Cooling-Off Period
Also called: right of rescission, right to cancel, cancellation period
A cooling-off period gives a consumer a fixed window to cancel a contract without penalty — three days on certain US home loans, fourteen on many EU consumer credit and insurance contracts. It exists to defeat pressure selling, which relies on a decision being irreversible. The window usually starts from receipt of the documents rather than the conversation, and it is routinely allowed to lapse unused.