Finance
Under Regulation Z (Truth in Lending Act), a 'right of rescission' gives the borrower the right to cancel a refinance or home equity loan transaction within:
A24 hours of application
B3 business days of closing✓ Correct
C7 days of receiving the Loan Estimate
D30 days of closing
Explanation
Regulation Z grants borrowers a 3-business-day right of rescission for non-purchase money refinances and home equity loans secured by their primary residence. The lender may not disburse funds until the rescission period expires without exercising the right.
Related Louisiana Finance Questions
- What is the primary purpose of a title search in a Louisiana real estate transaction?
- In Louisiana, a 'subordination, non-disturbance, and attornment agreement' (SNDA) between a tenant, landlord, and lender primarily addresses what happens if the lender:
- The Truth in Lending Act (TILA) requires lenders to disclose the:
- A Louisiana home equity line of credit (HELOC) is secured by a:
- A Louisiana buyer's agent recommends the buyer get pre-approved (not just pre-qualified) for a mortgage because pre-approval:
- In Louisiana, 'mortgage insurance' is required on conventional loans with an LTV over 80% and on all FHA loans. Its primary purpose is to protect the:
- A Louisiana property has a fair market value of $200,000. At a 10% assessment ratio and a millage rate of 80 mills, what is the annual property tax?
- A Louisiana seller who 'takes back' a mortgage from the buyer is engaging in:
Practice More Louisiana Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Louisiana Quiz →