How many days before closing must a closing disclosure be received?

The correct answer is three days. According to the TILA-RESPA Integrated Disclosure Rule, lenders are required to provide a Closing Disclosure to the borrower at least three business days before the closing of the loan. This timeframe is critical because it allows the borrower to review the final terms and costs associated with the mortgage. The purpose of this requirement is to ensure transparency and enable the borrower to understand their financial obligations before finalizing the transaction.

This three-day period can also provide the borrower with the opportunity to ask questions or clarify any confusing elements of the disclosure well in advance of the closing. By allowing this time for review, it helps to reduce the likelihood of last-minute surprises regarding costs or other important details related to the loan.