District Circular Letters
October 7, 1998
REGULATION C:
HOME MORTGAGE DISCLOSURE ACT
REGULATION E:
ELECTRONIC FUND TRANSFERS
REGULATION DD:
TRUTH IN SAVINGS ACT
REGULATION M:
CONSUMER LEASING ACT
To State Member Banks, Bank Holding Companies,
U.S. Branches and Agencies
of Foreign Banking Organizations, and Others Concerned
in the Twelfth Federal Reserve District
Regulation C: Final Rule Amending Home Mortgage Disclosure Act
(Docket
R-0999)
The Federal Reserve Board has published a final rule amending Regulation
C, Home Mortgage Disclosure. The rule requires a lender to report dates
on the loan-application register using four digits for the year, rather
than two, to bring HMDA reporting into compliance with Year 2000 data
system standards.
Other amendments make several technical changes to the regulation, including
clarifying the coverage of nondepository institutions and deleting the
requirement to provide the name and address of the reporting institution's
parent company on the transmittal sheet.
This rule is effective September 24, 1998 and is based
on a proposal issued for public comment in February (see our letter dated
February 27, 1998). The amendments apply to data collected for calendar
year 1998, to be reported by March 1, 1999.
Regulation E: Final Rule Revising Time Periods for Investigation
of Errors Involving Debit Cards, Foreign Transactions, and New Accounts
(Docket
R-1007 )
The Federal Reserve Board has published a final rule amending Regulation
E, Electronic Fund Transfers, to revise the time periods for investigating
errors involving point-of-sale (POS) debit cards, foreign transactions,
and new accounts.
- For POS and foreign transactions, the rule requires a financial institution
to provisionally credit an account within ten business days (rather
than twenty) and leaves in place the ninety calendar day period to complete
the investigation.
- For new accounts, the rule allows a financial institution 20 business
days to resolve an alleged error before it must provisionally credit
the consumer's account and up to 90 calendar days to complete the investigation.
This rule is effective September 24, 1998 and is based
on proposals issued for public comment in March 1998 and May 1996 (see
our letters dated March 24, 1998 and May 6, 1996). Compliance
is optional until April 1, 1999.
Regulation DD: Final Rule Amending Truth in Savings Act (Docket
R-1003) and Regulation M: Final Rule Amending Consumer Leasing
Act (Docket
R-1004)
The Board has also published final amendments to Regulation DD, Truth
in Savings, and Regulation M, Consumer Leasing. The revisions to Regulation
DD implement minor changes to the Truth in Savings Act concerning lobby
signs and certain disclosures for automatically renewable time accounts,
such as certificates of deposit. This rule is effective September
24, 1998.
The Regulation M revisions clarify rules on lease payments, advertisements,
and rounding calculations. This rule is effective September 24,
1998. These revisions are based on proposals issued for public
comment in March (see our letter dated March 24, 1998). This letter also
described proposals to allow institutions to provide Regulation B (Equal
Credit Opportunity), M (Consumer Leasing), Z (Truth in Lending), and DD
(Truth in Savings) disclosures electronically. The Board anticipates further
action on these proposals by year-end. Compliance is optional until October
1, 1999.
Copies
Copies of the Board's notices (Docket
R-0999, Docket
R-1003, Docket R-1004, and Docket R-1007) are available from
our Corporate Services Department. To request copies to be sent via mail,
please call (415) 974-2748. To request copies to be sent
via fax, please call (415) 974-3333, and specify document
numbers 4114, 4255, 4253, and 4187, respectively.
Additional Information
For additional information regarding these matters, please contact our Banking
Supervision and Regulation Department, at (415) 974-2967
[for Regulations C, E, and M] and (415) 974-2966 [for Regulation
DD].
FEDERAL RESERVE BANK OF SAN FRANCISCO
|
