What does a borrower receive upon closing their loan?

Upon closing their loan, a borrower typically receives a detailed summary of all financial transactions. This summary, often referred to as a Closing Disclosure or Settlement Statement, outlines the terms of the loan, the amounts being paid, and the various costs associated with the loan and the closing process. It includes itemized costs such as loan origination fees, appraisal fees, and prepaid interest, ensuring that the borrower understands the complete financial picture of the transaction.

This documentation is crucial as it serves to inform the borrower of their obligations and the funds exchanged during the closing of the loan. It helps ensure transparency and allows borrowers to verify that their understanding of the loan terms and costs aligns with what was initially discussed with lenders or agents.

Other options do not align with what is typically provided at closing. For example, a deed to the property is formally transferred, but it is not given directly to the borrower at closing; it is filed with the county or local government. A temporary credit card for loan payments is not a standard process associated with closing a loan, as loan repayment is generally set up through standard monthly billing rather than through the use of a credit card. Lastly, while a payment plan may be discussed, the formal provision of a payment plan option is not something