80 FR 56895 - Truth in Lending (Regulation Z) Annual Threshold Adjustments (CARD ACT, HOEPA and ATR/QM)
BUREAU OF CONSUMER FINANCIAL PROTECTION Federal Register Volume 80, Issue 182 (September 21, 2015)
Federal Register Volume 80, Issue 182 (September 21, 2015)
| Page Range | 56895-56898 | |
| FR Document | 2015-22987 |
[Federal Register Volume 80, Number 182 (Monday, September 21, 2015)] [Rules and Regulations] [Pages 56895-56898] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2015-22987] ======================================================================= ----------------------------------------------------------------------- BUREAU OF CONSUMER FINANCIAL PROTECTION 12 CFR Part 1026 Truth in Lending (Regulation Z) Annual Threshold Adjustments (CARD ACT, HOEPA and ATR/QM) AGENCY: Bureau of Consumer Financial Protection. ACTION: Final rule; official interpretation. ----------------------------------------------------------------------- SUMMARY: The Bureau of Consumer Financial Protection (Bureau) is issuing this final rule amending the regulatory text and official interpretations for Regulation Z, which implements the Truth in Lending Act (TILA). The Bureau is required to calculate annually the dollar amounts for several provisions in Regulation Z; this final rule reviews the dollar amounts for provisions implementing amendments to TILA under the Credit Card Accountability Responsibility and Disclosure Act of 2009 (CARD Act), the Home Ownership and Equity Protection Act of 1994 (HOEPA), and the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act). These amounts are adjusted, where [[Page 56896]] appropriate, based on the annual percentage change reflected in the Consumer Price Index in effect on June 1, 2015. The minimum interest charge disclosure thresholds will remain unchanged in 2016. DATES: This final rule is effective January 1, 2016. FOR FURTHER INFORMATION CONTACT: James Wylie, Counsel, Office of Regulations, Consumer Financial Protection Bureau, 1700 G Street NW., Washington, DC 20552 at (202) 435-7700. SUPPLEMENTARY INFORMATION: The Bureau is amending the regulatory text and official interpretations for Regulation Z, which implements TILA, to update the dollar amounts of various thresholds that are adjusted annually based on the annual percentage change in the Consumer Price Index. The adjusted dollar amount for the penalty fees safe harbor in 2016 is $27 for a first late payment and $37 for each subsequent violation within the following six months. For HOEPA loans, the adjusted total loan amount threshold is $20,350, effective January 1, 2016. The adjusted statutory fee trigger for HOEPA loans is $1,017, effective January 1, 2016. Effective January 1, 2016, for the purpose of a creditor's determination of a consumer's ability to repay a transaction secured by a dwelling, a covered transaction is not a qualified mortgage unless the transaction's total points and fees do not exceed 3 percent of the total loan amount for a loan greater than or equal to $101,749; $3,052 for a loan amount greater than or equal to $61,050 but less than $101,749; 5 percent of the total loan amount for a loan greater than or equal to $20,350 but less than $61,050; $1,017 for a loan amount greater than or equal to $12,719 but less than $20,350; and 8 percent of the total loan amount for a loan amount less than $12,719. I. Background A. CARD Act Annual Adjustments In 2010, the Board of Governors of the Federal Reserve System (Board) published amendments to Regulation Z implementing the CARD Act, which amended TILA. Pub. L. 111-24, 123 Stat. 1734 (2009). Pursuant to the CARD Act, the Board's Regulation Z amendments established new requirements with respect to open-end consumer credit plans, including requirements for the disclosure of minimum interest charge amounts and the establishment of a safe harbor provision allowing card issuers to impose penalty fees for violating account terms without violating the restrictions on penalty fees established by the CARD Act. See 75 FR 7658, 7799 (Feb. 22, 2010) and 75 FR 37526, 37527 (June 29, 2010). The final rule issued by the Board required that these thresholds be calculated annually using the Consumer Price Index as published by the Bureau of Labor Statistics (BLS).\1\ --------------------------------------------------------------------------- \1\ The responsibility for promulgating rules under TILA was generally transferred from the Board to the Bureau effective July 21, 2011. The Bureau restated Regulation Z on December 22, 2011, and the Bureau's Regulation Z is located at 12 CFR part 1026. 76 FR 79768 (Dec. 22, 2011). See sections 1061 and 1100A of the Dodd-Frank Act, Public Law 111-203, 124 Stat. 1376 (2010). Section 1029 of the Dodd-Frank Act excludes from this transfer of authority, subject to certain exceptions, any rulemaking authority over a motor vehicle dealer that is predominantly engaged in the sale and servicing of motor vehicles, the leasing and servicing of motor vehicles, or both. --------------------------------------------------------------------------- Minimum Interest Charge Disclosure Thresholds Sections 1026.6(b)(2)(iii) and 1026.60(b)(3) of the Bureau's Regulation Z provide that the minimum interest charge thresholds will be re-calculated annually using the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) that was in effect on the preceding June 1. When the cumulative change in the adjusted minimum value derived from applying the annual CPI-W level to the current amounts in Sec. Sec. 1026.6(b)(2)(iii) and 1026.60(b)(3) has decreased by a whole dollar, the minimum interest charge amounts set forth in the regulation will be decreased by $1.00. This adjustment is based on the CPI-W index in effect on June 1, 2015, which was reported on May 22, 2015. The BLS publishes consumer-based indices monthly, but does not report a CPI change on June 1; adjustments are reported in the middle of the month. The CPI-W is a subset of the CPI-U index (based on all urban consumers) and represents approximately 28 percent of the U.S. population. The adjustment reflects a 0.8 percent decrease in the CPI-W from April 2014 to April 2015 and is rounded to the nearest $1 increment. This decrease in the CPI-W when applied to the current amounts in Sec. Sec. 1026.6(b)(2)(iii) and 1026.60(b)(3) did not trigger a decrease in the minimum interest charge threshold of at least $1.00, and therefore the Bureau is not amending Sec. Sec. 1026.6(b)(2)(iii) and 1026.60(b)(3). Penalty Fees Safe Harbor The Bureau's Regulation Z provides that the safe harbor provision which establishes the permissible fee thresholds in Sec. 1026.52(b)(1)(ii)(A) and (B) will be re-calculated annually using the CPI-W that was in effect on the preceding June 1. The BLS publishes consumer-based indices monthly, but does not report a CPI change on June 1; adjustments are reported in the middle of the month. This adjustment is based on the CPI-W index in effect on June 1, 2015, which was reported on May 22, 2015. The CPI-W is a subset of the CPI-U index (based on all urban consumers) and represents approximately 28 percent of the U.S. population. When the cumulative change in the adjusted minimum value derived from applying the annual CPI-W level to the current amounts in Sec. 1026.52(b)(1)(ii)(A) and (B) has risen by a whole dollar, those amounts will be increased by $1.00. Similarly, when the cumulative change in the adjusted minimum value derived from applying the annual CPI-W level to the current amounts in Sec. 1026.52(b)(1)(ii)(A) and (B) has decreased by a whole dollar, those amounts will be decreased by $1.00. See comment 52(b)(1)(ii)-2. The adjustment to the permissible fee thresholds being adopted here reflects a 0.8 percent decrease in the CPI-W from April 2014 to April 2015 and is rounded to the nearest $1 increment. B. HOEPA Annual Threshold Adjustments On January 10, 2013, the Bureau issued a final rule pursuant to, inter alia, section 1431 of the Dodd-Frank Act, which revised the loan amount threshold for HOEPA loans. 78 FR 6856 (Jan. 31, 2013) (2013 HOEPA Final Rule). The 2013 HOEPA Final Rule adjusted the dollar amount threshold used in connection with calculating whether a transaction meets the percentage point thresholds in the points and fees coverage test to $20,000. Specifically, under Sec. 1026.32(a)(1)(ii)(A) and (B), when determining whether a transaction is a high cost mortgage, the determination of the applicable points and fees coverage test is based upon whether the total loan amount is for more or less than $20,000. The HOEPA 2013 Final Rule provides that this threshold amount be recalculated annually and the Bureau uses the Consumer Price Index for All Urban Consumers (CPI-U) index, as published by the BLS, as the index for adjusting the $20,000 figure. The CPI-U is based on all urban consumers and represents approximately 88 percent of the U.S. population. The BLS publishes consumer-based indices monthly, but does not report a CPI change on June 1; adjustments are reported in the middle of each month. The adjustment to the CPI-U index reported by BLS on May 22, 2015, was the CPI-U index in effect [[Page 56897]] on June 1, and reflects the percentage change from April 2014 to April 2015. The adjustment to the $20,000 figure being adopted here reflects a 0.2 percent decrease in the CPI-U index for this period and is rounded to whole dollars for ease of compliance. Pursuant to section 1431 of the Dodd-Frank Act and Sec. 1026.32(a)(1)(ii)(B) as amended by the 2013 HOEPA Final Rule, implementation of the 2013 HOEPA Final Rule also changed the HOEPA fee trigger to $1,000. The HOEPA 2013 Final Rule provides that this threshold amount will be recalculated annually and the Bureau uses the CPI-U index, as published by the BLS, as the index for adjusting the $1,000 figure. The adjustment to the CPI-U index reported by BLS on May 22, 2015, was the CPI-U index in effect on June 1, and reflects the percentage change from April 2014 to April 2015. The adjustment to the $1,000 figure being adopted here reflects a 0.2 percent decrease in the CPI-U index for this period and is rounded to whole dollars for ease of compliance. C. Ability To Repay and Qualified Mortgages Annual Threshold Adjustments On January 10, 2013, the Bureau issued a final rule pursuant to, inter alia, sections 1411 and 1412 of the Dodd-Frank Act, which implemented laws requiring mortgage lenders to consider a consumer's ability to repay home loans before extending them credit. 78 FR 6407 (Jan. 31, 2013) (2013 ATR/QM Final Rule). The 2013 ATR/QM Final Rule established the points and fees limits that a loan must not exceed in order to satisfy the requirements for a qualified mortgage. Specifically, a covered transaction is not a qualified mortgage unless the transaction's points and fees do not exceed 3 percent of the total loan amount for a loan amount greater than or equal to $100,000; $3,000 for a loan amount greater than or equal to $60,000 but less than $100,000; 5 percent of the total loan amount for loans greater than or equal to $20,000 but less than $60,000; $1,000 for a loan amount greater than or equal to $12,500 but less than $20,000; and 8 percent of the total loan amount for loans less than $12,500. The 2013 ATR/QM Final Rule provides that the limits and loan amounts in 1026.43(e)(3)(i) be recalculated annually for inflation and the Bureau uses the Consumer Price Index for All Urban Consumers (CPI-U) index, as published by the BLS, as the index for adjusting the figures. The CPI-U is based on all urban consumers and represents approximately 88 percent of the U.S. population. The BLS publishes consumer-based indices monthly, but does not report a CPI change on June 1; adjustments are reported in the middle of each month. The adjustment to the CPI-U index reported by BLS on May 22, 2015, was the CPI-U index in effect on June 1, and reflects the percentage change from April 2014 to April 2015. The adjustment to the figures being adopted here reflects a 0.2 percent decrease in the CPI-U index for this period and is rounded to whole dollars for ease of compliance. II. Adjustment and Commentary Revision A. CARD Act Annual Adjustments Minimum Interest Charge Disclosure Thresholds--Sec. Sec. 1026.6(b)(2)(iii) and 1026.60(b)(3) The minimum interest charge amounts for Sec. Sec. 1026.6(b)(2)(iii) and 1026.60(b)(3) will remain unchanged for the year 2016. Accordingly, the Bureau is not amending these sections. Penalty Fees Safe Harbor--Sec. 1026.52(b)(1)(ii)(A) and (B) Effective January 1, 2016, the permissible fee threshold amounts are $27 for Sec. 1026.52(b)(1)(ii)(A) and $37 for Sec. 1026.52(b)(1)(ii)(B). The $27 amount provided for in Sec. 1026.52(b)(1)(ii)(A) did not change based on the decrease in CPI-W, but the amount provided for in Sec. 1026.52(b)(1)(ii)(B) did decrease by one dollar. Accordingly, the Bureau is revising Sec. 1026.52(b)(1)(ii)(B) to state that the fee imposed for violating the terms or other requirements of an account shall not exceed $37. The Bureau is also amending comment 52(b)(1)(ii)-2.i to preserve a list of the historical thresholds for this provision. B. HOEPA Annual Threshold Adjustment--Comments 32(a)(1)(ii)-1 and -3 Effective January 1, 2016, for purposes of determining the total loan amount threshold that determines whether a transaction is a high cost mortgage when the points and fees are either 5 percent or 8 percent \2\ is $20,350. Comment 32(a)(1)(ii)-3, which lists the adjustments for each year, is amended to reflect the new dollar threshold amount for 2016. --------------------------------------------------------------------------- \2\ Or $1,017, whichever is lesser. See the adjustment of the amount below for additional discussion. --------------------------------------------------------------------------- Effective January 1, 2016, for purposes of determining whether a consumer credit transaction that is secured by a consumer's principal dwelling and is not otherwise exempt is covered by Sec. 1026.32 (based on the total points and fees payable by the consumer at consummation), a loan is covered if the points and fees exceed $1,017 or 8 percent of the total loan amount, whichever is lower. Comment 32(a)(1)(ii)-1, which lists the adjustments for each year, is amended to reflect the new dollar threshold amount for 2016. C. Ability To Repay and Qualified Mortgages Annual Threshold Adjustments Effective January 1, 2016, for purposes of determining whether a covered transaction is a qualified mortgage, a covered transaction is not a qualified mortgage unless the transaction's total points and fees do not exceed 3 percent of the total loan amount for a loan amount greater than or equal to $101,749; $3,052 for a loan amount greater than or equal to $61,050 but less than $101,749; 5 percent of the total loan amount for loans greater than or equal to $20,350 but less than $61,050; $1,017 for a loan amount greater than or equal to $12,719 but less than $20,350, and 8 percent of the total loan amount for loans less than $12,719. Comment 43(e)(3)(ii)-1, which lists the adjustments for each year, is amended to reflect the new dollar threshold amounts for 2016. III. Procedural Requirements A. Administrative Procedure Act Under the Administrative Procedure Act (APA), notice and opportunity for public comment are not required if the Bureau finds that notice and public comment are impracticable, unnecessary, or contrary to the public interest. 5 U.S.C. 553(b)(B). Pursuant to this final rule in Regulation Z, Sec. 1026.52(b)(1)(ii)(B) in subpart E is amended and comments 32(a)(1)(ii)-3.ii, 43(e)(3)(ii)-1.ii, 52(b)(1)(ii)-2.i.C in supplement I are added to update the exemption thresholds. The amendments in this final rule are technical and non- discretionary, and they merely apply the method previously established in Regulation Z for determining adjustments to the thresholds. For these reasons, the Bureau has determined that publishing a notice of proposed rulemaking and providing opportunity for public comment are unnecessary. Therefore, the amendments are adopted in final form. B. Regulatory Flexibility Act Because no notice of proposed rulemaking is required, the Regulatory Flexibility Act does not require an [[Page 56898]] initial or final regulatory flexibility analysis. 5 U.S.C. 603(a), 604(a). C. Paperwork Reduction Act In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 3506; 5 CFR 1320), the Bureau reviewed this final rule. No collections of information pursuant to the Paperwork Reduction Act are contained in the final rule. List of Subjects in 12 CFR Part 1026 Advertising, Consumer protection, Credit, Credit unions, Mortgages, National banks, Reporting and recordkeeping requirements, Savings associations, Truth in lending. Authority and Issuance For the reasons set forth in the preamble, the Bureau amends Regulation Z, 12 CFR part 1026, as set forth below: PART 1026--TRUTH IN LENDING (REGULATION Z) 0 1. The authority citation for part 1026 continues to read as follows: Authority: 12 U.S.C. 2601, 2603-2605, 2607, 2609, 2617, 3353, 5511, 5512, 5532, 5581; 15 U.S.C. 1601 et seq. Subpart G--Special Rules Applicable to Credit Card Accounts and Open End Credit Offered to College Students 0 2. Section 1026.52(b)(1)(ii)(B) is revised to read as follows: Sec. 1026.52 Limitations on fees. * * * * * (b) * * * (1) * * * (ii) * * * (B) $37 if the card issuer previously imposed a fee pursuant to paragraph (b)(1)(ii)(A) of this section for a violation of the same type that occurred during the same billing cycle or one of the next six billing cycles; or * * * * * 0 3. In Supplement I to part 1026--Official Interpretations: 0 A. Under subpart E, Under Section 1026.32--Requirements for Certain Closed-End Home Mortgages, 32(a) Coverage, Paragraph 32(a)(1)(ii), paragraph 1.ii is added. 0 B. Under subpart E, Under Section 1026.32--Requirements for Certain Closed-End Home Mortgages, 32(a) Coverage, Paragraph 32(a)(1)(ii), paragraph 3.ii is added. 0 C. Under subpart E, Under Section 1026.43--Minimum Standards for Transactions Secured by a Dwelling, 43(e) Qualified Mortgages, Paragraph 43(e)(3)(ii), paragraph 1.ii is added. 0 D. Under subpart G, Under Section 1026.52--Limitations on Fees, 52(b) Limitations on Penalty Fees, 52(b)(1)(ii) Safe Harbors, subheading i, paragraph 2.i.C is added. The additions read as follows: SUPPLEMENT I TO PART 1026--OFFICIAL INTERPRETATIONS * * * * * Subpart E--Special Rules for Certain Home Mortgage Transactions * * * * * Section 1026.32--Requirements for Certain Closed-End Home Mortgages 32(a) Coverage. Paragraph 32(a)(1)(ii). 1. * * * ii. For 2016, $1,017, reflecting a .2 percent decrease in the CPI-U from June 2014 to June 2015, rounded to the nearest whole dollar. * * * * * 3. * * * ii. For 2016, $20,350, reflecting a .2 percent decrease in the CPI-U from June 2014 to June 2015, rounded to the nearest whole dollar. * * * * * Section 1026.43--Minimum Standards for Transactions Secured by a Dwelling * * * * * 43(e)(3) Limits on Points and Fees for Qualified Mortgages * * * * * Paragraph 43(e)(3)(ii) 1. * * * ii. For 2016, reflecting a .2 percent decrease in the CPI-U that was reported on the preceding June 1, a covered transaction is not a qualified mortgage unless the transactions total points and fees do not exceed; A. For a loan amount greater than or equal to $101,749: 3 percent of the total loan amount; B. For a loan amount greater than or equal to $61,050 but less than $101,749: $3,052; C. For a loan amount greater than or equal to $20,350 but less than $61,050: 5 percent of the total loan amount; D. For a loan amount greater than or equal to $12,719 but less than $20,350; $1,017; E. For a loan amount less than $12,719: 8 percent of the total loan amount. * * * * * Subpart G--Special Rules Applicable to Credit Card Accounts and Open- End Credit Offered to College Students Section 1026.52--Limitations on Fees * * * * * 52(b)(1)(ii) Safe harbors * * * * * 2. * * * i. * * * C. Card issuers were permitted to impose a fee for violating the terms of an agreement if the fee did not exceed $27 under Sec. 1026.52(b)(1)(ii)(A) and $38 under Sec. 1026.52(b)(1)(ii)(B), through December 31, 2015. * * * * * Dated: August 17, 2015. Richard Cordray, Director, Bureau of Consumer Financial Protection. [FR Doc. 2015-22987 Filed 9-18-15; 8:45 am] BILLING CODE 4810-AM-P
![Federal Register / Vol. 80, No. 182 / Monday, September 21, 2015 / Rules and Regulations 56895
This rule corrects in 10 CFR 431.97, § 431.97 Energy efficiency standards and efficiency standard level(s) set forth in
paragraph (c) all references to Table 4 their compliance dates. Table 5 of this section. Each standard
and Table 5 to read as Table 5 and Table * * * * * size PTHP manufactured on or after
6, respectively. The effective date for (c) Each non-standard size packaged October 8, 2012 must meet the
this rule is September 21, 2015. terminal air conditioner (PTAC) and applicable minimum energy efficiency
packaged terminal heat pump (PTHP) standard level(s) set forth in Table 5 of
Correction manufactured on or after October 7, this section. Each standard size PTAC
In FR Doc. 2015–16897, published in 2010 must meet the applicable manufactured on or after January 1,
the issue of Tuesday, July 21, 2015 (80 minimum energy efficiency standard
FR 43162), on page 43212, in the second 2017 must meet the applicable
level(s) set forth in Table 5 of this
column, amendatory instruction 2 is minimum energy efficiency standard
section. Each standard size PTAC
corrected to read as follows: level(s) set forth in Table 6 of this
manufactured on or after October 8,
■ 2. Amend § 431.97 by revising 2012, and before January 1, 2017 must section.
paragraph (c) to read as follows: meet the applicable minimum energy
TABLE 5 TO § 431.97—MINIMUM EFFICIENCY STANDARDS FOR PTAC AND PTHP
Compliance date: products
Equipment Category Cooling capacity Efficiency level manufactured on and after
type . . .
PTAC ............. Standard Size ............ <7,000 Btu/h .................................. EER = 11.7 .................................... October 8, 2012.2
≥7,000 Btu/h and ≤15,000 Btu/h .... EER = 13.8¥(0.3 × Cap 1) ............ October 8, 2012.2
>15,000 Btu/h ................................ EER = 9.3 ...................................... October 8, 2012.2
Non-Standard Size .... <7,000 Btu/h .................................. EER = 9.4 ...................................... October 7, 2010.
≥7,000 Btu/h and ≤15,000 Btu/h .... EER = 10.9¥(0.213 × Cap 1) ........ October 7, 2010.
>15,000 Btu/h ................................ EER = 7.7 ...................................... October 7, 2010.
PTHP ............. Standard Size ............ <7,000 Btu/h .................................. EER = 11.9 .................................... October 8, 2012.
COP = 3.3
≥7,000 Btu/h and ≤15,000 Btu/h .... EER = 14.0¥(0.3 × Cap 1) ............ October 8, 2012.
COP = 3.7¥(0.052 × Cap 1)
>15,000 Btu/h ................................ EER = 9.5 ...................................... October 8, 2012.
COP = 2.9
Non-Standard Size .... <7,000 Btu/h .................................. EER = 9.3 ...................................... October 7, 2010.
COP = 2.7
≥7,000 Btu/h and ≤15,000 Btu/h .... EER = 10.8¥(0.213 × Cap 1) ........ October 7, 2010.
COP = 2.9¥(0.026 × Cap 1)
>15,000 Btu/h ................................ EER = 7.6 ...................................... October 7, 2010.
COP = 2.5
means cooling capacity in thousand Btu/h at 95 °F outdoor dry-bulb temperature.
1 ‘‘Cap’’
2 And
manufactured before January 1, 2017. See Table 6 of this section for updated efficiency standards that apply to this category of equip-
ment manufactured on and after January 1, 2017.
TABLE 6 TO § 431.97—UPDATED MINIMUM EFFICIENCY STANDARDS FOR PTAC
Compliance date: products
Equipment Category Cooling capacity Efficiency level manufactured on and after
type . . .
PTAC ............. Standard Size ............ <7,000 Btu/h .................................. EER = 11.9 .................................... January 1, 2017.
≥7,000 Btu/h and ≤15,000 Btu/h .... EER = 14.0¥(0.3 × Cap 1) ............ January 1, 2017.
>15,000 Btu/h ................................ EER = 9.5 ...................................... January 1, 2017.
1 ‘‘Cap’’ means cooling capacity in thousand Btu/h at 95 °F outdoor dry-bulb temperature.
* * * * * BUREAU OF CONSUMER FINANCIAL text and official interpretations for
Issued in Washington, DC, on September PROTECTION Regulation Z, which implements the
16, 2015. Truth in Lending Act (TILA). The
12 CFR Part 1026 Bureau is required to calculate annually
Kathleen B. Hogan,
the dollar amounts for several
Deputy Assistant Secretary for Energy Truth in Lending (Regulation Z) Annual
provisions in Regulation Z; this final
Efficiency, Energy Efficiency and Renewable Threshold Adjustments (CARD ACT,
Energy. rule reviews the dollar amounts for
HOEPA and ATR/QM)
[FR Doc. 2015–23624 Filed 9–18–15; 8:45 am]
provisions implementing amendments
AGENCY: Bureau of Consumer Financial to TILA under the Credit Card
BILLING CODE 6450–01–P
Protection. Accountability Responsibility and
rmajette on DSK7SPTVN1PROD with RULES
ACTION: Final rule; official
Disclosure Act of 2009 (CARD Act), the
interpretation. Home Ownership and Equity Protection
Act of 1994 (HOEPA), and the Dodd-
SUMMARY: The Bureau of Consumer Frank Wall Street Reform and Consumer
Financial Protection (Bureau) is issuing Protection Act (Dodd-Frank Act). These
this final rule amending the regulatory amounts are adjusted, where
VerDate Sep<11>2014 13:55 Sep 18, 2015 Jkt 235001 PO 00000 Frm 00003 Fmt 4700 Sfmt 4700 E:\FR\FM\21SER1.SGM 21SER1](https://thefederalregister.org/doc/80_FR_57077/page/1.svg)
![56898 Federal Register / Vol. 80, No. 182 / Monday, September 21, 2015 / Rules and Regulations
initial or final regulatory flexibility ■ D. Under subpart G, Under Section Dated: August 17, 2015.
analysis. 5 U.S.C. 603(a), 604(a). 1026.52—Limitations on Fees, 52(b) Richard Cordray,
Limitations on Penalty Fees, 52(b)(1)(ii) Director, Bureau of Consumer Financial
C. Paperwork Reduction Act
Safe Harbors, subheading i, paragraph Protection.
In accordance with the Paperwork 2.i.C is added. [FR Doc. 2015–22987 Filed 9–18–15; 8:45 am]
Reduction Act of 1995 (44 U.S.C. 3506; The additions read as follows: BILLING CODE 4810–AM–P
5 CFR 1320), the Bureau reviewed this
final rule. No collections of information SUPPLEMENT I TO PART 1026—OFFICIAL
pursuant to the Paperwork Reduction INTERPRETATIONS DEPARTMENT OF COMMERCE
Act are contained in the final rule. * * * * *
List of Subjects in 12 CFR Part 1026 Bureau of Industry and Security
Subpart E—Special Rules for Certain Home
Advertising, Consumer protection, Mortgage Transactions
15 CFR Parts 740, 746, and 772
Credit, Credit unions, Mortgages, * * * * *
National banks, Reporting and Section 1026.32—Requirements for Certain [Docket No. 150825774–5774–01]
recordkeeping requirements, Savings Closed-End Home Mortgages
32(a) Coverage. RIN 0694–AG67
associations, Truth in lending.
Paragraph 32(a)(1)(ii).
Authority and Issuance 1. * * * Enhancing Support for the Cuban
ii. For 2016, $1,017, reflecting a .2 percent People
For the reasons set forth in the
decrease in the CPI–U from June 2014 to June
preamble, the Bureau amends AGENCY: Bureau of Industry and
2015, rounded to the nearest whole dollar.
Regulation Z, 12 CFR part 1026, as set Security, Commerce.
forth below: * * * * *
3. * * * ACTION: Final rule.
PART 1026—TRUTH IN LENDING ii. For 2016, $20,350, reflecting a .2 percent
decrease in the CPI–U from June 2014 to June
This rule amends the Export
SUMMARY:
(REGULATION Z) Administration Regulations (EAR) to
2015, rounded to the nearest whole dollar.
expand the scope of License Exception
■ 1. The authority citation for part 1026 * * * * * Support for the Cuban People (SCP) to
continues to read as follows: Section 1026.43—Minimum Standards for
Transactions Secured by a Dwelling
facilitate engagement between the U.S.
Authority: 12 U.S.C. 2601, 2603–2605, and Cuban people; the free flow of
2607, 2609, 2617, 3353, 5511, 5512, 5532, * * * * * information to, from, and among the
5581; 15 U.S.C. 1601 et seq. 43(e)(3) Limits on Points and Fees for
Cuban people; and independent
Qualified Mortgages
economic activity generated by Cuba’s
Subpart G—Special Rules Applicable * * * * * private sector. It also makes temporary
to Credit Card Accounts and Open End Paragraph 43(e)(3)(ii) sojourns of most vessels to Cuba eligible
Credit Offered to College Students 1. * * *
for License Exception Aircraft, Vessels
ii. For 2016, reflecting a .2 percent decrease
■ 2. Section 1026.52(b)(1)(ii)(B) is in the CPI–U that was reported on the and Spacecraft (AVS). Additionally, this
revised to read as follows: preceding June 1, a covered transaction is not rule creates a case-by-case review policy
a qualified mortgage unless the transactions of license applications to export and
§ 1026.52 Limitations on fees. total points and fees do not exceed; reexport to Cuba items to ensure the
* * * * * A. For a loan amount greater than or equal safety of civil aviation and safe
(b) * * * to $101,749: 3 percent of the total loan operation of commercial passenger
(1) * * * amount; aircraft. Finally, it amends the deemed
(ii) * * * B. For a loan amount greater than or equal export and deemed reexport license
to $61,050 but less than $101,749: $3,052; requirements for releases of technology
(B) $37 if the card issuer previously
C. For a loan amount greater than or equal
imposed a fee pursuant to paragraph and source code to Cuban nationals;
to $20,350 but less than $61,050: 5 percent
(b)(1)(ii)(A) of this section for a violation of the total loan amount;
removes certain unintended restrictions
of the same type that occurred during D. For a loan amount greater than or equal on exports and reexports under License
the same billing cycle or one of the next to $12,719 but less than $20,350; $1,017; Exception SCP and License Exception
six billing cycles; or E. For a loan amount less than $12,719: 8 Consumer Communications Devices
* * * * * percent of the total loan amount. (CCD); and makes certain technical
* * * * * corrections to License Exception
■ 3. In Supplement I to part 1026—
Agricultural Commodities (AGR).
Official Interpretations: Subpart G—Special Rules Applicable to
■ A. Under subpart E, Under Section Credit Card Accounts and Open-End Credit DATES : This rule is effective September
1026.32—Requirements for Certain Offered to College Students 21, 2015.
Closed-End Home Mortgages, 32(a) Section 1026.52—Limitations on Fees FOR FURTHER INFORMATION CONTACT:
Coverage, Paragraph 32(a)(1)(ii), Foreign Policy Division, Office of
* * * * *
paragraph 1.ii is added. 52(b)(1)(ii) Safe harbors
Nonproliferation and Treaty
■ B. Under subpart E, Under Section Compliance, Bureau of Industry and
* * * * * Security, Phone: (202) 482–4252.
1026.32—Requirements for Certain 2. * * *
Closed-End Home Mortgages, 32(a) i. * * * SUPPLEMENTARY INFORMATION:
Coverage, Paragraph 32(a)(1)(ii),
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C. Card issuers were permitted to impose Background
paragraph 3.ii is added. a fee for violating the terms of an agreement
■ C. Under subpart E, Under Section if the fee did not exceed $27 under The United States maintains a
1026.43—Minimum Standards for § 1026.52(b)(1)(ii)(A) and $38 under comprehensive embargo on trade with
Transactions Secured by a Dwelling, § 1026.52(b)(1)(ii)(B), through December 31, Cuba. Pursuant to that embargo, all
43(e) Qualified Mortgages, Paragraph 2015. items that are subject to the Export
43(e)(3)(ii), paragraph 1.ii is added. * * * * * Administration Regulations (EAR)
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Document Created: 2015-12-15 09:38:49
Document Modified: 2015-12-15 09:38:49
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Rules and Regulations | |
| Action | Final rule; official interpretation. | |
| Dates | This final rule is effective January 1, 2016. | |
| Contact | James Wylie, Counsel, Office of Regulations, Consumer Financial Protection Bureau, 1700 G Street NW., Washington, DC 20552 at (202) 435-7700. | |
| FR Citation | 80 FR 56895 | |
| CFR Associated | Advertising; Consumer Protection; Credit; Credit Unions; Mortgages; National Banks; Reporting and Recordkeeping Requirements; Savings Associations and Truth in Lending |
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