District Circular Letters
November 17, 1999
REGULATION Z:
OFFICIAL STAFF COMMENTARY UPDATE; ADJUSTMENT TO DOLLAR AMOUNT FOR CERTAIN
MORTGAGES; AND REQUEST FOR COMMENT ON BOARD'S PUBLISHING ACTIVITIES
To All Depository Institutions in the Twelfth Federal Reserve District
Regulation Z: Request for Comment on Proposed Revisions to Official
Staff Commentary (R-1050)
The Federal Reserve Board has proposed revisions to the official staff
commentary that applies and interprets the requirements of Regulation
Z, Truth in Lending. The proposed revisions would clarify that short-term
cash advances, commonly called "payday loans," are a form of credit and
are thus subject to Truth in Lending requirements.
Comment is requested by January 10, 2000.
Regulation Z: Annual Adjustment for Mortgage Loans (R-1051)
The Federal Reserve Board has adjusted the dollar amount that triggers
additional disclosure requirements under the Truth in Lending Act for
mortgage loans that bear fees above a certain amount. The dollar amount
has been adjusted from $441 for 1999 to $451 for 2000, based on the annual
percentage change reflected in the Consumer Price Index that was in effect
on June 1, 1999.
The adjustment is effective January 1, 2000.
The Home Ownership and Equity Protection Act of 1994 bars credit terms
such as balloon payments and requires additional disclosures when total
points and fees payable by the consumer exceed $400 (to be adjusted annually)
or 8 percent of the total loan amount, whichever is larger.
The Federal Reserve Board is conducting a review of its publication
activities (R-1049).
As part of this effort, the Board is asking the public to comment on
how the Board's publications are individually and collectively meeting
their information needs and to offer suggestions for improving, possibly
eliminating some publications, or adding new ones. A listing of the Federal
Reserve Board's publications is attached.
Comment is requested by December 17, 1999. Please send
comments to the address on the first page of the attachment.
Copies
Copies of the Board's notice (Docket R-1049,
Docket R-1050 and Docket
R-1051) 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, for Docket R-1049, document number
4165; Docket R-1050, document
number 4163; and for Docket R-1051,
document number 4168. Board notices are also available
via the Federal Reserve Bank of San Francisco's Internet site.
Additional Information
For additional information regarding these matters, please contact our
Banking Supervision and Regulation Department, at (415) 974-2967.
FEDERAL RESERVE BANK OF SAN FRANCISCO
Attachment 1
Attachment 2
Attachment 3
|
