What does RESPA require lenders to provide to borrowers within 3 business days?

RESPA, which stands for the Real Estate Settlement Procedures Act, mandates that lenders must provide borrowers with a booklet about shopping for a home loan within three business days of receiving a loan application. This requirement is in place to ensure that consumers are informed about the various components of the mortgage process, including the different types of loans available, the associated costs, and the importance of comparing offers from multiple lenders. The goal of this regulation is to promote transparency and protect consumers from potentially predatory lending practices.

The other options listed do not fall under the specific obligations set by RESPA. A checklist of properties, a report on credit scores, and a list of available real estate agents are not required documents that lenders must provide within this timeframe, which is why the focus is on the booklet designed to help borrowers understand their loan options and the home-buying process.