April 1, 2011

NEW RULES UNDER TRUTH IN LENDING AND CONSUMER LEASING ACT

On Friday, March 25, 2011, the Federal Reserve Board adopted two rules that will expand the coverage of credit transactions and leases under Regulation Z (Truth in Lending) and Regulation M (Consumer Leasing). The final rules implement a provision of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the Act). Effective July 21, 2011, the Act requires that the protections of the Truth in Lending Act (TILA) and the Consumer Leasing Act (CLA) apply to consumer credit transactions and consumer leases up to $50,000, compared with $25,000 currently.  This amount will be adjusted annually based on the consumer price index.

For questions on the impact of these rules please contact the expert listed below at (800) 270-9629. To receive banking updates from PYA on Twitter, click here

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