Business Days for Rescission

The Right of Rescission applies to any consumer credit transaction in which a security interest is or will be taken in a consumer’s principal dwelling. While there are some exceptions, the general rule is that a consumer has until midnight of the third business day following consummation, delivery of the rescission notice, or delivery of all material disclosures (whichever occurs LAST) to rescind the transaction. So, what exactly constitutes a business day?

Jerod explains more in the video.

Video Highlights:

• There are two definitions of "business day" in Truth in Lending: “general” and “precise.”
• Rescission uses the “precise” business day definition, which includes all calendar days except Sundays and Federal holidays.

Published
2023/05/16