How soon after application should a mortgage tool kit be provided?

The correct answer is based on the federal requirement outlined in the Real Estate Settlement Procedures Act (RESPA). According to RESPA guidelines, lenders must provide the mortgage toolkit to borrowers within three business days after the application is submitted. This ensures that borrowers have timely access to critical information about the mortgage process, including the costs associated with the loan, helpful tips, and various mortgage options available. This timeframe is designed to support borrowers in making informed decisions as they navigate the home buying process.

Other options suggest longer or shorter periods which do not conform to the mandated timeline set forth by RESPA, thereby emphasizing the importance of adhering to regulatory requirements within the mortgage lending practice. Providing this toolkit in a timely manner helps facilitate a smoother transaction and fosters transparency in the lending process.