Is There a Grace Period to Cancel a Personal Loan?
Full Question:
When taking a personal loan from the bank, is there a grace period in which you can decide not to take the loan?
08/24/2011 |
Category: Debts and Cr... ยป Lending |
State: Mississippi |
#25394
Answer:
The answer depends on whether the loan is secured by your residence. Under the Truth in Lending Act, for consumer-purpose loans that are secured by borrower's primary residence, the borrower must be given 3 business days to cancel the transaction. Otherwise, it will probably be governed by the policies of the bank, such as the one below:
http://onestop.umn.edu/finances/financial_aid/loans/federal_direct/direct_cancellation.html
See also:
http://www.ftc.gov/bcp/menus/consumer/credit/loans.shtm
