What is the difference between a Good Faith Estimate and a Truth in Lending Act statement? Well, in the near future, it won’t matter. Starting in August 2015, both forms will all but disappear because of the new integrated Mortgage Disclosure Rules. Lenders will be required to provide applicants with a new form: The Loan Estimate.
The Consumer Financial Protection Bureau designed the Loan Estimate to make it easier for the consumer to understand key aspects of the proposed loan. In the spirit of making the process easier, things are consistent for the consumer through the process: the Loan Estimate and Closing Disclosure use much of the same information and formatting so they look similar.