For immediate release

The Federal Reserve Board announced today that the Consumer Advisory Council will hold its next meeting on Thursday, October 30. The meeting will be held in Terrace Room E of the Martin Building. The session will begin at 9 a.m. and is open to the public. The Council's function is to advise the Board on the exercise of the Board's responsibilities under the Consumer Credit Protection Act and on other matters on which the Board seeks its advice. Time permitting, the Council will discuss the following topics: Special Rules Under Regulation E (Electronic Fund Transfers) Potential Modifications to the Home Ownership Equity Protection Act (HOEPA) Streamlining the Truth in Lending Act and the Real Estate Settlement Procedures Act (TILA/RESPA) CRA Implementation�Small Business, Farm, and Community Development Lending Reports by committees and other matters previously considered by the Council or initiated by the Council members may also be discussed. The Board invites comment from the public on any of these matters. The Board's notice is attached.

FEDERAL RESERVE SYSTEM Consumer Advisory Council Notice of Meeting of Consumer Advisory Council The Consumer Advisory Council will meet on Thursday, October 30. The meeting, which will be open to public observation, will take place at the Federal Reserve Board's offices in Washington, D.C., in Terrace Room E of the Martin Building. The meeting will begin at 9:00 a.m. and is expected to continue until 4:00 p.m., with a lunch break from 12:30 p.m. until 2:00 p.m. The Martin Building is located on C Street, Northwest, between 20th and 21st Streets in Washington, D.C. The Council's function is to advise the Board on the exercise of the Board's responsibilities under the Consumer Credit Protection Act and on other matters on which the Board seeks its advice. Time permitting, the Council will discuss the following topics: Special Rules Under Regulation E (Electronic Fund Transfers) The Depository and Delivery Systems Committee will lead a discussion about whether special rules are needed under Regulation E for basic banking accounts established by financial institutions to provide electronic delivery of federal benefits to individuals who currently do not maintain deposit accounts; and if there is a perceived need, what characteristics should qualify an account for special treatment. Home Ownership Equity Protection Act (HOEPA) The Consumer Credit Committee will lead a discussion of potential recommendations for modifying the HOEPA provisions of the Truth in Lending Act. HOEPA is designed to protect borrowers entering into high-cost home-secured loans. The Council discussion will focus on changes to achieve the act's purpose more effectively, such as by imposing further restrictions to discourage abusive creditor or broker practices, providing more effective enforcement tools to ensure compliance and protect the consumer, and reducing the complexity of the fees test used to determine which loans are covered. Streamlining the Truth in Lending Act and the Real Estate Settlement Procedures Act (TILA/RESPA) To assist in the process now under way for reforming requirements under the TILA/RESPA laws, the Consumer Credit Committee will lead a discussion about the information that consumers need and should receive about costs when seeking a mortgage loan. The discussion will include an assessment of the usefulness of disclosing the cost of credit as an APR (annual percentage rate) and will consider alternative cost disclosures. It will also address timing: when should the information be provided to be of most benefit to consumers. CRA Implementation�Small Business, Farm, and Community Development Lending The Bank Regulations Committee will lead a discussion regarding the ongoing implementation of the revised Community Reinvestment Act regulations. In particular, attention will focus on the CRA data for 1996 (which were made public recently) regarding small business, farm, and community development lending by large commercial banks and thrift institutions. The Committee also will discuss examination data for small and large banks and interagency responses to questions of interpretation that have arisen under the revised CRA rules. Open Session�Emerging Issues Council members will report on emerging issues or trends that may have potential impact on the Board's role in providing consumer protection, or on other matters of interest. Governor's Report Reserve Board Member Laurence H. Meyer will report on economic conditions, recent Board initiatives, and issues of concern, with an opportunity for questions from Council members. Committee Reports Committees will report on their Committee work and discussions. Other matters previously considered by the Council or initiated by Council members also may be discussed. Persons wishing to submit views to the Council regarding any of the above topics may do so by sending written statements to Deanna Aday-Keller, Secretary, Consumer Advisory Council, Division of Consumer and Community Affairs, Board of Governors of the Federal Reserve System, Washington, DC 20551. Information about this meeting may be obtained from Ms. Aday-Keller, 202-452-6470. Telecommunications Device for the Deaf (TDD) users may contact Diane Jenkins, 202-452-3544. Board of Governors of the Federal Reserve System, October 10, 1997. (signed) William W. Wiles William W. Wiles Secretary of the Board

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