Rescission Calendar Calculator

Rescission Calendar Calculator

Use this calculator to determine the exact end date of your rescission period, accounting for weekends and federal holidays. This is crucial for transactions where you have a right to cancel within a specific number of business days, such as certain mortgage refinances or home equity loans.

Understanding the Right of Rescission

The Right of Rescission is a consumer protection law that allows borrowers to cancel certain types of loans or contracts within a specified period without penalty. This right is most commonly associated with the Truth in Lending Act (TILA), specifically Regulation Z, which grants consumers a three-business-day "cooling-off" period for certain transactions.

What Transactions Are Covered?

Typically, the right of rescission applies to transactions where a lien is placed on a consumer's principal dwelling. Common examples include:

  • Mortgage Refinances: If you refinance your existing mortgage with a new lender, you generally have the right to rescind.
  • Home Equity Loans or Lines of Credit (HELOCs): Loans secured by your home's equity are often subject to rescission.
  • Second Mortgages: New second mortgages on your primary residence.
  • Timeshare Purchases: Many states have rescission periods for timeshare contracts.

It's important to note that the right of rescission generally does NOT apply to purchase money mortgages (when you buy a home) or to refinancing with the same lender if no new money is advanced.

What is a "Business Day"?

For the purpose of rescission, a "business day" is defined as all calendar days except Sundays and the following federal public holidays:

  • New Year's Day (January 1)
  • Martin Luther King, Jr.'s Birthday (Third Monday in January)
  • Washington's Birthday (Third Monday in February)
  • Memorial Day (Last Monday in May)
  • Juneteenth National Independence Day (June 19)
  • Independence Day (July 4)
  • Labor Day (First Monday in September)
  • Columbus Day (Second Monday in October)
  • Veterans Day (November 11)
  • Thanksgiving Day (Fourth Thursday in November)
  • Christmas Day (December 25)

While TILA's definition of a "business day" for rescission purposes technically includes Saturdays, many lenders and legal interpretations treat them as non-business days to provide a more conservative and consumer-friendly rescission period. Our calculator follows this more conservative approach, treating Saturdays as non-business days, along with Sundays and federal holidays, to ensure the longest possible rescission period for the consumer.

How the Calculator Works

This calculator takes your transaction date and the required number of business days for rescission. It then iteratively counts forward, starting from the day *after* your transaction date, skipping Sundays, Saturdays, and recognized federal holidays, until the specified number of business days has passed. The date it lands on is the last day you have to exercise your right to rescind.

Example Calculation

Let's say your transaction date is Monday, July 1, 2024, and you have a 3-business-day rescission period. Here's how the calculator determines the end date:

  1. Transaction Date: Monday, July 1, 2024 (The rescission period begins the day *after* this date).
  2. Day 1: Tuesday, July 2, 2024 (Business Day 1)
  3. Day 2: Wednesday, July 3, 2024 (Business Day 2)
  4. Holiday Check: Thursday, July 4, 2024 is Independence Day (Federal Holiday – skipped)
  5. Day 3: Friday, July 5, 2024 (Business Day 3)

Therefore, the rescission period ends on Friday, July 5, 2024. You would need to send your rescission notice by midnight on that day.

Important Note: Always consult with a legal professional or your lender to confirm the exact rescission period and applicable rules for your specific transaction, as state laws or specific contract terms may vary.

function calculateRescissionDate() { var transactionDateStr = document.getElementById("transactionDate").value; var rescissionDays = parseInt(document.getElementById("rescissionDays").value); var resultDiv = document.getElementById("rescissionResult"); if (!transactionDateStr || isNaN(rescissionDays) || rescissionDays < 1) { resultDiv.innerHTML = "Please enter a valid transaction date and a positive number of business days."; return; } var transactionDate = new Date(transactionDateStr + "T00:00:00"); // Use T00:00:00 to avoid timezone issues if (isNaN(transactionDate.getTime())) { resultDiv.innerHTML = "Invalid transaction date format. Please use YYYY-MM-DD."; return; } var currentDate = new Date(transactionDate); var businessDaysCount = 0; // Define a list of common US federal holidays for 2024 and 2025 // This list can be extended or made dynamic for future years var federalHolidays = [ // 2024 "2024-01-01", // New Year's Day "2024-01-15", // Martin Luther King, Jr. Day (3rd Monday) "2024-02-19", // Washington's Birthday (3rd Monday) "2024-05-27", // Memorial Day (Last Monday) "2024-06-19", // Juneteenth "2024-07-04", // Independence Day "2024-09-02", // Labor Day (1st Monday) "2024-10-14", // Columbus Day (2nd Monday) "2024-11-11", // Veterans Day "2024-11-28", // Thanksgiving Day (4th Thursday) "2024-12-25", // Christmas Day // 2025 "2025-01-01", // New Year's Day "2025-01-20", // Martin Luther King, Jr. Day "2025-02-17", // Washington's Birthday "2025-05-26", // Memorial Day "2025-06-19", // Juneteenth "2025-07-04", // Independence Day "2025-09-01", // Labor Day "2025-10-13", // Columbus Day "2025-11-11", // Veterans Day "2025-11-27", // Thanksgiving Day "2025-12-25" // Christmas Day ]; function isFederalHoliday(date) { var dateString = date.toISOString().slice(0, 10); // YYYY-MM-DD return federalHolidays.includes(dateString); } // The rescission period begins the day *after* the event that triggers the right. // So, we advance one day first to start counting from the correct day. currentDate.setDate(currentDate.getDate() + 1); while (businessDaysCount < rescissionDays) { var dayOfWeek = currentDate.getDay(); // 0 = Sunday, 6 = Saturday // Check if it's not a Sunday (0), not a Saturday (6), and not a federal holiday if (dayOfWeek !== 0 && dayOfWeek !== 6 && !isFederalHoliday(currentDate)) { businessDaysCount++; } // Only advance the date if more business days are needed // This ensures currentDate holds the final rescission end date if (businessDaysCount < rescissionDays) { currentDate.setDate(currentDate.getDate() + 1); } } var options = { weekday: 'long', year: 'numeric', month: 'long', day: 'numeric' }; var rescissionEndDate = currentDate.toLocaleDateString('en-US', options); resultDiv.innerHTML = "The rescission period ends on: " + rescissionEndDate + "" + "You must exercise your right to rescind by midnight on this date."; } // Set a default date for convenience (today's date) document.addEventListener('DOMContentLoaded', function() { var today = new Date(); var dd = String(today.getDate()).padStart(2, '0'); var mm = String(today.getMonth() + 1).padStart(2, '0'); //January is 0! var yyyy = today.getFullYear(); document.getElementById('transactionDate').value = yyyy + '-' + mm + '-' + dd; });

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