How many days before closing must the Closing Disclosure be provided?

The Closing Disclosure must be provided at least three business days before closing as mandated by the Real Estate Settlement Procedures Act (RESPA) and the Truth in Lending Act (TILA). This requirement ensures that borrowers have sufficient time to review the terms and costs associated with their mortgage before finalizing the transaction.

Providing this document three business days beforehand allows the borrower to compare it with the Loan Estimate they received earlier, ensuring transparency and enabling them to ask questions or clarify any concerns with their lender. This timeframe is crucial for promoting informed decision-making and protecting the consumer's rights in the mortgage process.

The choice of three business days is designed to balance the need for timely processing of the mortgage transaction with the borrower’s right to receive comprehensive information about their loan.