How many business days does a creditor have to provide disclosures after a loan application?

The correct answer is three business days. Under the Truth in Lending Act, specifically referring to Regulation Z, creditors are required to provide important disclosures to borrowers within three business days after receiving a loan application. This requirement is designed to ensure that borrowers have sufficient information about the terms of the loan they are applying for, which allows them to make informed decisions.

This timeframe applies to various types of loans, particularly those covered under the regulation, ensuring transparency and fairness in lending practices. Providing disclosures within this period helps to promote responsible lending and consumer awareness, which are central goals of the regulation.

Other options reflect timeframes that do not comply with the regulatory requirement, as the law clearly establishes three business days as the standard for these disclosures, reinforcing the importance of timely information in the lending process.