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How long do I have to rescind? When does the right of rescission start?

Unless you waive your right of rescission, you have until midnight of the third business day after the transaction to cancel the contract. The first day after all three of the following events occur counts as day one:

  1. You sign the credit contract
  2. You receive a Truth in Lending disclosure form containing certain important disclosures about the credit contract that explain the key terms of the credit being offered – the annual percentage rate, the finance charge, the amount financed, the total of payments, and the payment schedule
  3. You receive two copies of a notice explaining your right to rescind

For rescission purposes, business days include Saturdays, but not Sundays or legal public holidays. For example, if the last of the above three events occurs on a Friday, you have until midnight on the following Tuesday to rescind.

You may use the form provided to you by the creditor or a letter. Whatever form of written notice you use, make sure it is delivered or mailed before midnight of the third business day.

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