Does anyone know of any reason an account officer would intentionally have a client sign the r-t-c on a later date than the note date? I know that we base the rescission period on midnight of the 3rd day following consummation of the transaction; delivery of the notice of right to rescind; or delivery of all material disclosures, whichever occurs last. But my question is would there ever be a valid reason for the client to acknowledge the r-t-c on a date after the note date? And if there is, would there be any need to track these occurrences?

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Opinions are mine, not of my employer.

If you and I are getting a loan and I am signing today and you are signing tomorrow, you get 3 days, but I have to get 4 because consummation will not be finished until tomorrow. I will acknowledge receipt of "my" forms today, which is probably the note date. You will acknowledge tomorrow, which is the day after the note date.

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Al Miller, CRCM
Fremont Bank (CA)
(510) 790-5825
(510) 505-5211 FAX

Opinions expressed are my own and not necessarily shared by my employer.

Did you ask the account officer who was responsible for having the document signed?

I don't see any problems as long as the loan is not funded prior to the expiration date of the recission period as outlined in the regulation.

My experience with this is that the person closing the loan simply fails to have the form signed and has to ask the customer to come back in and sign it.

So there is no reason to track these occurrences, correct? Thanks for your answer.

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Opinions are mine and not those of my employer.

It sounds like you have a very good reason to track this -- by loan officer or settlement agent. When the right to cancel notice is not given, rescission runs longer. And there are a few people out there (mostly examiners) who are of the opinion that if the customer didn't get the r-t-c notice at closing, than the rescission period runs for the full 3 years. I don't agree with that, but you loan officers should be aware that some folks think that the error is not curable.