The right of rescission under TILA gives a West Virginia borrower the right to cancel:
Correct Answer
B) A refinance or home equity loan on their primary residence within 3 business days
The TILA right of rescission applies to refinances and home equity loans on a primary residence, providing a 3-business-day cooling-off period. It does NOT apply to purchase money mortgages used to buy the home.
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Related Topics & Key Terms
Related Topics:
Key Terms:
Related Concepts
The debt-to-income ratio (DTI) compares a borrower's monthly debt obligations to their gross monthly income. It is used by lenders to determine how much mortgage a borrower can afford.
In the context of foreclosure, a deed transfers ownership of the foreclosed property to the new owner, typically the buyer at a foreclosure sale.
Discount points are upfront fees paid to a lender at closing to reduce (buy down) the interest rate on a mortgage loan. One point equals 1% of the loan amount and typically reduces the rate by approximately 0.25%.
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