A loan estimate must be provided to a borrower within how many days of a loan application?

The requirement for providing a loan estimate is specifically set at a three-day timeframe after the borrower submits a loan application. This regulation is part of the TILA-RESPA Integrated Disclosure (TRID) rule that aims to ensure borrowers have the information they need to understand the terms of the mortgage they are applying for. The three-day period provides sufficient time for lenders to prepare a detailed loan estimate, which includes critical information such as loan terms, projected payments, and associated costs. This transparency is crucial for enabling borrowers to make informed decisions about their mortgage options and shopping among different lenders effectively.

In this context, the other options do not align with the regulatory standards. A one-day timeframe would be too short for lenders to accurately prepare the necessary documents. Options for five and seven days exceed the mandated period, failing to prioritize timely communication with borrowers. Hence, the correct answer reinforces the importance of prompt disclosure in the lending process.