How often must a borrower receive a loan estimate after applying for a mortgage?

A borrower must receive a loan estimate within three business days after applying for a mortgage. This requirement is established under the Real Estate Settlement Procedures Act (RESPA) and the Truth in Lending Act (TILA), which aim to provide borrowers with timely and transparent information regarding the costs and terms of their loan.

The three-day period allows borrowers to review the loan terms, closing costs, and other important details early in the mortgage process, enabling them to make informed decisions about their financing options. This timeframe is critical for ensuring borrowers have adequate opportunity to compare different loan offers and avoid any potential surprises down the line.

The other options suggest different timeframes that do not align with the regulatory standards, which is why they do not fulfill the legal requirements set for delivering a loan estimate.