WASHINGTON (9/11/14)--The Federal Reserve Board and the Consumer Financial Protection Bureau (CFPB) jointly announced the annual adjustment to the dollar thresholds in Regulation Z and Regulation M for exempt consumer credit and lease transactions.
Regulation Z implements the Truth in Lending Act (TILA) and Regulation M implements the Consumer Leasing Act (CLA).
The TILA and CLA protections will apply to consumer credit transactions and consumer leases of $54,600 or less in 2015. This is an increase of $1,100 from the 2014 threshold. Private education loans and loans secured by real property, such as mortgages, are subject to TILA regardless of the amount of the loan.
The adjustments to the thresholds will take effect Jan. 1, 2015, and will reflect the annual percentage increase in the consumer price index as of June 1, 2014.
The Dodd-Frank Act amended TILA and CLA, requiring annual adjustments to the thresholds. The adjustments are made by the annual percentage increase in the consumer price index for urban wage earners and clerical workers. Transactions at or below the thresholds are subject to the protections of the regulations.
Use the resource links below to access the notices as they will appear in the Federal Register.