On March 25th the Federal Reserve Board adopted a new rule that expands the coverage of Regulation Z to credit transactions of higher dollar amounts. The final rule amends Regulation Z to implement a provision of the Dodd-Frank Wall Street Reform and Consumer Protection Act. Effective July 21, 2011, the Dodd-Frank Act requires that the protections of the Truth in Lending Act (TILA) apply to consumer credit transactions up to $50,000, compared with $25,000 currently. […]
Month: March 2011
REGULATION Z – NEW FINAL RULES FOR CREDIT CARDS
On March 18th the Federal Reserve Board approved a rule amending Regulation Z (Truth in Lending) to clarify prior rules implementing the Credit Card Accountability Responsibility and Disclosure Act of 2009 (Credit Card Act). The rule enhances protections for consumers who use credit cards and resolves areas of uncertainty so that card issuers fully understand their compliance obligations. The Credit Card Act requires that, before opening a new credit card account or increasing the credit […]
WHAT’S UP WITH LENDING TO SERVICEMEMBERS
There are several laws that regulate lending to servicemembers. Violations of the law can lead to considerable liability and to serious reputation risk (see the discussion about Chase Bank below). Most financial institutions have not been overly concerned about servicemember lending regulations because the federal financial institution regulatory agencies have been asleep at the switch on this issue. Could it be that the slumbering giants are awakening? Office of Servicemember Affairs On January 6, 2011 […]