For mortgage loans, the lender must provide the borrower with the initial disclosure statement at least two business days before the earlier of the following occurs: the borrower incurs any obligation to the lender with respect to the mortgage; or the borrower makes any payment to the lender related to the mortgage loan. This effectively creates a two-day ‘cooling-off period’ between when the cost of credit is disclosed to the borrower and when the credit agreement can be finalized. For any credit agreement that is not a mortgage loan, the lender must simply provide the initial disclosure statement before the borrower incurs obligations or makes payments related to the credit agreement. There is no mandated cooling-off period. Last reviewed: October 2014