When must the TIL Disclosure be provided to the borrower?

The Truth in Lending (TIL) Disclosure must be provided to the borrower within three business days of application. This requirement is part of the Truth in Lending Act (TILA), which aims to ensure that consumers are fully informed about the terms and costs associated with their mortgage loans.

Providing the TIL Disclosure this promptly allows borrowers to consider the loan terms, compare them with other offers, and make informed financial decisions before committing. This three-day window ensures that consumers have a clear understanding of the Annual Percentage Rate (APR), finance charges, and other critical information related to their potential mortgage.

Other timing options, such as 30 days prior to closing or at closing, do not align with the intent of TILA to provide early and accessible information to borrowers. Similarly, providing the disclosure within three days after closing would be too late to inform the borrower adequately about the terms of their loan. Therefore, the three business days after the application is the correct timeframe for delivering the TIL Disclosure.