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What is the Truth-in-Lending Act

A set of U.S. government guidelines for lending practices to ensure that borrowers receive information about their loans. As part of the Consumer Credit Protection Act, it requires lenders to disclose information regarding loan origination fees, payment schedules, the APR, along with borrowers’ rights to rescind their application within a certain timeframe without being charged. The Truth-in-Lending Act requires lenders to give borrowers a Loan Estimate within three business days of a loan application.