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Truth In Lending

As a requirement of the 1974 Real Estate Settlement Procedures Act (RESPA), the mortgage lender is required to send a Truth in Lending statement to you within three days of the loan application. This gives a summary of the expected closing costs and should be very close to the final figure. The Truth in Lending Statement also discloses whether there is a penalty for paying off the balance of the loan before it is due.



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