Finance

A Nebraska homeowner refinances their mortgage to a lower interest rate. Under federal law, they have a right of rescission for:

ANo right of rescission on refinances
B3 business days after closing to cancel the refinance✓ Correct
C5 business days after closing
DOnly if the new loan has a higher payment

Explanation

Under the Truth in Lending Act (TILA), borrowers refinancing their primary residence (with a different lender) have a 3-business-day right of rescission. This does not apply to purchase money mortgages.

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