I reviewed a Home Equity Line of Credit note to replace a roof on a primary dwelling. Material disclosures were provided accurately and the right of rescission was prepared correctly and provided at closing., however Processing funded his initial advance on the line before midnight of the 3rd business day. I cited a violation of 1026.23 c delay of creditors performance. I am getting push back due to the fact that the borrower never rescinded the loan. I asked if she had a written note or even an email from the customer requesting to waive rescission due to a bona fide emergency and was told no. I agreed with the LO that this is an unfixable error and that a new ROR would not change the issue and also informed the LO that this customer has 3 years to rescind this loan.. she is making me second guess myself. Am I correct?

I see nothing wrong with your assessment.

I reviewed a Home Equity Line of Credit ........... I cited a violation of 1026.23 c

You need to look at 1026.15(c).

informed the LO that this customer has 3 years to rescind this loan

I've been thinking about this statement. I think they have 3 years to rescind the initial advance that was made prior to the expiration of the rescission period. Advances made after that date would not IMO be subject to rescission.

Yeah - After a little more thought, I agree Dan and I missed the citation to .23 rather than .15 also.