Comments Invited, by February 28, on Proposed Rule
To All Depository Institutions and Others Concerned in the Second Federal Reserve District:
The following is from a statement by the Board of Governors of the Federal Reserve System:
The Federal Reserve Board has issued for comment proposed revisions to its Regulation Z, which carry out changes to the Truth in Lending Act contained in the Economic Growth and Regulatory Paperwork Reduction Act of 1996.
Comment is requested by February 28, 1997.
The revisions would give creditors the option to either disclose a fifteen-year historical example or to give a statement that the periodic payment may substantially increase or decrease, together with a maximum interest rate and payment based on a $10,000 loan. The proposed changes to the regulation apply to variable-rate loans with more than a one-year maturity and secured by the consumer's principal dwelling.
The text of the Board's proposal, as printed in the Federal Register of February 4, 1997 is available as a (pdf) file. Comments thereon should be submitted by February 28, 1997 and may be sent to the Board, as specified in the notice, or to this Bank's Compliance Examinations Department.