Final answer:
The Business Day in the mortgage disclosure refers to the days on which financial institutions are open for business. It excludes weekends and federal holidays and affects the timing of certain actions during mortgage transactions.
Step-by-step explanation:
The Business Day in the context of mortgage disclosure refers to the days on which financial institutions are open for business. It is important in mortgage transactions because it affects the timing of certain actions, such as delivering loan estimates and closing documents. Generally, the Business Day excludes weekends and federal holidays. For example, if a lender is required to provide a loan estimate within 3 Business Days, and the loan estimate is requested on a Thursday, the lender would have until the following Monday to provide it.