Contracts
In Michigan, a 'right of rescission' under federal TILA allows a borrower in a refinance transaction to:
ARescind the purchase agreement only
BCancel the loan within 3 business days of signing closing documents for a refinance of their primary residence✓ Correct
CRescind any real estate contract within 30 days
DDemand a lower interest rate after closing
Explanation
TILA's right of rescission applies to refinances (not purchases) of a borrower's primary residence, giving them 3 business days after closing to cancel the transaction. This is a federally mandated consumer protection, applicable in Michigan.
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