What is typically included in a loan estimate provided by a lender?

The Loan Estimate is a crucial document that lenders provide to borrowers within three business days of receiving a loan application. It is designed to help borrowers understand the key features of the loan they are considering, including the terms and costs associated with it.

The details specified in the correct answer encompass essential information that a borrower needs to evaluate whether the loan is suitable for their financial situation. The loan amount indicates how much the borrower is seeking to finance, while the interest rate shows the cost of borrowing. Monthly payments provide insight into the regular financial commitment the borrower will need to make, which is vital for budgeting. Additionally, estimated closing costs are included, allowing borrowers to anticipate the upfront expenses associated with finalizing the loan.

This information is beneficial for borrowers to compare different loan offers and make informed decisions. The other options do not typically appear in the Loan Estimate, as they are either not directly related to the loan terms or are not required under regulatory guidelines governing the Loan Estimate.