A lender provides electronic TILA disclosures for a refinance transaction through their secure online portal. The borrower logs in and views the disclosures on Tuesday but doesn't print or download them. When does the rescission period begin?
Correct Answer
B) Tuesday, if the borrower consented to electronic delivery
Under TILA and E-SIGN Act requirements, electronic disclosures are considered delivered when made available to the consumer in the agreed-upon electronic format, provided proper consent to electronic delivery was obtained. The rescission period begins when the disclosures are made available, not when accessed or printed.
Why This Is the Correct Answer
Under TILA and E-SIGN Act requirements, electronic disclosures are considered delivered when made available to the consumer in the agreed-upon electronic format, provided proper consent to electronic delivery was obtained. The rescission period begins when the disclosures are made available, not when accessed or printed.
More Federal Laws Questions
A mortgage broker's website states 'Qualified borrowers can get loans with down payments as low as 3%.' Which statement about TILA advertising requirements is correct?
A loan's APR increases from 4.25% on the Loan Estimate to 4.35% on the Closing Disclosure due to a rate lock expiration. What action is required?
Which of the following documents must be provided to trigger the start of the 3-day rescission period?
For a closed-end mortgage loan, when must the creditor provide the Closing Disclosure to the borrower?
Which information is NOT required to be included in an AfBA disclosure?
A lender quotes an APR of 4.25% on a mortgage loan, but the actual APR calculation results in 4.28%. Under TILA's APR accuracy tolerance, is this disclosure compliant?
Which of the following fees would NOT be included in the finance charge calculation under TILA?
For a purchase money mortgage with a loan amount of $400,000, which of the following represents the correct method for calculating the APR?
A servicer receives a borrower's written request for payoff information on Monday. The borrower needs the information for a refinance closing scheduled for the following Friday. When must the servicer provide an accurate payoff statement?
A lender provides a borrower with initial TILA disclosures showing an APR of 4.5%. Due to market changes, the final APR at closing is 4.625%. What disclosure requirement applies?
People Also Study
General Mortgage Knowledge
23% of exam
Mortgage Loan Origination Activities
25% of exam
Ethics, Fraud & Consumer Protection
17% of exam
Uniform State Test Content
12% of exam
Related Study Resources
Previous Question
A mortgage company's website uses cookies to track visitors' browsing behavior across multiple sessions. A visitor has not yet applied for a loan but has used the mortgage calculator several times. Under GLBA, this tracking data is considered:
Next Question
A servicer mistakenly applies a borrower's payment to principal instead of escrow, causing the escrow account to become deficient. The servicer discovers the error 45 days later. Under RESPA servicing rules, the servicer must: