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  1. Question 1 of 2
    1. Question

    A married couple refinances the mortgage secured by their owner-occupied principal residence. During the closing appointment, the settlement agent explains that although the loan documents will be signed today, the borrowers will still have a limited period of time after consummation to reconsider the transaction and cancel if they choose not to proceed.

    The borrowers ask why federal law provides this additional waiting period after closing.

    Which of the following best explains the purpose of the federal rescission requirement?

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  2. Question 2 of 2
    2. Question

    A borrower refinances the mortgage secured by a principal residence on Friday afternoon. Shortly after signing the loan documents, the borrower becomes upset after learning that the lender will not immediately disburse the refinance proceeds.

    Which of the following best explains why the lender cannot immediately fund the refinance transaction?

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