Page 310
The date of closing will be defined as the closing date listed on the Closing Disclosure and entered on the GLS “Add/Update Loan Closing” screen.
Borrowers may elect an interest credit settlement, where interest will be paid at closing to the previous first day of the month. The maturity date for this type of settlement will be slightly less than 30 years. Example: Borrower closes loan on October 3, 2019. For most loan closing settlements, interest would be paid from the settlement date to the beginning of the next month, November 1, 2019. The first payment would be due December 1, 2019. The maturity date would be November 1, 2049. Should the borrower elect an interest credit settlement, fewer funds are required at closing. Interest would be paid to the previous first day of the month, October 1, 2019. The first payment would begin November 1, 2019, and the maturity date would be October 1, 2049, in this example. 16.9 DUPLICATE LOAN NOTE GUARANTEE