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Question:  The upcoming Christmas Day and New Year’s Day holidays both fall on a Sunday.  How are the LE, CD and rescission timelines treated?

Answer:  

Since Christmas Day and New Year’s Day both fall on a Sunday, the “observed” holiday will be the Monday immediately after each holiday. 

This “observed” day (Monday) is included in the CD and rescission timelines. 

The Precise Definition of a Business Day defined in §1026.2(a)(6), Official Interpretation #2 means all calendar days except Sundays and the 6 floating and 5 fixed legal holidays (New Year’s Day 1/1, Martin Luther King Jr.'s Birthday, Washington's Birthday, Memorial Day, Juneteenth 6/19, Independence Day 7/4, Labor Day, Columbus Day, Veterans Day 11/11, Thanksgiving Day and Christmas Day 12/25). 

•  This rule applies to the delivery timelines of the Closing Disclosure and Right to Cancel.

The “observed” day (Monday) is excluded from the LE timeline IF your company is not open for business on the “observed” day (Monday). 

The General Definition of a Business Day defined in  §1026.2(a)(6) is “any day on which the creditor's offices are open to conduct substantially all of its business functions”.  

• This rule applies to the delivery timelines for the LE and any revised LE.
  
  
  

  Federal Holidays 2023
  Holiday		Actual		Observed
  Christmas Day (2022)		Sunday	12/25/2022	Monday	12/26/2022
  New Year’s Day		Sunday	1/1/2023	Monday	1/2/2023
  Martin Luther King Jr Day		Monday	1/16/2023	Monday	1/16/2023
  Presidents Day		Monday	2/20/2023	Monday	2/20/2023
  Memorial Day		Monday	5/29/2023	Monday	5/29/2023
  Juneteenth		Monday	6/19/2023	Monday	6/19/2023
  Independence Day		Tuesday	7/4/2023	Tuesday	7/4/2023
  Labor Day		Monday	9/4/2023	Monday	9/4/2023
  Columbus Day		Monday	10/9/2023	Monday	10/9/2023
  Veterans Day		Saturday	11/11/2023	Friday	11/10/2023
  Thanksgiving		Thursday	11/23/2023	Thursday	11/23/2023
  Christmas Day		Monday	12/25/2023	Monday	12/25/2023