If a loan is secured by a dwelling, within how many days prior to consummation must disclosures be provided?

When a loan is secured by a dwelling, the Truth in Lending Act (Regulation Z) mandates that certain disclosures must be provided to the consumer. This is known as the disclosure requirement before loan consummation. The correct timeframe for providing these disclosures is three business days prior to consummation. This requirement ensures that borrowers have sufficient time to review the terms of the loan, including information about interest rates, fees, and other costs, which is crucial for making informed borrowing decisions.

The three-day period allows for any potential questions or concerns the consumer may have to be addressed before finalizing the loan agreement. This regulation helps promote transparency and consumer protection in lending practices.

In contrast, the other timeframes do not meet the regulatory requirement, as they either do not allow enough time for the consumer to adequately assess the information or are not established by the regulation for this type of transaction.