DOLLAR ADJUSTMENTS TO REGULATIONS Z AND M

The Dodd-Frank Act amended The Truth in Lending Act (TILA) by requiring that the dollar threshold for exempt consumer credit transactions be adjusted annually by the annual percentage increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). If there is no annual percentage increase in the CPI-W, the exemption threshold from the prior year is not adjusted. The Dodd-Frank Act requires similar adjustments in the Consumer Leasing Act’s threshold for exempt consumer leases. TILA establishes special appraisal requirements for “higher-priced mortgage loans.” The regulations implementing these requirements exempted transactions of $25,000 or less and required that this loan amount be adjusted annually based on any annual percentage increase in the CPI-W. Read More