electronic signatures are valid under the ESIGN Act (15 U.S.C. ch. 96) and UETA where adopted; ensure you capture intent, consent, attribution, and a retrievable record to satisfy legal tests.

Who must sign the document?

All borrowers obligated on the loan should sign; lenders and settlement agents sign per internal practice. Confirm signer authority and match names to IDs to avoid post-closing challenges.

Is notarization required?

Not typically for the disclosure itself; notarization requirements depend on state rules for related documents. Use RON or in-person notarization where state law or lender policy requires it.

How do I correct an error after signing?

Prepare a corrected disclosure, describe the change, re-deliver for borrower review, and retain evidence of acceptance; document the reason for correction in the loan file.

Which records must be retained?

Retain the signed disclosure and supporting invoices per federal and industry rules (IRS 3 years, HIPAA 6 years where applicable) and follow any longer state retention mandates.

What authentication is recommended for remote signing?

Use multi-factor methods (email + SMS or KBA) for higher-risk loans, and preserve audit logs, IP addresses, and timestamps to strengthen attribution and evidentiary value.

Electronic Signature
Templates
Finance
Finance Closing Disclosure

Finance Closing Disclosure

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

FINANCE CLOSING DISCLOSURE

Transaction and Parties

Lender / Loan Originator - Company Lender Address Phone / Email

Borrower Name Borrower Address Phone / Email

Settlement Agent / Title Company Settlement Agent Address File / Reference Number

Property & Transaction

Property Address:

Sale Price: $ Purchase Date:

Loan Terms

Loan Type Loan Term

Loan Amount (Principal) Interest Rate

Monthly Principal & Interest Mortgage Insurance (if any)

Itemized Loan Costs

Provide the following itemized charges related to origination and third-party services. Enter amounts in dollars.

Description	Quantity	Unit Rate	Amount



Subtotal Loan Costs

Other Closing Costs

Tax, Government Fees Prepaids (insurance, interest)

Initial Escrow Payment at Closing Other (title, recording, HOA)

Total Closing Costs (sum of sections above): $

Calculating Cash to Close

Loan Amount: $ Closing Costs Paid at Closing: $

Earnest Money / Deposits Paid: $ Seller Credits: $

Cash To Close (Funds Borrower Must Bring): $

Projected Payments & Escrow

Estimated Monthly Payment (First Year): $

Estimated Escrow Payment (Taxes & Insurance): $

Disclosures and Certifications

The Lender certifies that the figures stated in this Closing Disclosure represent actual charges and fees to be paid by the Borrower at consummation of the loan transaction, subject to permitted tolerances and adjustments described in the loan documents. The Borrower acknowledges receipt of this disclosure and the opportunity to review the loan terms and closing costs prior to consummation.

Borrower also acknowledges that any change to the loan product, interest rate, loan amount, or the addition of certain fees may require a revised disclosure and additional waiting period as required by applicable lending rules and the loan contract.

Additional Notes / Terms & Conditions

Acknowledgment and Receipt

By signing below, the Borrower confirms receipt of the Closing Disclosure and certifies that the information provided is true and complete to the best of the Borrower's knowledge. The Lender certifies that the disclosure has been prepared in good faith and reflects the expected costs and terms of the transaction subject to final verification at closing.

Borrower Printed Name:

By:

Date:

Lender / Authorized Representative Printed Name:

By:

Date:

What the Finance Closing Disclosure Is and When it Applies

The Finance Closing Disclosure is a standardized consumer-facing disclosure that itemizes final loan terms, closing costs, and cash-to-close figures for a financed transaction. It consolidates loan-level details—interest rate, monthly payment, loan fees, prepayment penalties, and escrow items—so borrowers and lenders can confirm terms before consummation. While used primarily in mortgage and secured-lending contexts, similar closing disclosures appear wherever financing changes the parties’ cash flows. The disclosure functions as both a compliance document and a practical reconciliation of fees due at settlement, and must be retained as part of the loan file.

Why a Clear Closing Disclosure Matters

A complete Finance Closing Disclosure reduces closing-day surprises, supports regulatory compliance, and creates an auditable record of agreed financial terms; it protects borrower rights and limits lender risk.

Who Prepares and Reviews the Finance Closing Disclosure

Typical participants include lenders, closing agents, and borrowers who must confirm and reconcile financial terms.

Lenders and loan officers responsible for finalizing loan conditions and verifying accuracy of charges.
Settlement agents or closing attorneys who itemize seller/buyer adjustments and collect signatures at closing.
Borrowers and co-borrowers who must review totals, compare with prior estimates, and sign where required.

Each party’s review reduces errors and speeds funding; document retention obligations apply after closing for compliance and audit purposes.

Core Sections Found in a Professional Finance Closing Disclosure

A complete disclosure is organized so reviewers can quickly check loan economics, fees, and funds required at closing.

Loan Terms

Summarizes principal, interest rate, loan term, payment schedule, and whether the rate is adjustable or fixed for easy comparison.

Projected Payments

Shows monthly principal, interest, taxes, insurance, and estimated future payment changes, including balloon or escrow adjustments.

Closing Costs

Itemizes lender fees, third-party fees, prepaid items, and seller credits so totals reconcile with Good Faith estimates.

Costs Paid Before Closing

Lists fees already collected or credited, such as earnest money, deposit, or application fees to avoid double-counting.

Cash to Close

Aggregates funds the borrower must bring (or receive) at settlement, including principal adjustments and prorations.

Additional Disclosures

Includes escrows, late payment penalties, servicing transfer notices, and any conditional items required by regulation.

Essential Data Elements Included on the Disclosure

Borrower Name: Full legal name(s) as on ID

Loan Amount: Principal loan figure

Interest Rate: Annual percentage rate

Monthly Payment: Principal + interest + escrow

Itemized Fees: Lender and third‑party charges

Cash to Close: Total funds due at settlement

Stepwise Process to Prepare and Deliver the Closing Disclosure

Follow a clear sequence to compile source data, verify calculations, obtain signatures, and distribute final copies.

01

Gather Documents: Collect loan approval, title charges, and prorations from vendors
02

Populate Fields: Enter loan terms, fees, dates, and cash-to-close arithmetic
03

Verify Accuracy: Reconcile with prior estimates and correct discrepancies
04

Deliver and Sign: Provide to borrower and capture signatures before consummation

How to Configure an Online Closing Disclosure Workflow

Set up template fields, signer order, and authentication to align with your compliance and operational needs.

Field	Configuration
Signature Field	Required for each signer; enforce date stamp
Authentication	Email + SMS code or stronger KBA where needed
Delivery Method	Email link, portal access, or in-person signing
Retention Policy	Automatic archive and download in PDF/A

Where to Send and Who Keeps Copies of the Disclosure

Distribution typically includes the borrower, lender, settlement agent, and the loan file for future audits.

Borrower Delivery: Provide final copy before consummation for review
Lender File: Include disclosure in loan origination system and retention archive
Settlement Agent: Send for reconciliation and settlement execution
Regulatory Audit: Retain accessible copy for compliance review

Digital Signing and eSubmission: Technical Considerations

Choose a platform that supports required formats, strong authentication, and tamper-evident audit trails.

Integrations: Salesforce | NetSuite | Microsoft 365 | Google Workspace
Formats Supported: PDF, DOCX, HTML, Excel output
Security Standards: TLS 1.2/1.3 in transit; AES‑256 at rest

Verify the platform meets your BAA, 21 CFR Part 11, or other regulatory needs and preserves immutable audit metadata.

Timing Expectations and Key Deadlines for the Disclosure

Timelines for delivering the disclosure affect borrower review time and readiness for settlement; verify any product-specific timing rules.

Pre-Closing Delivery:

Typically delivered at least 3 business days before consummation for mortgage closings

Corrected Disclosures:

Issue corrected version promptly when material changes occur; allow borrower review time

Signature Timing:

Signatures should be captured before closing or as required by the lender

Funding Hold:

Errors can delay funding until corrected and reaccepted

Record Retention Start:

Retention periods begin on signed closing or funding date

Key Milestones from Application to Consummation

Monitor these sequential milestones to ensure timely disclosure delivery and lawful consummation of the loan.

01

Application Received

Start the file and collect initial income and asset documentation

02

Loan Estimate Issued

Provide initial estimates to the borrower early in origination

03

Final Disclosure Prepared

Assemble all fees and calculate cash-to-close ahead of signing

04

Consummation/Closing

Obtain borrower signatures and complete funding once all documents are in order

Common Preparation Errors to Avoid

Misreported fees or omitted third‑party charges that cause reconciliation mismatches at settlement.
Incorrect borrower names or inconsistent dates that require corrected disclosures and delay funding.
Failing to capture consent or intent for electronic signatures leading to enforceability questions.
Relying on unverified vendor estimates rather than final invoices, producing surprising cash-to-close differences.

Consequences of an Incorrect or Late Disclosure

Regulatory Fines: Civil penalties and enforcement actions

Funding Delays: Settlement postponed until corrections are made

Rescission Risk: Potential borrower rescission in specific cases

Reputational Harm: Borrower dissatisfaction and complaints

Increased Costs: Duplicate vendor fees or re-notarization expenses

Legal Exposure: Contract disputes or indemnity claims

Comparing eSignature Vendors for Handling Closing Disclosures

Platform choice affects authentication, audit trails, and integration with your loan origination system; the table compares common vendor attributes with signNow listed first.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial	Varies	Varies	Varies	Varies
Bulk Send	Yes	Yes	Yes	Yes	Varies
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No
Envelope Cap	No cap	100 envelopes/user/year	Varies	Varies	Varies

Frequently Asked Questions About the Finance Closing Disclosure

Answers to common questions about e-signing, delivery timing, corrections, and retention to help you avoid delays and compliance issues.

Need help? Contact support

Can the disclosure be signed electronically?
Yes. Electronic signatures are valid under the ESIGN Act (15 U.S.C. ch. 96) and UETA where adopted; ensure you capture intent, consent, attribution, and a retrievable record to satisfy legal tests.
Who must sign the document?
All borrowers obligated on the loan should sign; lenders and settlement agents sign per internal practice. Confirm signer authority and match names to IDs to avoid post-closing challenges.
Is notarization required?
Not typically for the disclosure itself; notarization requirements depend on state rules for related documents. Use RON or in-person notarization where state law or lender policy requires it.
How do I correct an error after signing?
Prepare a corrected disclosure, describe the change, re-deliver for borrower review, and retain evidence of acceptance; document the reason for correction in the loan file.
Which records must be retained?
Retain the signed disclosure and supporting invoices per federal and industry rules (IRS 3 years, HIPAA 6 years where applicable) and follow any longer state retention mandates.
What authentication is recommended for remote signing?
Use multi-factor methods (email + SMS or KBA) for higher-risk loans, and preserve audit logs, IP addresses, and timestamps to strengthen attribution and evidentiary value.

be ready to get more

Join over 28 million airSlate SignNow users

Sign Now