Which law mandates that borrowers receive a Home Loan Toolkit?

The Dodd-Frank Act establishes important protections and regulations in the mortgage lending industry, including the requirement for borrowers to receive a Home Loan Toolkit. This toolkit is designed to help consumers understand the mortgage process, make informed choices when obtaining a loan, and ultimately promote transparency and fairness in the lending process. By requiring lenders to provide this toolkit, the Dodd-Frank Act aims to empower borrowers with the knowledge they need to navigate their mortgage options effectively.

The other options relate to different aspects of lending and consumer protection. The Home Mortgage Disclosure Act (HMDA) focuses on preventing discrimination and ensuring transparency in lending data. The Equal Credit Opportunity Act (ECOA) prohibits discrimination in credit transactions based on certain characteristics. The Mortgage Reform Act primarily addresses reforms in mortgage lending practices but does not specifically mandate the provision of a Home Loan Toolkit.