|For immediate release|
The Federal Reserve Board today published proposed amendments to Regulation Z, Truth in Lending, revising the disclosure requirements for credit and charge card solicitations and applications.
Comment is requested by July 18, 2000.
Under Regulation Z, direct mail and other applications and solicitations to open card accounts must disclose the annual percentage rate (APR) and other cost information, generally in the form of a table. The proposed amendments are intended to make the disclosure more noticeable and easier to understand.
The APR for purchase transactions would be subject to a minimum type-size requirement. The requirement that disclosures be "clear and conspicuous" would be more strictly construed. The proposed revisions also would provide additional guidance on the requirement that the table be prominently located, and on the level of detail about cost information required or permitted in the table.
The Board's notice is attached.
2000 Banking and consumer regulatory policy