The Real Deal Miami

New loan laws help buyers

July 30, 2009 09:57AM

A set of consumer protection laws taking effect today will help homebuyers know what they’re getting into. New Federal Reserve guidelines will allow borrowers to rescind a loan if they don’t get initial disclosures of their mortgage costs from their lenders within three business days of the loan. Lender fees are banned, except for the cost of a credit check. Also, if the APR on the early truth-in-lending disclosure increases by more than one-eighth of a percentage point, the lender must provide a corrected version and give the borrower another seven business days to consider the transaction before settlement.