Final answer:
RESPA requires the Closing Disclosure (CD) to be provided to the borrower at least three business days prior to closing/consummation.
Step-by-step explanation:
The Closing Disclosure (CD) is a critical document in the home buying process, outlining the final loan terms and closing costs. According to RESPA regulations, it must be given to the borrower at least three business days before the scheduled closing date. This timeframe allows borrowers to review the details of the loan, including interest rates, fees, and any changes from the initial Loan Estimate.
This transparency aims to ensure borrowers have adequate time to understand the terms and costs associated with the loan, reducing the likelihood of surprises at the closing table. By providing this document in advance, RESPA intends to empower borrowers to compare the disclosed terms with their expectations and ask any necessary questions before finalizing the deal.
Correct answer: three business days