For how long must mortgage lenders retain records of originated mortgage loans?

Mortgage lenders are required to retain records of originated mortgage loans for a period of three years. This requirement is established to ensure that there is a reliable and accessible history of all transactions for regulatory review and accountability. By keeping these records for three years, lenders can comply with various federal and state regulations, such as those pertaining to the Truth in Lending Act and the Equal Credit Opportunity Act. This retention period allows for a thorough examination of lending practices if needed, providing transparency in the mortgage industry and protecting consumers' rights.

Given this background, the choice indicating a retention period of three years aligns with the regulations and best practices in mortgage lending, reinforcing the importance of documentation and consumer protection in financial transactions.