[jholzknecht]

Under the Military Lending Act a creditor shall provide to the covered borrower the following information before or at the time the borrower becomes obligated on the transaction or establishes an account for the consumer credit:
(1) A statement of the MAPR applicable to the extension of consumer credit;
(2) Any disclosure required by Regulation Z, which shall be provided only in accordance with the requirements of Regulation Z that apply to that disclosure; and
(3) A clear description of the payment obligation of the covered borrower, as applicable. A payment schedule (in the case of closed-end credit) or account-opening disclosure (in the case of open-end credit) provided pursuant to paragraph (a)(2) of this section satisfies this requirement.

The disclosures, items (1) and (3) above, but not item (2), must be provided:
• In writing in a form the covered borrower can keep; AND
• Orally.

Sending the disclosure by email will suffice for the written disclosure. If you then call the borrower the transaction is toll-free for the borrower. However, the regulation specifically states the oral disclosure, if not provided in person, must be provided through a toll-free telephone number when the covered borrower contacts the creditor for this purpose. Your proposed action is questionable since you would be contacting the borrower, instead of the borrower contacting you, as required by the regulation.

This is a minor point but could lead to a violation.

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