How long must settlement charges detailed in a Loan Estimate be available?

The correct duration for which settlement charges detailed in a Loan Estimate must be available is typically three business days. The Loan Estimate must be provided to borrowers within three business days of a loan application, and the charges outlined in it must remain valid for at least that same period. This is designed to ensure that borrowers have adequate time to review the costs associated with a mortgage and make informed decisions.

The three-business-day window allows borrowers to understand the costs they will incur during the settlement process and ensures transparency in the lending process. The timeline exists to both protect the consumer and to hold lenders accountable for the information provided in the Loan Estimate.

In summary, the critical aspect of this regulation revolves around providing borrowers with necessary information and a fair opportunity to weigh their options before committing to a loan.