3170-0015 (Reg Z) Supporting Statement (2019 Renewal) 30-day OMB

3170-0015 30-day Federal Register Notice Version

BUREAU OF CONSUMER FINANCIAL PROTECTION PAPERWORK
REDUCTION ACT SUBMISSION INFORMATION COLLECTION REQUEST
SUPPORTING STATEMENT PART A
TRUTH IN LENDING ACT (REGULATION Z) 12 CFR 1026
(OMB CONTROL NUMBER: 3170-0015)
When the Office of Management and Budget (OMB) last approved the collections of information
under this OMB Control Number, OMB provided the following Terms of Clearance:
Prior to the renewal of this collection, the Bureau of Consumer Financial Protection (Bureau) will
consult with OMB on the placement of OMB control numbers on the model forms included in this
collection.
The Bureau in further consultation with OMB concluded that it was not appropriate to display the
OMB control number on Model forms for this collection as the use of such forms were not
mandatory, but serve as guides for institutions to create their own disclosure forms.
In addition, while not a formal term of clearance, OMB approved certain amendments to Regulation
Z under five additional OMB Control Numbers. This was done to facilitate public understanding of
multiple overlapping rule-makings associated with those amendments. However, the pubic and
regulated entities were informed to continue OMB No. 3170-0015 for the information collection
requirements contained in Regulation Z. OMB’s expectation was that those control numbers would
be re-integrated into a single control number covering all of Regulation Z as soon as it was practical.
The Bureau, in consultation with OMB, previously transferred the information collections and associated
burdens previously approved under OMB Nos. 3170-0023, 3170-0026, 3170-0028, 3170-0031, and 31700050 into this OMB number. This renewal requests ICs and burden reflects the reintegration of those
Regulation Z collections back into this one OMB number.
JUSTIFICATION
1.

Circumstances Necessitating the Data Collection

The Truth in Lending Act (TILA), 15 U.S.C. 1601 et seq., was enacted to foster comparison credit
shopping and informed credit decision making by requiring accurate disclosure of the costs and terms
of credit to consumers, and to protect consumers against inaccurate and unfair credit billing practices.
Creditors are subject to disclosure and other requirements that apply to open-end credit (e.g.,
revolving credit or credit lines) and closed-end credit (e.g., installment financing). TILA imposes
disclosure requirements on all types of creditors in connection with consumer credit, including
mortgage companies, finance companies, retailers, and credit card issuers to ensure that consumers
are aware of the terms of financing prior to consummation of the transaction and during the loan
term. Before being transferred to the Bureau in 2011, Regulation Z was implemented by the Board of

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Governors of the Federal Reserve System (Board). 1 In light of the transfer of the Board’s rulemaking
authority for TILA to the Bureau, the Bureau re-codified the Board’s Regulation Z at 12 CFR 1026.
The Bureau enforces TILA as to certain creditors, advertisers, and other covered persons. 2 The
portions of TILA that contain information collection requirements are summarized below.
Subpart B: Open Ended Credit
1026. 6 Account-opening disclosures.
1026.6(a) Rules affecting Home Equity Line of Credit (HELOC) plans
For covered home-equity plans, creditors must disclose to consumers to the extent applicable: finance
charges, other charges, home-equity plan information, security interests, and statement of billing
rights. The account-opening disclosures generally must be given in writing and before the first
transaction under the plan.
1026.6(b) Rules affecting open-end (not home-secured) plans.
For non-home-secured plans, a creditor must provide certain account-opening disclosures in the form
of a table. A creditor shall disclose in the table specified items including annual percentage rates
(APRs), fees for issuance or availability of credit, fixed finance charges, minimum interest charges,
transaction charges, grace periods, and penalty fees. Additional account information must be
disclosed outside the account-opening table such as security interests and statement of billing rights.
The account-opening disclosures generally must be given in writing and before the first transaction
under the plan. However the disclosures may be provided after the first transaction if certain
conditions are met when the consumer contacts the merchant by phone to purchase goods.
1026.7 Periodic Statements
1026.7(a) HELOC periodic statements
For covered home-equity plans, a creditor generally is required to mail or deliver a periodic statement
for each billing cycle at the end of which an account has a debit or credit balance of more than $1 or
on which a finance charge has been imposed. That periodic statement must include information
including previous balances, credit transactions, credits, the APR(s), finance charges and other
charges. Section 1026.8 specifies additional disclosures that must be present on this periodic
statement as applicable
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12 CFR 226
On November 22, 2016, the Bureau issued a final rule that amends Regulation E, which implements the Electronic Fund
Transfer Act (EFTA), Regulation Z, which implements the Truth in Lending Act (TILA), and the official interpretation to
the regulations, to provide comprehensive protections for consumers who use “prepaid accounts” (the Prepaid Rule).
Under the Prepaid Rule, a prepaid card that is a hybrid prepaid-credit card is a credit card under Regulation Z with respect
to a covered separate credit feature (which generally is a separate credit feature where credit is offered by the prepaid
account issuer, its affiliate, or its business partner and the credit can be accessed in the course of a transaction conducted
with a prepaid card). 12 CFR 1026.2(a)(15)(i); 1026.61(a)(1). Regulation Z applies to the covered separate credit features
as applicable, and Regulation Z provisions that apply to credit cards will apply to hybrid prepaid-credit cards as
applicable. The Bureau believes that most covered separate credit features will meet the definition of “open-end credit”
and will not be home-secured. 12 CFR 1026.2(a)(20).
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1026.7(b) Other open-ended periodic statements
For non-home-secured plans, a creditor generally must mail or deliver a periodic statement for each
billing cycle at the end of which an account has a debit or credit balance of more than $1 or on which
a finance charge has been imposed. That periodic statement must include information including
previous balances, interest and fees, credit transactions, credits, and APR(s). For non-home-secured
credit card accounts, the periodic statement generally must also describe how long it would take the
consumer—and how much it would cost—to pay the full balance on the account by paying only the
required minimum monthly payment and if the minimum payment does not amortize the balance or
results in negative amortization. For non-home-secured credit card accounts, the periodic statements
generally must also contain a conspicuous warning of the amount of any late fee and any penalty rate
that may be imposed if the minimum payment is not received by the due date. Section 1026.8
specifies additional disclosures that must be present on this periodic statement as applicable
1026.9 Subsequent Disclosure Requirements
1026.9(a) Furnishing statement of billing rights
At least once per calendar year, at intervals of not less than 6 months nor more than 18 months,
creditors must send a statement of billing rights, which outlines the consumer's rights and the
creditor's responsibilities for billing errors. The form must be sent either to all consumers or to each
consumer entitled to receive a periodic statement for any one billing cycle. As an alternative to this
annual disclosure of the billing rights statement, creditors may provide on or with each periodic
statement an abbreviated version of billing rights statement.
1026.9(b) Disclosures for supplemental credit access devices and additional features
Except for checks discussed below if after mailing or delivering the account opening disclosures, a
creditor adds a credit feature to the consumer's account or mails or delivers to the consumer a credit
device with the finance charges as those previously disclosed, the creditor generally must disclose,
before the consumer uses the feature or device for the first time, that it is for use in obtaining credit
under the terms previously disclosed. Additionally, except for checks discussed below, whenever a
credit feature is added or a credit device is mailed or delivered, and the finance charge terms for the
feature or device differ from disclosures previously given, the creditor must give the consumer new
account opening disclosures applicable to the added feature or device before the consumer uses the
feature or device for the first time.
For non-home-secured plans, if checks that can be used to access a credit card account are provided
and the finance charge terms for the checks differ from the finance charge terms previously disclosed,
creditors must disclose certain information in a tabular format, such as the APR(s) (including
promotional rates) and the transaction fees that apply to the checks and whether or not a grace period
will apply to the checks.
1026.9(c)(1) Change in terms for HELOCs and other open-ended accounts
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For covered home-equity plans, whenever any term required to be disclosed under the accountopening disclosures is changed or the required minimum periodic payment is increased, the creditor
generally must mail or deliver written notice of the change to each consumer who may be affected. A
change-in-terms notice is not required when a change involves a reduction of any component of a
finance or other charge or when the change results from an agreement involving a court proceeding.
If the creditor prohibits additional extensions of credit or reduces the credit limit, the creditor must
mail or deliver written notice of the action to each consumer who will be affected and must contain
specific reasons for the action.
For non-home-secured plans, when a significant change in account terms is made, a creditor generally
must provide a written notice of the change prior to the effective date of the change to each consumer
who may be affected. For non-secured credit card accounts, with respect to certain changes, the
change in terms notice also generally must: notify the consumer of the right to reject the change
before its effective date, provide instructions for rejecting the change, and, if applicable, contain a
statement that if the consumer rejects the change, his ability to use the account for further advances
will be terminated or suspended. The 45-day timing requirement does not apply if the consumer
agrees to the particular change; but the notice still must be given before the effective date of the
change.
If a creditor decreases the credit limit on an account, advance notice of the decrease must be provided
orally or in writing before an over-the-limit fee or a penalty rate can be imposed. A creditor is not
required to provide a change in terms notice when certain conditions apply.
1026.9(e) Disclosures upon renewal of credit or charge card account
A card issuer generally must provide notice in writing to the consumer in advance of renewing a
covered credit or charge card account if the issuer imposes any annual or other periodic fee to renew
the account, or the issuer has changed certain terms on the account and has not previously disclosed
that change to the cardholder. The notice must disclose certain account terms that would apply if the
account were renewed, and how and when the cardholder may terminate credit availability under the
account to avoid paying the renewal fee, if applicable.
1026.9(f) Change in credit card account insurance provider
If a credit card issuer plans to change insurance providers for all or part of the outstanding balance of
a covered credit card account, the card issuer must mail or deliver a written notice of the change to
the consumer. The notice must include information about any increase in the rate or substantial
decrease in coverage that will result from the change and a statement that the cardholder may
discontinue the insurance.
A credit card issuer must also provide the consumer with a written notice after the change occurs.
This notice must including information on the name and address of the new insurance provider, a
copy of the new policy or basic terms of the insurance, and a statement that the cardholder may
discontinue the insurance.
1026.9(g) Increase in rates due to delinquency or default or as a penalty
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For non-home-secured plans, a creditor must provide a written notice to each consumer who may be
affected when a rate is increased due to the consumer's delinquency or default or a rate is increased as
a penalty for one or more events specified in the account agreement, such as making a late payment
or obtaining an extension of credit that exceeds the credit limit. The notice must be provided at least
45-days prior to the effective date of the increase, and must be provided after the occurrence of the
events that triggered the increase. The notice must include a statement that the delinquency or default
rate or penalty rate, as applicable, has been triggered, and the date on which the delinquency or
default rate or penalty rate will apply.
1026.11 Treatment of credit balances; account termination.
1026.11(c) Timely settlement of estate debts
For non-home-secured credit card accounts, upon request by the administrator of an estate, a card
issuer must provide the administrator with the amount of the balance on a deceased consumer's
account in a timely manner.
1026.12 Special credit card provisions.
1026.12(b) Liability of cardholder for unauthorized use
In order for a cardholder to be considered liable for unauthorized use of a credit card, the card issuer
must comply with certain requirements, including providing adequate notice of the cardholder's
maximum potential liability and of means by which the card issuer may be notified of loss or theft of
the card. The notice must state that the cardholder's liability shall not exceed $50 (or any lesser
amount) and that the cardholder may give oral or written notification and describe a means of
notification (e.g., a telephone number, an address or both).
1026.12(e) Prompt notification of returns and credit of refunds
For covered credit card accounts, when a covered creditor other than the card issuer accepts a return
of property or forgives a debt for services that is to be reflected as a credit on the consumer's credit
card account, the creditor must transmit a credit statement to the card issuer accepting the return or
forgiving the debt. The card issuer must credit the amount of the refund to the consumer’s account. If
a covered creditor other than a card issuer routinely gives cash refunds to consumers paying in cash,
the creditor shall also give credit or cash refunds to consumers using credit cards, unless it discloses
at the time the transaction is consummated that credit or cash refunds for returns are not given
1026.13 Billing error resolution notice and timing
If a creditor receives a billing error notice from the consumer, the creditor generally must mail or
deliver written acknowledgment to the consumer and generally must resolve the dispute. If a creditor
determines that a billing error occurred as asserted, the creditor must correct the billing error and
credit the consumer's account as applicable and mail or deliver a correction notice to the consumer. If
a creditor, after conducting a reasonable investigation, determines that no billing error occurred or
that a different billing error occurred from that asserted, the creditor must mail or deliver to
explanation that sets forth the reasons for the creditor's belief that the billing error alleged by the
consumer is incorrect in whole or in part, furnish any requested copies of evidence of the consumer's
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indebtedness, and if a different billing error occurred, correct the billing error as applicable. If a
creditor determines that a consumer owes all or part of the disputed amount, the creditor must
promptly notify the consumer in writing of the time when payment is due and the portion of the
disputed amount and related finance or other charges that the consumer still owes.
1026.15 Right of rescission.
1026.15(b) Notice of right to rescind
For home-secured plans subject to rescission (unless the right has been waived by the consumer), a
creditor generally must deliver two copies of the notice of the right to rescind to each consumer
entitled to rescind. The notice must identify the transaction or occurrence and disclose the retention or
acquisition of a security interest in the consumer's principal dwelling, the consumer’s right to rescind,
how to exercise the right to rescind, the effects of rescission, and the date the rescission period
expires.
1026.16 Advertising
1026.16(b) Required disclosures in advertisements
For home-equity and non-home-secured plans, if certain terms are disclosed in an advertisement,
those terms trigger additional disclosures. Generally, if advertisements contain certain terms that are
required to be disclosed in the account-opening disclosures, the advertisement must also contain: any
minimum, fixed, transaction, activity or similar charge that is a finance charge that could be imposed,
any APR that may be applied, and any membership or participation fee that could be imposed. If an
advertisement for credit to finance the purchase of goods or services specified in the advertisement
states a periodic payment amount, the advertisement also must state the total of payments and the
time period to repay the obligation, assuming that the consumer pays only the periodic payment
amount advertised.
1026.16(d) Advertisement of terms that require additional disclosures for HELOCs
There are certain terms that, if they appear in an advertisement for a home-equity plan, require certain
additional disclosures. Those terms that trigger additional disclosures are, generally: certain terms
required to be disclosed in the account-opening disclosures, payment terms, discounted and premium
rates, balloon payments, tax implications, and promotional rates and payments.
1026.16(g) Promotional rates and fees
If an advertisement for a non-home-secured plan states a promotional rate or fee, the advertisement
must also state when the promotional rate or promotional fee will end and the annual percentage rate
or fee that will apply after the end of the promotional period.
1026.16(h) Deferred interest or similar offers
For advertisements of non-home-secured plans, if a deferred interest offer is advertised, the deferred
interest period must be stated in the advertisement. If the phrase “no interest” or similar term
regarding the possible avoidance of interest obligations under the deferred interest program is stated,
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the term “if paid in full” must also be stated. The advertisement also must include a statement that
interest will be charged from the date the consumer becomes obligated for the balance or transaction
subject to the deferred interest offer if the balance or transaction is not paid in full within the deferred
interest period; and a statement, if applicable, that interest will be charged from the date the consumer
incurs the balance or transaction subject to the deferred interest offer if the account is in default
before the end of the deferred interest period.
Subpart C: Closed-End Credit
1026.18 Content of Disclosures
For covered non-mortgage and certain mortgage closed-end credit transactions, a creditor must
disclose the following information as applicable: creditor, amount financed, itemization of amount
financed, finance charge, annual percentage rate, variable rate, payment schedule, total of payments,
demand feature, total sale price, prepayment penalty, late payment charges, security interest,
insurance and debt cancellation, certain security interest charges, contract reference, assumption
policy, required deposit, interest rate and payment summary for mortgage transactions, and “noguarantee-to-refinance” statement.”
1026.19 Certain mortgage and variable-rate transactions.
1026.19(a) Mortgage transactions subject to RESPA
For reverse mortgage transactions subject to TILA and RESPA that are secured by the consumer's
dwelling, a creditor must provide the consumer with good faith estimate disclosures. The disclosures
must include, when applicable, information such as: the amount financed, the finance charge, the
annual percentage rate, payment schedule, total of payments, demand feature, total sale price,
information on prepayment, late payment charges, assumption policy, required deposit, and the
interest rate. The creditor must deliver or mail the good faith estimates no later than the seventh
business day before consummation of the transaction (although the consumer may waive this seven
day waiting period). If the disclosed annual percentage rate becomes inaccurate the creditor must
provide corrected disclosures before consummation.
1026.19(b) and (d) Certain variable-rate transactions
If the annual percentage rate may increase after consummation in a transaction secured by the
consumer's principal dwelling with a term greater than one year, certain disclosures must be provided
at the time of application or before the consumer pays a non-refundable fee, whichever is earlier. The
disclosures include, but are not limited to: the booklet titled Consumer Handbook on Adjustable Rate
Mortgages, a loan program disclosure for each variable-rate program in which the consumer
expresses an interest (that disclosure includes information such as the fact that the interest rate,
payment, or term of the loan can change, the index or formula used in making adjustments, an
explanation of how the interest rate and payment will be determined, and the frequency of interest
rate and payment changes).
Information provided in accordance with variable-rate regulations of other Federal agencies may be
substituted for the disclosures required by paragraph (b) of this section.
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1026.19(e) Mortgage loans - early disclosures (Loan Estimate)
For closed-end consumer credit transactions secured by real property or a cooperative unit (other than
reverse mortgages), a creditor is required to provide the consumer with good faith estimates of credit
costs and transaction terms on a form called the Loan Estimate after receipt of the consumer’s loan
application. If any information necessary for an accurate disclosure is unknown, the creditor must
make the disclosure based on the best information reasonably available at the time the disclosure is
provided to the consumer.
1026.19(f) Mortgage loans - final disclosures (Closing Disclosure)
For loans that require a Loan Estimate and that proceed to closing, creditors must provide, before
consummation of the loan, a Closing Disclosure, which is a written disclosure reflecting the actual
terms of the transaction. Creditors may estimate disclosures using the best information reasonably
available when the actual term or cost is not reasonably available to the creditor at the time the
disclosure is made. If the actual terms or costs of the transaction change prior to consummation, the
creditor must provide a corrected disclosure.
1026.19(g) Special information booklet at time of application
For covered mortgage transactions creditors must provide a copy of the special information booklet
issued by the Bureau.
§ 1026.20 Disclosure requirements regarding post-consummation events.
1026.20(c) ARM Notice
For adjustable rate mortgages (ARMs) secured by the borrower’s principal residence, a covered
creditor, assignee, or servicer is required to make disclosures the first time the interest rate adjusts
and each time an interest rate adjustment results in a payment change. The disclosures must, among
other things, contain an explanation that the specific time period in which the current interest rate has
been in effect is ending and the interest rate and mortgage rate will change, the effective date of the
interest rate adjustment and when additional future interest rate adjustments are scheduled to occur,
any other changes to loan terms, features, or options taking effect on the same date as the interest rate
adjustment, an explanation of how the interest rate and new payment are determined, and the loan
balance expected on the date of the interest rate adjustment. The disclosure must also contain a table
with information concerning, among other things, interest rates and payments.
1026.20(e) Escrow Closing Notice
When the consumer requests cancellation of a covered escrow account, a creditor or servicer must
ensure that the consumer receives the Escrow Closing Notice before the consumer’s escrow account
is closed. If the covered account is cancelled for any other reason, the creditor or servicer must ensure
that the consumer receives the Escrow Closing Notice before the consumer’s escrow account is
closed. Creditors and servicers are not required to provide the notice if the escrow account that is
being cancelled was established solely in connection with the consumer’s delinquency or default on
the underlying debt obligation. Creditors and servicers are not required to provide the notice when the
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underlying debt obligation for which an escrow account was established is terminated, including by
repayment, refinancing, rescission, and foreclosure.
Creditors and servicers must disclose certain information on the Escrow Closing Notice and may
optionally disclose certain additional information. The required information a creditor or servicer
must disclose includes but is not limited to: the date on which the account will be closed, the reason
why the escrow account will be closed, the consequences of account closure, an itemization of the
amount of any fee being charged with the closure, the consequences if the consumer fails to pay
property costs, and information regarding whether the option of keeping the escrow account open
exists.
1026.23 Right of Rescission
For home-secured plans subject to rescission (unless the right has been waived by the consumer), a
creditor generally must deliver two copies of the notice of the right to rescind to each consumer
entitled to rescind. The notice must identify the transaction or occurrence and disclose the retention or
acquisition of a security interest in the consumer's principal dwelling, the consumer’s right to rescind,
how to exercise the right to rescind, the effects of rescission, and the date the rescission period
expires.
1026.24 Advertising
If an advertisement for credit states specific credit terms, it must state only the terms that actually are
or will be offered by the creditor. If an advertisement states a rate of finance charge, it must state the
rate as an “annual percentage rate,” and if the annual percentage rate may be increased after
consummation the advertisement must so indicate. Certain other information about the rate may be
provided under limited circumstances. There are certain other “triggering terms” that when stated
require additional disclosures.
If an advertisement for credit secured by a dwelling, other than a television or radio advertisement,
states: a simple annual rate of interest and more than one simple annual rate of interest will apply
over the term of the advertised loan or the amount of any payment, the advertisement must disclose
certain additional information about payments and costs.
If an advertisement for a loan secured by the consumer’s principal dwelling is distributed in paper
form or through the Internet (rather than by radio or television) and the advertisement states that the
advertised extension of credit may exceed the fair market value of the dwelling, the advertisement
must provide certain information about tax implications.
Subpart D: Miscellaneous
1026.25 Record Retention requirements
In general, a creditor must retain evidence of compliance with Regulation Z for two years after the
date disclosures are required to be made or action is required to be taken. For records related to
requirements for loan originator compensation and consumer credit transactions secured by a
dwelling, creditors must retain evidence of compliance with Regulation Z for three years.
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Creditors must retain copies of the Closing Disclosure (and all documents related to the Closing
Disclosure) for five years after consummation. In addition, if a creditor sells, transfers, or otherwise
disposes of its interest in a covered mortgage loan and does not service the mortgage loan, the owner
or servicer of the mortgage must retain a copy of the Closing Disclosure for the remainder of the fiveyear period. For evidence of compliance with the other requirements of 12 CFR 1026.19(e) and (f)
(as summarized above and including the Loan Estimate requirements) creditors must maintain
records for three years after the later of the date of consummation, the date disclosures are required to
be made, or the date the action is required to be taken. Creditors or servicers must retain evidence of
compliance with the post-consummation Escrow Closing Notice and Partial Payment Policy
Disclosure requirements for two years after the date disclosures are required to be made or action is
required to be taken.
Creditors must maintain records of all compensation it pays to a loan originator as well as the
compensation agreements that govern those payments for three years after the date of the payments.
Covered loan originator organizations must maintain records of all compensation they receive from
creditors, consumers, and others and all compensation paid to individual loan originators, as well as
the compensation agreements that govern those payments or receipts, for three years after the date of
the receipts or payments.
1026.26 Use of annual percentage rate in oral disclosures
If a consumer makes a request orally about the cost of open-end or closed-end credit, a creditor must
only state the annual percentage rate or rates, and may also state the periodic rate or rates. For openend credit, if the annual percentage rate cannot be determined in advance because there are finance
charges other than a periodic rate, the creditor must state the corresponding annual percentage rate
(the periodic rate multiplied by the number of periods in a year). For closed-end credit, if the annual
percentage rate cannot be determined in advance, the creditor must state the annual percentage rate
for a sample transaction.
Subpart E: Special Rules for Certain Home Mortgage Transactions
1026.32 Requirements for high-cost mortgages.
1026.32(c) Disclosures for high-cost mortgages
For covered high-cost mortgages, the creditor is required to provide several disclosures, including: an
acknowledgement statement, the APR, the amount of the regular periodic payment (for closed-end
loans), the amount of any balloon payment (for closed-end loans), examples of minimum periodic
payments under various scenarios and balloon payments (for open-end loans), the amount borrowed,
optional insurance, and the credit limit. If prior to consummation or account opening, if a creditor
changes any terms that make the disclosures inaccurate, the creditor must provide new disclosures. 3
1026.33 Requirements for reverse mortgages.
1026.33(b) Requirements for reverse mortgage disclosures
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This requirement is found in 1026.31(c).

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In a reverse mortgage transaction the creditor must provide certain disclosures, including, but not
limited to: a statement that the consumer is not obligated to complete the reverse mortgage
transaction merely because the consumer has received the disclosures required by this section or has
signed an application for a reverse mortgage loan, the total annual loan cost rates, an itemization of
loan terms, charges, the age of the youngest borrower and the appraised property value
1026.34 Prohibited acts or practices in connection with high-cost mortgages.
1026.34(a) Notice of assignee liability and certification of housing counseling for high-cost
mortgages
A creditor must not extend a covered high-cost mortgage to a consumer unless the creditor receives
written certification that the consumer has obtained counseling on the advisability of the mortgage
from a counselor that is approved to provide such counseling by the Secretary of the U.S. Department
of Housing and Urban Development or, if permitted, by a State housing finance authority.
1026.35 Requirements for higher-priced mortgage loans.
1026.35(c) Requirements for higher-priced mortgage loans (written appraisals)
In general, prior to consummation on a higher-priced mortgage loan, creditors must obtain a written
appraisal of the mortgaged property. The appraisal must be performed by a certified or licensed
appraiser who conducts a physical visit of the interior of the property. For certain transactions where
the seller has not owned the property for more than 90 or 180 days, two written appraisals are
required.
Creditors must provide to the consumer a disclosure that the creditor may order and charge the
consumer for an appraisal and a copy of any written appraisal performed in connection with a higherpriced mortgage loan. The consumer cannot waive this appraisal requirement.
1026.36 Prohibited acts or practices and certain requirements for credit secured by a
dwelling.
1026.36(c) Prompt payment crediting and payoff statements
In connection with a closed-end consumer credit transaction secured by a dwelling, a servicer must
credit a periodic payment to the consumer’s loan account as of the date of receipt, except when a
delay in crediting does not result in any charge to the consumer or negative credit reporting. A
periodic payment consists of the amount necessary to cover principal, interest, and escrow (if
applicable) for a given billing cycle. Any servicer that retains a partial payment, meaning any
payment less than a periodic payment, in a suspense or unapplied funds account must disclose certain
information as part of the periodic statement and credited on accumulation of sufficient funds to
cover a periodic payment. In connection with a consumer credit transaction secured by a consumer’s
dwelling, a creditor, assignee, or servicer must provide an accurate payoff balance to a borrower.
1026.39 Mortgage transfer disclosures
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For covered mortgage loans, covered persons must mail or deliver (including electronically)
mortgage transfer disclosures on or before the 30th calendar day following the date of transfer. The
mortgage transfer disclosures may be combined with other disclosures. If a mortgage loan is acquired
by a covered person and subsequently sold, assigned, or otherwise transferred to another covered
person, a single disclosure may be provided on behalf of both covered persons if the disclosure
satisfies the timing and content requirements applicable to each covered person. The disclosures must
include information about the sale, assignment, or transfer, including but not limited to: where a
public record of the transfer was recorded, the date of the transfer, and contact information for an
agent the consumer can contact. For certain mortgage loans a creditor must include information about
their partial payment policy including but not limited to whether the covered person accepts partial
payments and how such payments may be applied to the loan.
1026.40 Requirements for home equity plans.
1026.40(a) Requirements for home equity plans (disclosures)
Creditors generally must disclose certain information for open-end credit plans secured by the
consumer’s dwelling (home equity plans) at the time an application is provided to the consumer. The
disclosures may be provided on the application form or on a separate form. The disclosures must
contain information about the plan including: retention of information, conditions for disclosed terms,
security interest and risk to home, possible actions by creditor, payment terms, annual percentage
rates, fees imposed by creditor, fees imposed by third parties to open a plan, negative amortization,
transaction requirements, tax implications, and additional disclosures about variable rate plans.
Additionally, the home equity brochure entitled “What You Should Know About Home Equity Lines
of Credit” or a suitable substitute must be provided.
1026.41 Periodic statements for residential mortgage loans.
Covered servicers 4 must provide a periodic statement (which may be in electronic form) for covered
mortgage loans for each billing cycle. The periodic statement must be delivered or placed in the mail
within a reasonably prompt time after the payment due date or the end of any courtesy period
provided for the previous billing cycle. The periodic statement must include information about the
loan including: the amount due, an explanation of the amount due, a breakdown of past payments,
transaction activity, partial payment information, servicer contact information, account information,
and delinquency information.
Subpart F: Special Rules for Private Education Loans
1026.47 - Content of disclosures.
1026.47(a) Private education loan application or solicitation disclosures
Lenders are required to provide disclosures during application or solicitation of a covered private
education loan. The disclosures may be provided orally for a telephone application or solicitation.
Lenders must provide general information about loan rates, fees, and terms and must also inform a
prospective borrower of the potential availability of Federal student loans and the interest rates for
4

Small servicers, as defined in 1026.41(e)(4)(ii) are exempt from this requirement.

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those loans, and where to locate additional information. The disclosures must also indicate any
payment deferral options and whether interest will accrue during the deferral period as well as
examples of repayment.
1026.47(b) Private education loan approval disclosure
When a lender approves the borrower’s application for a covered private education loan, they must
give the borrower a transaction-specific disclosure, including information regarding the rate, fees and
other terms of the loan. The lender must also disclose estimates of the total repayment amount based
on both the current interest rate and the maximum interest rate that may be charged and the monthly
payment at the maximum rate of interest.
1026.47(c) Private student loan final disclosures
The final disclosures must be provided in writing after the consumer accepts the loan. At
consummation of the loan, the creditor must provide updated cost disclosures substantially similar to
those provided at approval. The borrower has a right to cancel the loan. Schools or lenders are
prohibited from disbursing funds until the three-day cancellation period has passed. The consumer
must complete a self-certification required by the Department of Education prior to the disbursement
of any private education loan.
Subpart G: Special Rules Applicable to Credit Card Accounts and Open-End Credit Offered to
College Students
1026.56 Requirements for over-the-limit transactions
A card issuer cannot assess a fee or charge on a consumer's non-home-secured credit card account for
an over-the-limit transaction unless the card issuer complies with the following requirements:
provides the consumer with an oral, written or electronic notice describing the consumer's right to opt
in to the card issuer's payment of an over-the-limit transaction, provides a reasonable opportunity for
the consumer to opt in, obtains and confirms the consumer’s opt in, and provides the consumer notice
in writing of the right to revoke the consent following the assessment of an over-the-limit fee or
charge.
1026.57 - Reporting and marketing rules for college student open-end credit.
1026.57(b) Reporting and marketing rules for college student open-end credit
An institution of higher education must publically disclose any contract or other agreement made
with a card issuer or creditor for the purpose of marketing a credit card.
1026.57(d) Annual report to the Bureau
For non-home-secured credit card accounts, any card issuer that was a party to one or more college
credit card agreements in effect at any time during a calendar year must submit to the Bureau an
annual report regarding those agreements in the form and manner prescribed by the Bureau. The
annual report to the Bureau must include information such as: identifying information about the card
issuer and the agreements submitted, a copy of any college credit card agreement, a copy of any
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memorandum of understanding in effect at any time during the period covered by the report between
the card issuer and an institution of higher education, the total dollar amount of any payments
pursuant to a college credit card agreement from the card issuer to an institution of higher education,
and the total number of credit card accounts opened.
1026.58 Internet posting of credit card agreements.
1026.58(d) Posting of agreements offered to the public
For non-home-secured credit card accounts, covered card issuers generally must post and maintain on
their publicly available Web site the credit card agreements that the issuer is required to submit to the
Bureau in a manner readily usable by the general public. These agreements must be updated
quarterly.
1026.58(e) Agreements for all open accounts
With respect to any open non-home-secured credit card account, covered card issuers must either:
post and maintain the cardholder's agreement on its Web site; or promptly provide a copy of the
cardholder's agreement to the cardholder upon the cardholder's request.
1026.60 - Credit and charge card applications and solicitations.
CFR1026.60(b) Application and solicitation disclosures
Covered card issuers generally must provide certain disclosures on or with a solicitation or an
application to open a credit or charge card account. The disclosures must provide (in a table)
information about the account including APR(s), fees for issuance or available of credit, fixed finance
charges, minimum interest charges, transaction charges, grace periods. Disclosures may be given
orally for telephone solicitations.
2.

Use of the Information

The third party disclosures and recordkeeping requirements in this collection are required by statute
and regulation, as explained above. Consumers rely on the disclosures required by TILA and
Regulation Z to understand their estimated and final cost of credit, including settlement costs.
Without this information, consumers would be hindered in their ability to assess the true costs and
terms of financing offered or to comparison shop. Additionally, this information is needed by State
and Federal agencies for supervision and enforcement of TILA and Regulation Z. See 15 U.S.C.
1607, 1640.
3.

Use of Information Technology

Regulation Z contains rules to establish uniform standards for using electronic communication to
deliver disclosures required under Regulation Z, within the context of the Electronic Signatures in
Global and National Commerce Act (ESIGN), 15 U.S.C. 7001 et seq. 12 CFR 1026.5(a)(1)(iii),
1026.17(a)(1). These rules enable businesses to utilize electronic disclosures and compliance,
consistent with the requirements of ESIGN. Use of such electronic communications is also consistent
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with the Government Paperwork Elimination Act (GPEA), Title XVII of Pub. L. 105-277, codified at
44 U.S.C. 3504, note. ESIGN and GPEA serve to reduce businesses’ compliance burden related to
Federal requirements, including Regulation Z, by enabling businesses to use more efficient electronic
media for disclosures and compliance.
4.

Efforts to Identify Duplication

The disclosures required by TILA and Regulation Z are not otherwise required by Federal law. State
laws generally do not duplicate these requirements, although some States may have other rules
applicable to consumer credit transactions.
5.

Efforts to Minimize Burdens on Small Entities

TILA and Regulation Z disclosure requirements are imposed on all creditors. Most lenders today use
computerization in their business, and Regulation Z permits businesses to rely on computer support,
among other alternatives, to meet their disclosure requirements. This flexibility yields reduced
disclosure costs. Further, the Regulation may provide exemptions to certain provisions for certain
small entities. These are described in the text of the Regulation.
Moreover, Regulation Z provides model forms and clauses that may be used in compliance with its
requirements. Correct use of these forms and clauses insulates a creditor from liability as to proper
format.
6.

Consequences of Less Frequent Collection and Obstacles to Burden Reduction

TILA generally requires creditors to retain evidence of compliance with the integrated disclosure
provisions of Regulation Z for two or three years after consummation of the transaction, except that
creditors must retain the Closing Disclosure and all documents related to the Closing Disclosure for
five years after consummation. Creditors must retain evidence of certain other notices for two years
in accordance with the current record retention period for Regulation Z.
Regulation Z’s disclosure requirements are needed to facilitate comparison cost shopping and to spur
informed credit decision making. Without these requirements, consumers may not have access to this
critical information, may not receive it in a timely fashion, or may not receive it in an easilyunderstandable manner.
7.

Circumstances Requiring Special Information Collection

The only special circumstances. in this The collection of as defined by 5 CFR 1320.5(d)(2).is a
requirement to keep records related to this collection for 5 years. This additional retention is
necessary for the proper supervision of regulated entities and enforcement of this regulation.
8.

Consultation Outside the Agency

In accordance with 5 CFR §1320.8(d)(1), the Bureau published a notice in the Federal Register
allowing the public 60 days to comment on the proposed extension (renewal) of this currently
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approved collection of information, and did not receive any comments. Additionally, in accordance
with 5 CFR §1320.5(a)(1)(iv) the Bureau has published a notice in the Federal Register allowing the
public 30 days to comment on the submission of this information collection request to the OMB.
9.

Payments or Gifts to Respondents

Not applicable, no payments or gifts are provided to respondents.
10.

Assurances of Confidentiality

In general, this information collection contains required disclosures and recordkeeping requirements
only, and the Bureau does not collect any information, personally identifiable or otherwise; there is
no applicable System of Records Notice (SORN) or Privacy Impact Assessment that would apply to
this collection.
Under Subpart G: Special Rules Applicable to credit card accounts and open-end credit offered to
college students, the Bureau does collect credit card agreements and makes them available online.
The Bureau makes no assurance of confidentiality for these agreements.
11.

Justification for Sensitive Questions

There is no information of a sensitive nature being requested.
12.

Estimated Burden of Information Collection

The Bureau accounts for the paperwork burden associated with Regulation Z for the following
respondents pursuant to its administrative enforcement authority: insured depository institutions with
more than $10 billion in total assets, their depository institution affiliates, and certain non-depository
institutions. The Bureau estimates that it is responsible for the burden of 5,250 total respondents. The
Bureau and the FTC generally have joint enforcement authority over non-depository institutions, with
the exception of burden related to auto-lending for which the FTC takes all burden. In general, these
provisions do not apply to auto lenders so the Bureau allocates to itself half of the Burden associated
with each collection.
To prevent double-counting the same population, the Bureau has allocated to itself half of the
estimated burden for non-depository institutions. In general, values in the table and discussion below
are reported as rounded to the nearest thousands place, but the underlying values are calculated using
unrounded estimates.
Regulation Z’s information collections and the Bureau’s share of their associated burdens is as
follows:

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Table 1: Regulation Z Current Ongoing Burden of Recordkeeping, Disclosure and Reporting
Requirements
Information
Collection
Requirement

No. of
Respondents

Estimated
Total
Annual
Responses

Average
Response
Time
(hours)

Total
Burden
Hours

Estimated
CFPB share
of responses

Estimated
CFPB
share
hours

Average
Hourly Rate
(USD)

CFPB
Labor
Cost
(USD)

Subpart B: Open Ended Credit
1026.6(a) HELOC
account opening
disclosures
1026.6(b) Other
open-ended account
opening disclosures
1026.7(a) HELOC
periodic statements
1026.7(b) Other
non-HELOC openended periodic
statements
1026.9(a)
Statement of billing
rights
1026.9(b)
Disclosures for
supplemental credit
access devices and
additional features
1026.9(c)(1)Change
in terms notice for
HELOCs and openended plans
1026.9(e)
Disclosures upon
renewal of credit or
charge card
1026.9(f) Change in
credit card account
insurance provider
1026.9(g) Increase
in rates due to
delinquency or
default as a penalty
1026.11(c) Timely
settlement of estate
debts

2,700

1,200,000

.0014

2,000

593,000

1,000

25.98

26,000

4,500

101,277,000

.0014

141,000

58,525,000

83,000

25.98

2,156,000

4,100

49,200

2(c)

98,400

26,000

51,000

52.89

2,697,000

8,100

97,200

2(c)

194,000

49,000

100,000

52.89

5,289,000

(b)

(b)

(b)

(b)

(b)

(b)

10,300

2,600,000

.0014

977,000

1,494,000

2,000

25.98

52,000

10,300

139,700,000

.003

420,000

81,200,000

247,000

25.98

6,417,000

8,100

4,631,000

.003

14,000

2,663,000

8,000

25.98

208,000

(c)

(c)

(c)

(c)

(c)

(c)

8,100

13,800,000

.0014

19,000

8,143,000

11,000

25.98

286,000

8,100

1,300,000

.003

4,000

767,000

2,000

25.98

52,000

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Information
Collection
Requirement
1026.12(b)
Liability of
cardholder for
unauthorized use
1026.12(e) Prompt
notification of
returns and credit of
refunds
1026.13 Billing
error resolution
notice
1026.15(b) Notice
of right to rescind
1026.16(b)
Required
disclosures in
advertisements
1026.16(d)
Advertisement of
terms that require
additional
disclosures
1026.16(g)
Disclosure of
promotional rates
and fees in
advertisement
1026.16(h)
Disclosure of
deferred interest or
similar offers in
advertisements
Sub-total for
Subpart B 5

No. of
Respondents

Estimated
Total
Annual
Responses

Average
Response
Time
(hours)

Total
Burden
Hours

Estimated
CFPB share
of responses

Estimated
CFPB
share
hours

Average
Hourly Rate
(USD)

CFPB
Labor
Cost
(USD)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

8,100

6,903,000

.17

1,173,000

4,074,000

693,000

25.98

18,004,000

2,700

2,400,000

.0014

3,000

1,152,000

2,000

25.98

26,000

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

10,300*

273,957,400

///////////////

3,045,400

158,686,000

1,200,000

//////////////////

35,213

(d)

(d)

(d)

(d)

(d)

(d)

5,800

381,000

.003

1,000

86,000

300

25.98

8,000

5,800

6,752,000

.003

20,000

1,527,000

5,000

25.98

130,000

Subpart C: Closed-Ended Credit
1026.19 Mortgage
transactions subject
to RESPA
1026.19(b) and (d)
Disclosure of
certain variable-rate
transactions
1026.19(e) & (f)
Loan estimate &
origination
disclosures
5

This subtotal is incomplete because the bureau lacks data to estimate the number of responses to certain IC’s as noted
above and will be revised accordingly as the Bureau become better able to estimate those burdens

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Information
Collection
Requirement

No. of
Respondents

1026.19(g) Special
information booklet
at time of
application
1026.20 ARM
Notice
1026.20(e) Escrow
closing notice
1026.23 Notice of
right to rescind
1026.24
Disclosures in
advertising of
mortgage terms
Sub-total for
Subpart C 6

Estimated
Total
Annual
Responses

Average
Response
Time
(hours)

Total
Burden
Hours

Estimated
CFPB share
of responses

Estimated
CFPB
share
hours

Average
Hourly Rate
(USD)

CFPB
Labor
Cost
(USD)

(b)

(b)

(b)

(b)

(b)

(b)

5,800

381,000

.003

1,000

86,000

300

25.98

8,000

5,800

3,805,000

.003

11,000

2,462,000

7,000

25.98

182,000

2,700

2,400,000

.0014

3,000

1,152,000

2,000

25.98

26,000

(c)

(c)

(c)

(c)

(c)

(c)

5,800*

13,719,000

///////////////

36,000

5,313,000

14,600

//////////////////

354,000

(a)

(a)

(a)

(a)

(a)

(a)

(b)

(b)

(b)

(b)

(b)

(b)

Subpart D: Miscellaneous
1026.25 Record
retention
requirements
1026.26 Use of
APR in oral
disclosures
Sub-total for
Subpart D

///////////////

//////////////////

Subpart E: Special rules for certain home mortgage transactions
1026.32(c)
Disclosures for
high-cost
mortgages
1026.33(b)
Requirements for
reverse mortgage
disclosures
1026.34(a)
Certification of
housing counseling
for high-cost
mortgages
1026.35(c)(3)
Written appraisals
for higher-priced
mortgage loans

300

4,000

.003

11

2,000

7

(d)

(d)

(d)

(d)

(d)

(d)

300

4,000

.0014

5

2,000

4,000

47,000

.25

12,000

33,000

6

25.98

200

4

25.98

60

8,000

25.98

208,000

This subtotal is incomplete because the bureau lacks data to estimate the number of responses to certain IC’s as noted
above and will be revised accordingly as the Bureau become better able to estimate those burdens

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Information
Collection
Requirement
1026.35(c)(4)
Verification
requirement for
additional
appraisals for some
high-priced
mortgage loans
1026.36(c)(1)
Payment processing
1026.36(c)(3)
Payoff statements
1026.39 Mortgage
transfer disclosures
1026.40(a)
Requirements for
home equity plans
(disclosures)
1026.41 Periodic
statement for
residential
mortgage loans
Sub-total for
Subpart E

No. of
Respondents

Estimated
Total
Annual
Responses

Average
Response
Time
(hours)

Total
Burden
Hours

Estimated
CFPB share
of responses

Estimated
CFPB
share
hours

Average
Hourly Rate
(USD)

CFPB
Labor
Cost
(USD)

25.98

441,660

4,000

94,000

.25

24,000

66,000

17,000

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

300

2,890,000

.001

9,000

1,792,000

3,000

25.98

78,000

2,700

2,000,000

.003

6,000

992,000

3,000

25.98

78,000

300

4,000

2

8,000

2,400

4,800

52.89

212,000

4,000*

5,043,000

////////////

59,016

2,889,400

35,811

////////////

1,017,920

Subpart F: Special rules for private education loans
1026.47(a) Private
student loan
application or
solicitation
disclosures
1026.47(b) Private
student loan
approval disclosure
1026.47(c) Private
student loan final
disclosures
Sub-total for
Subpart E

200

8,071,000

.0014

11,000

6,053,000

8,000

25.98

8,000

200

1,412,000

.003

4,000

1,059,000

3,000

25.98

78,000

200

1,114,000

.003

3,000

836,000

2,500

25.98

78,000

200*

10,597,000

///////////////

18,000

7,948,000

13,500

//////////////////

164,000

Subpart G: Special Rules Applicable to credit card accounts and open-end credit offered to college students
1026.56
Requirements for
over-the-limit
transactions
1026.57(b)
Reporting and
marketing rules for
college student
open-ended credit

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

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Information
Collection
Requirement
1026.57(d) Annual
report to the Bureau
1026.58(d) Posting
of agreements
offered to the
public
1026.58(e)
Agreements for all
open accounts
1026.60(b)
Application and
solicitation
disclosures
Sub-total for
Subpart G
TOTAL:

No. of
Respondents

Estimated
Total
Annual
Responses

Average
Response
Time
(hours)

Total
Burden
Hours

Estimated
CFPB share
of responses

Estimated
CFPB
share
hours

Average
Hourly Rate
(USD)

CFPB
Labor
Cost
(USD)

25.98

6,000

30

120

4

240

120

240

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

30

360

2

720

30

720

25.98

19,000

30*

480

///////////

960

150

960

///////

25,000

20,000* 7

303,968,000

///////////////////

3,162,000

175,292,000

1,265,000

//////////////

36,581,000

*Unduplicated respondent count
Notes:
(a) The Bureau assumes that recordkeeping is electronic, and that preserving each record represents a de
minimis burden.
(b) The Bureau assumes de minimis burden.
(c) The Bureau lacks data adequate to estimate the burden of this Regulation Z and sought comment to
assist in its burden estimation during the 60-day comment period, but did not receive any.
(d) Burden accounted for in another Control Number.(Regulation X 3170-0016)

Methodology For Estimating These Burdens
In general, the Bureau first uses publicly available data to estimate the burden associated with each
information collection. This includes data reported under the Home Mortgage Disclosure Act
(HMDA data), reports published by the Bureau, and third-party reports that can be accessed
electronically. In many instances, however, the Bureau was only able to estimate burden by using its
Consumer Credit Panel (CCP). The CCP is a nationally representative sample of credit records
maintained by one of the three nationwide consumer reporting agencies. Before being provided to the
Bureau, the records are stripped of any information that might reveal consumers identities, such as
names, addresses, and Social Security numbers.
The Bureau endeavors to consistently calculate the burden associated with various information
collections while recognizing that some collections tend to be more burdensome than others.
Therefore, the Bureau assumes the following per-collection estimates for its required disclosures: (1)
disclosures that require analysis for each distinct consumer are estimated to require .17 hours of
burden; (2) disclosures that are individualized for each consumer, but do not require analysis, are
7

This is an upward bound of open-ended unsecured, closed-ended mortgages and installment, and open-ended HELOCs.
The Bureau is not able to disaggregate each firm to understand if there is overlap among providers offering one or more
of these services. The Bureau invited comment on this estimate during the 60-day comment period, and did not receive
any.

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3170-0015 30-day Federal Register Notice Version

estimated to require .003 hours of burden per collection; and (3) disclosures that do not require
individualized information (e.g. statements of rights) are estimated to require .0014 hours of burden
per collection. The Bureau invited comment on these assumptions during the 60-day comment period,
and did not receive any.
In most cases, the Bureau estimated the hourly labor cost to be $25.98 per hour for each information
collection. The Bureau estimated this by finding the weighted average of wages for various
occupations required to comply with the information collection provisions of Regulation Z. Wages
were obtained using the median wage published in the Bureau of Labor Statistics’ Occupational
Employment and Wage Estimates. 8 This includes 5% attorney time (occupation code 23-1011), 70%
administrative time (43-6014), 12.5% of compliance officer time (13-1041), and 12.5% of software
developer time (15-1133). In instances where the only labor cost is the cost associated with
developing software to issue periodic statements labor costs are estimated to be only the cost of a
software developer, $52.89 per hour.
The below text summarizes the Bureau’s estimation methodology. Please refer to section 1 above for
a discussion of information collection requirements themselves.
Subpart B: Open ended credit
1026.6 Account-opening disclosures
This section contains disclosure requirements for the opening of credit for plans that are and are not
home-secured.
1026.6(a) Rules affecting home-equity plans: Pertains to home equity lines of credit (HELOC),
account opening disclosure requirements.
The Bureau estimates that about 1,200,000 HELOC accounts were originated in 2017 from its CCP.
The Bureau relied on call report data to estimate the number of HELOCs originated by depository
institutions. However, call report data contain only information on the total dollar volume of HELOC
limits originated, and no information on the number of HELOC lines originated. Therefore, the
Bureau calculated the average limit of a HELOC in its CCP, and applied the estimated average to the
total dollar volume originated in the call report data. Thus, the Bureau estimates that depository
institutions originated about 50,000 HELOCs, and about 20,000 of these HELOCs were originated by
depository institutions with assets of more than $10 billion.
The Bureau estimates that these account opening disclosures are largely identical and require very
little individualization from consumer to consumer and that each disclosure requires about .0014
hours of burden. The Bureau estimates that total burden for 1026.6(a) to be about 2,000 hours
(1,200,000 responses x .0014 hours per response).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
8

See, https://www.bls.gov/oes/current/oes_nat.htm#13-0000

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3170-0015 30-day Federal Register Notice Version

billion and half of non-depository institutions. Therefore, the Bureau allocates to itself the burden
593,000 responses: 1,000 total burden hours (593,000 responses x .0014 hours per response).
1026.6(b) Rules affecting open-end (not home-secured) plans: Pertains to open-ended account
opening disclosures requirements.
The Bureau estimates that 101,227,000 other open-ended accounts were originated in 2017 from its
CCP. The Bureau relied on call report data to estimate the number of open-ended credit originated by
depository institutions. However, call report data contain only information on the total dollar volume
of open-ended credit limits originated, and no information on the number of open-ended credit
accounts originated. Therefore, the Bureau calculated the average limit of an open-ended credit
product in its CCP, and applied the estimated average to the total dollar volume originated in the call
report data. Thus, the Bureau estimates that depository institutions originated about 22,000,000 openended accounts, and about 20,000,000 of these were originated by depository institutions with assets
of more than $10 billion.
The Bureau estimates that these account opening disclosures are largely identical and require very
little individualization from consumer to consumer and that each disclosure requires about .0014
hours of burden. The Bureau estimates that total burden for 1026.6(b) to be about 141,000 hours
(101,227,000 responses x .0014 hours per response).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. Therefore, the Bureau allocates to itself the burden
58,525,000 responses: 83,000 total burden hours (58,525,000 responses x .0014 hours per response).
1026.7(a) HELOC periodic statements
The Bureau believes that the per-disclosure burden hour of HELOC periodic statements to be very
small, but does recognize that there is likely systems burden covered persons may experience to
generate the periodic statements. The Bureau estimates that, on average, each firm spends two hours
per month doing necessary systems updates and upkeep to generate periodic statements. The Bureau
invited comment on this two-hour estimate during the 60-day comment period, but did not receive
any. Each respondent does this 12 times per year for monthly statements. Therefore, the Bureau
estimates that the total annual burden hours for this information collection is about 98,000 (4,100
respondents x 12 months x 2 hours per month).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau, therefore, allocates to itself the burden of
about 2,000 firms: 51,000 total burden hours (2,000 respondents x 12 months x 2 hours per month).
1026.7(b) Non-HELOC open-ended periodic statements
The Bureau believes that the per-disclosure burden hour of HELOC periodic statements to be very
small, but does recognize that there is likely systems burden covered persons may experience to
generate the periodic statements. The Bureau estimates that, on average, each firm spends two hours
per month doing necessary systems updates and upkeep to generate periodic statements. The Bureau
invited comment on this two-hour estimate during the 60-day comment period, but did not receive
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any. Each respondent does this 12 times per year for monthly statements. Therefore, the Bureau
estimates that the total annual burden hours for this information collection is 194,000 (8,100
respondents x 12 months x 2 hours per month).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about
4,000 firms: 100,000 total burden hours (4,000 respondents x 12 months x 2 hours per month).
1026.8 Identifying transactions on periodic statements.
The Burden of the providing the disclosures specified in 1206.8 are incorporated in the calculations
of the burden of providing the statements themselves discussed about in 1206.7 a&b
1026.9(a) Statement of Billing Rights
The Bureau believes that the Statement of Billing Rights is unchanged for each consumer, and that
the burden associated with each disclosure is de minimis. The Bureau requested comment on the total
burden hours associated with this disclosure during the 60-day comment period, but did not receive
any.
1026.9(b) Disclosures for supplemental credit access devices and additional features
The Bureau, using the CCP, estimates that there are about 102.3 million new open-ended credit
accounts opened in 2017. Without other evidence, the Bureau estimates that 2.5% of these accounts
require the disclosures specified in 1026.9(b). The Bureau requested comment on this estimate during
the 60-day comment period, but did not receive any. Therefore, the Bureau estimates that about 2.6
million accounts may require this disclosure (102,300,000 new accounts x 2.5%). The Bureau
believes that, in general, these disclosures are largely similar from consumer-to-consumer, and
therefore assumes that each disclosure only requires .0014 hours of burden to generate. The Bureau
estimates that this information collection requires 977,000 hours of burden (2,600,000 accounts x
.0014 hours per response).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about 1.5
million accounts: 2,000 total burden hours (1,500,000 accounts x .0014 hours per response).
1026.9(c)(1) Change in terms notice for HELOCs and other open-ended plans
The Bureau, using the CCP, estimates that there are about 688 million open-ended credit accounts in
2017. Without other evidence, the Bureau estimates that 20% of these accounts require the
disclosures specified in 1026.9(c)(1). The Bureau requested comment on this estimate during the 60day comment period, but did not receive any. Therefore, the Bureau estimates that about 139.7
million accounts may require this disclosure (688 million accounts x 20%). The Bureau believes that,
in general, these disclosures require minimal changes from consumer-to-consumer, and therefore
assumes that each disclosure only requires .003 hours of burden to generate. The Bureau estimates
that this information collection requires 420,000 hours of burden (139.7 million accounts x .003
hours per response).
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The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about 81.2
million accounts: 247,000 total burden hours (81.2 million accounts x .003 hours per response).
1026.9(e) Disclosures upon renewal of credit or charge card
The Bureau, using the CCP, estimates that there are about 688 million open-ended credit accounts in
2017. The Bureau also understands that about 225 million credit card accounts were closed in the 12
months leading up to December 31, 2018. 9 Therefore, the Bureau estimates that about 2/3 of credit
card accounts could be renewed, and that each account is usually valid for 5 years. Therefore, the
Bureau estimates that about 92 million credit card accounts would be renewed each year (688 million
accounts minus 225 million account closings divided by 5 years). For the purposes of this renewal,
the Bureau assumes that only 5% of these cards see a change in terms. The Bureau invited comment
on this assumption during the 60-day comment period, and did not receive any. The Bureau estimates
that about 4.6 million accounts may be required to comply with 12 CFR 1026.9(e) (92 million
accounts x 5%). These disclosures must receive minimal personalization for each consumer, and,
therefore, the Bureau assumes a burden of .003 hours per disclosure. Thus, the Bureau estimates
14,000 hours of total burden (4.6 million accounts x .003 hours).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden associated
with about 2.7 million accounts: 8,000 total burden hours (2.6 million accounts x .003 hours per
response).
1026.9(f) Change in credit card insurance provider
The Bureau lacks data necessary to calculate the burden associated with these collections and sought
comment to assist in its burden estimation during the 60-day comment period, but did not receive
any.
1026.9(g) Increase in rates due to delinquency or default as a penalty
The Bureau, using the CCP, estimates that there are about 688 million open-ended credit accounts in
2017. From analysis using its CCP, the Bureau estimates that a ceiling of about 2% of these accounts
may require the disclosures specified in 1026.9(g). Therefore, the Bureau estimates that about 13.8
million accounts require this disclosure (688 million accounts x 2%). The Bureau believes that, in
general, these disclosures are computer generated and require almost no individualization. Therefore,
the Bureau estimates that these notices require about .0014 hours of burden to generate. The Bureau
estimates that this information collection requires 19,000 hours of burden (13.8 million accounts x
.0014 hours per response).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
9

See, Federal Reserve Bank of New York Quarterly Report on Household Debt and Credit, 2018:Q4 at 5.
Available at
https://www.newyorkfed.org/medialibrary/interactives/householdcredit/data/pdf/HHDC_2018Q4.pdf

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billion and half of non-depository institutions. The Bureau allocates to itself the burden of about 8.1
million accounts: 11,000 total burden hours (8.1 million accounts x .0014 hours per response).
1026.11(c) Timely settlement of estate debts
Using its CCP, the Bureau estimates that about 1,300,000 consumers with active credit records died
in 2017. Therefore, the Bureau estimates a ceiling of 1,300,000 estate settlement disclosures. The
Bureau assumes that these require minimal burden, with a statement being able to be created with one
call from a surviving individual. Therefore, the Bureau assumes that each disclosure requires .003
burden hours. The Bureau estimates that complying with 1026.11(c) requires with 4,000 total burden
hours (1,300,000 million accounts x .003 hours per response).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about
767,000 accounts: 2,000 total burden hours (767,000 accounts x .003 hours per response).
1026.12(b) Liability of cardholder for unauthorized use
The Bureau believes that this disclosure is included in normal credit card agreements, and inclusion
of this disclosure results in de minimis burden. 10 The Bureau
invited comment on this
assumption during the 60-day comment period, and did not receive any.
1026.13 Billing error resolution notice
The Bureau, using the CCP, estimates that there are about 688 million open-ended credit accounts in
2017. In its 2015 CARD Act report the Bureau found that 10% of online statements are reviewed per
quarter. Without additional evidence, the Bureau assumes that only 10% of those that review their
statements identify and report an error. Therefore, the Bureau estimates that about 6.9 million
accounts may require this disclosure (688 million accounts x 10% opening statements x 10% found
error). The Bureau believes that, in general, these disclosures require separate analysis and changes
from consumer-to-consumer, and therefore assumes that each disclosure requires .17 hours of burden
to generate. The Bureau estimates that this information collection requires about 1,173,000 hours of
burden (6.9 million accounts x .17 hours per response).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about 4
million accounts: 693,000 total burden hours (4 million accounts x .17 hours per response).
1026.15(b) Notice of right to rescind
The Bureau, using its CCP, estimates that there were about 1.2 million new HELOCs in 2017;
therefore, the disclosure under 1026.16(b) is estimated to be provided 2.4 million times. These
disclosures require minimal change from consumer-to-consumer, and therefore are estimated to
generate .0014 hours of burden per disclosure. Therefore, the Bureau estimates a total burden of
10

See, https://www.consumerfinance.gov/ask-cfpb/am-i-responsible-for-unauthorized-charges-if-my-credit-cards-are-lostor-stolen-en-29/

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3,000 hours per year (2.4 million originations x .0014 hours).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about
1,152,000 originations: 2,000 total burden hours (1,152,000 accounts x .0014 hours per response).
The Bureau is treating the written notice given by the consumer wishing to rescind to the loan to the
originator as a recordkeeping requirement on the lender and the burden of that is included in the
bureau’s estimates for the recordkeeping requirements for this rule generally
1026.16(b), (d), (g), and (h) Various Required disclosures in advertisements
The Bureau lacks data necessary to calculate the burden associated with these collections and sought
comment to assist in its burden estimation during the 60-day comment period, but did not receive
any.

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Subpart C: Closed-Ended Mortgages
The requirements for the contents of these disclosures is contained in 1026.18 below is a discussion
of the specific requirements of this section and associated burdens.
1026.19(a) Mortgage transactions subject to RESPA
The Bureau accounts for the burden of 1026.19(a) in OMB Control Number 3170-0016.
1026.19(b) and (d) Disclosure of certain variable-rate transactions
The Bureau estimates that about 5% of mortgage loans originations were variable-rate transactions. 11
Using 2017 HMDA data, the Bureau estimates that about 6,752,000 mortgage loans were originated
in 2017. Therefore, the Bureau estimates that about 381,000 mortgage transactions may have been
required to provide the disclosures prescribed in 1026.19(b) and (d) (6,752,000 total originations x
5%). The Bureau believes that these disclosures require a minimal amount of customization per
consumer, and therefore assumes that each disclosure imposes .003 burden hours per disclosure. The
Bureau estimates that the total number of burden hours associated with this collection to be about
1,000 (381,000 covered loans x .003 burden hours).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about
86,000 originations: 300 total burden hours (86,000 originations x .003 hours per response).
1026.19(e) and (f) Loan estimate & origination disclosures
Using 2017 HMDA data, the Bureau estimates that about 6,752,000 mortgage originations may have
been required to be given loan estimate and origination disclosures under 1026.19(e) and (f). The
Bureau believes that these disclosures require a minimal amount of customization per consumer, and
therefore estimates that the disclosure imposes .003 burden hours per disclosure. The Bureau
estimates the total number of burden hours associated with this collection to be about 20,000
(6,752,000 mortgage originations x .003 hours per response).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about
1,527,000 originations: 5,000 total burden hours (1,527,000 originations x .003 hours per response).
1026.19(g) Special information booklet at time of application
The Bureau created the booklet to be interactive and publishes the booklet online. The Bureau
believes that the booklet is delivered electronically and assumes de minimis burden. The Bureau
invited comment on this assumption during the 60-day comment period, and did not receive any.
1026.20(c) and (d) ARM Notice
11

5% estimated by taking the geometric mean of all 2017 ARM transactions as reported by EllieMae here:
https://static.elliemae.com/pdf/origination-insight-reports/Ellie_Mae_OIR_DECEMBER2017.pdf

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The Bureau estimates that about 5% of mortgage loans originations were variable-rate transactions. 12
Using 2017 HMDA data, the Bureau estimates that about 6,752,000 mortgage loans were originated
in 2017. Therefore, the Bureau estimates that about 381,000 mortgage transactions may have been
required to provide the disclosures prescribed in 1026.20(c) and (d) (6,752,000 total originations x
5%). The Bureau believes that these disclosures require a minimal amount of customization per
consumer, and therefore assumes that each disclosure imposes .003 burden hours per disclosure. The
Bureau estimates that the total number of burden hours associated with this collection to be about
1,000 (381,000 covered loans x .003 burden hours).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about
86,000 originations: 300 total burden hours (86,000 originations x .003 hours per response).
1026.20(e) Escrow closing notice
Using data published by CoreLogic, the Bureau assumes that 79% of mortgage loans currently have
an escrow account. 13 The US Census estimates that there were about 48,168,000 active mortgages in
2017. 14 Further, the Bureau assumes that 10% of escrows are cancelled each year. 15 Therefore, the
Bureau estimates that about 3,805,000 escrows were cancelled and, therefore, may have been
required to comply with 1026.20(e) (48.1 million mortgages x 79% escrow x 10% cancelled). The
Bureau believes that these disclosures require a minimal amount of customization per consumer, and
therefore assumes that each disclosure imposes .003 burden hours per disclosure. The Bureau
estimates that the total number of burden hours associated with this collection to be 11,000 hours
(3,805,000 cancellations x .003 burden hours).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about
2,462,000 cancellations: 7,000 total burden hours (2,462,000 x .003 hours per response).
1026.23 Notice of Right to Rescind:
The Bureau, using its CCP, estimates that there were about 1.2 million new covered loans in 2017;
therefore, the disclosure under 1026.16(b) is estimated to be provided 2.4 million times. These
disclosures require minimal change from consumer-to-consumer, and therefore are estimated to
generate .0014 hours of burden per disclosure. Therefore, the Bureau estimates a total burden of
3,000 hours per year (2.4 million originations x .0014 hours).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about
1,152,000 originations: 2,000 total burden hours (1,152,000 accounts x .0014 hours per response).
The Bureau is treating the written notice given by the consumer wishing to rescind to the loan to the
12

See, supra (7)
See, https://www.corelogic.com/blog/2017/06/escrow-vs-non-escrow-mortgages-the-trend-is-clear.aspx
14
See,
https://factfinder.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ACS_17_1YR_DP04&prodType=table
15
The Bureau invited comment on this assumption during the 60-day period, and did not receive any.
13

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originator as a recordkeeping requirement on the lender and the burden of that is included in the
bureau’s estimates for the recordkeeping requirements for this rule generally
1026.24 Disclosures in advertising of mortgage terms
The Bureau lacks data necessary to calculate the burden associated with these collections and sought
comment to assist in its burden estimation during the 60-day comment period, but did not receive
any.
Subpart D: Miscellaneous
1026.25 Record retention requirements
In general, the Bureau assumes that records are retained electronically and impose de minimis burden.
The Bureau invited comment regarding this assumption during the 60-day comment period, and did
not receive any.
1026.26 Use of annual percentage rate in oral disclosures
The Bureau believes that these disclosures are typically part of other calls, and communicating only
the APR provides a de minimis burden on covered persons.
Subpart E: Special rules for certain home mortgage transactions
Generally 1026.31 contains general rules for certain transactions covered by this section and the
content of disclosures for certain mortgage transactions are contained in 1026.37 . Specific
requirements and associated burdens are discussed below.
1026.32(c) Disclosures for high-cost mortgages
Using 2017 HMDA and McDash data the Bureau estimates that there were around 578,000 high-cost
mortgage transactions in 2017. The Bureau believes that these disclosures require a minimal amount
of customization per consumer, and therefore assumes that each disclosure imposes .003 burden
hours per disclosure. The Bureau estimates that the total number of burden hours associated with this
collection to be about 2,000 (578,000 covered loans x .003 burden hours).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau estimates allocates to itself the burden of
about 402,000 transactions: 1,000 total burden hours (402,000 transactions x .003 hours per
response).
1026.33(b) Requirements for reverse mortgage disclosures
Burden for reverse mortgage transactions is accounted for in OMB Control Number 3170-0016.
1026.34(a) Certification of housing counseling for high-cost mortgages
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Using 2017 McDash data the Bureau estimates that approximately 0.12% of all mortgage originations
were high-cost mortgages. According to 2017 HMDA estimates, there were about 6,752,000
mortgage originations in 2017 resulting in an estimated 81,000 high-cost mortgage originations. The
Bureau assumes that each housing counseling session to obtain a high-cost mortgage requires
minimal customization per consumer and assigns an estimated 0.0014 burden hours to each session.
This results in an estimated 80 total burden hours associated with this collection (81,000 high-cost
mortgage originations x .0014 hours per response).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about
57,000 transactions: 60 total burden hours (57,000 transactions x .0014 hours per response).
1026.35(c)(3) Written appraisals for higher-priced mortgage loans
Using 2017 HMDA and McDash data the Bureau estimates that there were approximately 47,000
higher-priced mortgage loan originations 2017. The Bureau estimates that written appraisals assume
.25 burden hours per appraisal, resulting in 12,000 burden hours (47,000 covered originations x 0.25
burden hours).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about
33,000 originations: 1,000 total burden hours (33,000 originations x 0.25 hours per response).
1026.35(c)(4) Verification requirement for additional appraisals for some high-priced mortgages
loans
Using 2017 HMDA and McDash data the Bureau estimates that there were approximately 47,000
higher-priced mortgage loan originations 2017. The Bureau estimates that each written appraisal
assumes .25 burden hours per appraisal, resulting in 24,000 burden hours (47,000 covered
originations x 0.25 burden hours x 2 written appraisals for certain high-priced mortgages).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about
33,000 originations, and therefore allocates to itself 2,000 total burden hours (33,000 originations x
0.25 hours per response x 2 written appraisals).
1026.36(c)(1) Payment processing
The Bureau believes that the payment processing disclosures described in 1026.36(c) are disclosed
upon origination of the mortgage and requires no additional burden. The Bureau therefore assumes de
minimis burden and invited comment on this assumption during the 60-day comment period, and did
not receive any.
1026.36(c)(3) Payoff statements
The Bureau believes that the payoff statements described in 1026.36(c)(3) are disclosed upon
origination of the mortgage as well as in periodic statements of the loan obligation and requires no
additional burden. The Bureau therefore assumes de minimis burden and invited comment on this
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assumption during the 60-day comment period, and did not receive any.
1026.39 Mortgage transfer disclosures
Using 2017 McDash data the Bureau estimates that approximately 6% of active mortgage
transactions received a mortgage servicing transfer. According to Census estimates there were
48,168,000 active mortgages in 2017 resulting in an estimated 2,890,000 servicing transfers. The
Bureau assumes that disclosures for each servicing transfer requires minimal customization per
consumer and assigns an estimated 0.003 burden hours to each session. This results in an estimated
9,000 total burden hours associated with this collection (2,890,000 servicing transfers x .003 hours
per response).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about
1,792,000 transfers: 3,000 total burden hours (1,792,000 transactions x .0014 hours per response).
1026.40(a) Requirements for home equity plans (disclosures)
The Bureau estimates that about 2,000,000 accounts may receive the disclosures as prescribed in
1026.40(a). The Bureau assumes that these require minimal individualization for each consumer, and,
therefore, require .003 hours per response. The Bureau estimates that these disclosures require 6,000
total hours of burden (2,000,000 responses x .003 hours per response).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about
992,000 responses: 3,000 total burden hours (992,000 responses x .003 hours per response).
1026.41 Periodic statement for residential mortgage loans
The Bureau believes that the issuance of period statements for residential mortgage loans is
conducted in the normal course of business and therefore presents a de minimis burden. The Bureau
invited comment on this assumption during the 60-day comment period, and did not receive any.
Subpart F: Special rules for private education loans
1026.47(a) Private education loan application or solicitation disclosures
The Bureau estimates that about 2 million private student loan applications are submitted each year, 16
and assumes that 3 solicitations are sent by private student loan lenders per successful application.
Therefore, the Bureau estimates that about 8 million application and solicitation disclosures are sent
each year (2 million applications + 6 million solicitations). The Bureau believes that these disclosures
require almost no customization per consumer, and therefore assumes that each disclosure imposes
.0014 burden hours per disclosure. Therefore, the Bureau estimates that this provision imposes about
11,000 burden hours (8 million applications/solicitations x .0014 burden hours per response).
16

The Bureau looked at the total number of inquiries in its CCP, and then multiplied this number by 3 because inquiries
are not reported to all NCRAs.

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The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about 4.5
million disclosures: 8,000 total burden hours (4.5 million disclosures x .0014 hours per response).
1026.47(b) Private education loan approval disclosures
The Bureau estimates that about 1.4 million private student loan applications were approved in
2017. 17 The Bureau believes that these disclosures require a minimal amount of customization per
consumer, and therefore assumes that each disclosure imposes .003 burden hours per disclosure.
Therefore, the Bureau estimates that this provision imposes about 4,000 burden hours (1.4 million
approvals x .003 hours per response).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself the burden of about 1
million approvals, and therefore allocates to itself 3,000 total burden hours (1 million approvals x
.003 hours per response).
1026.47(c) Private education loan final disclosures
The Bureau estimates that about 14.3 million student loans were originated in 2017, 18 and that about
8% of these are private student loans. 19 Therefore, the Bureau estimates that about 1.1 million private
student loans are originated and may receive disclosures prescribed in 1026.47(c). The Bureau
believes that these disclosures require a minimal amount of customization per consumer, and
therefore assumes that each disclosure imposes .003 burden hours per disclosure. Therefore, the
Bureau estimates that this provision imposes about 3,000 burden hours (1.1 million approvals x .003
hours per disclosure).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau estimates that it is responsible for the
burden of about 836,000 originations, and therefore allocates to itself 2,500 total burden hours
(836,000 originations x .003 hours per response).
Subpart G: Special rules applicable to credit card accounts and open-ended credit offered to
college students
1026.56 Requirements for over-the-limit transactions
The Bureau believes that, generally, disclosures related to over-the-limit transactions are included in
account opening disclosures, and requires no additional burden. Therefore, the Bureau estimates
burden associated with 1026.56 to be de minimis. The Bureau invited comment on this assumption
17

The Bureau has reviewed suggestive evidence that about 70% of private student loan applications are approved. See
https://www.credible.com/blog/student-loans/cosigners-helping-borrowers-get-better-rates-on-student-loans/. The Bureau
invited comment on this estimate during the 60-day comment period, and did not receive any.
18
See, Quarterly Consumer Credit Trends available here: https://www.consumerfinance.gov/data-research/consumercredit-trends/student-loans/origination-activity/
19
See, Measure One Q1 2018: https://docs.wixstatic.com/ugd/0aaff0_4c29f76cdc1845be961ab388b57e5ae1.pdf

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during the 60-day comment period, and did not receive any.
1026.57(b) Reporting and marketing rules for college student open-ended credit
The Bureau believes that these disclosures are generally located on the institution’s website, and
require only de minimis time to post. The Bureau invited comment on this assumption during the 60day comment period, and did not receive any.
1026.57(d) Annual report to the Bureau
The Bureau received about 30 student credit card issuers provide these reports to the Bureau.
Respondents have the ability to provide these reports quarterly, resulting in 120 responses (30
covered persons x 4 quarters). The Bureau assumes that it takes about two hours to complete each
submission. Therefore, the Bureau estimates about 240 burden hours associated with 1026.57(d) (120
responses x 2 hours per response).
The Bureau allocates to itself the burden from depository institutions with assets greater than $10
billion and half of non-depository institutions. The Bureau allocates to itself all burden associated
with 1026.57(d).
1026.58(c) Internet posting of credit card agreements
The Bureau believes that these disclosures require de minimis burden. The Bureau invited comment
on this assumption during the 60-day comment period, and did not receive any.
1026.60(b) Application and solicitation disclosures
The Bureau assumes that these disclosures are not personalized to each consumer, and require 2 hours
each month to produce. Therefore, the Bureau estimates that there are 360 responses each year (30
student credit card providers x 12 months), and that this update requires about 2 hours of burden each
month. The total amount of burden associated with 1026.60(b) is 720 burden hours (360 responses x
2 hours). The Bureau allocates to itself all 720 burden hours.
13.

Estimated Total Annual Cost Burden to Respondents or Recordkeepers
Additional Materials Cost: $ 140,453,000

The Bureau believes most of the required disclosures in this collection are provided electronically,
and therefore incur no costs. The Bureau estimates that 90% of disclosures, other than periodic
statements, are provided electronically and 95% of periodic statements are provided electronically.
The Bureau estimates that all information collections in this renewal other than periodic statements
are either handed to the consumer or mailed with other disclosures, therefore requiring $0.10 of
material burden. The Bureau assumes that periodic statements not received electronically are mailed
to consumers at an average cost of $0.49 per statement. Material costs for information collections
estimated to have de minimis burden are not calculated.
Table 2: Current Cost Burden of Recordkeeping, Disclosure and Reporting Requirements
34

3170-0015 30-day Federal Register Notice Version

Information Collection requirement

No. CFPB Responses

Per unit cost
(USD)

Share electronic

CFPB Share
Materials Cost (USD)

593,000

0.1

0.9

6,000

58,289,000

0.1

0.9

583,000

56,403,000

0.49

0.95

1,382,000

4,874,462,000

0.49

0.95

119,424,000

(b)

(b)

(b)

(b)

1,494,000

0.1

0.9

15,000

82,149,000

0.49

0.9

4,025,000

2,663,000

0.1

0.9

27,000

(c)

(c)

(c)

(c)

2,663,000

0.49

0.9

130,000

767,000

0.49

0.9

38,000

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b0

4,071,000
585,000

0.49
0.1

0.9
0.9

199,000
6,000

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

(c)

5,084,139,000

////////////////////

/////////////////////////

125,835,000

(d)

(d)

(d)

(d)

86,000

0.1

0.9

1,000

Subpart B: Open Ended Credit
1026.6(a) HELOC account opening
disclosures
1026.6(b) Other open-ended account
opening disclosures
1026.7(a) HELOC periodic statements
1026.7(b) Other non-HELOC open-ended
periodic statements
1026.9(a) Statement of billing rights
1026.9(b) Disclosures for supplemental
credit access devices and additional
features
1026.9(c)(1)Change in terms notice for
HELOCs and open-ended plans
1026.9(e) Disclosures upon renewal of
credit or charge card
1026.9(f) Change in credit card account
insurance provider
1026.9(g) Increase in rates due to
delinquency or default as a penalty
1026.11(c) Timely settlement of estate
debts
1026.12(b) Liability of cardholder for
unauthorized use
1026.12(e) Prompt notification of returns
and credit of refunds
1026.13 Billing error resolution notice
1026.15(b) Notice of right to rescind
1026.16(b) Required disclosures in
advertisements
1026.16(d) Advertisement of terms that
require additional disclosures
1026.16(g) Disclosure of promotional rates
and fees in advertisement
1026.16(h) Disclosure of deferred interest
or similar offers in advertisements
Subpart B Sub-total:
Subpart C: Closed-Ended Credit
1026.19 Mortgage transactions subject to
RESPA
1026.19(b) and (d) Disclosure of certain
variable-rate transactions

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3170-0015 30-day Federal Register Notice Version

1026.19(e) & (f) Loan estimate &
origination disclosures
1026.19(g) Special information booklet at
time of application
1026.20 ARM Notice
1026.20(e) Escrow closing notice

1,527,000

0.1

0.9

15,000

(b)

(b)

(b)

(b)

86,000
2,462,000

0.1
0.49

0.9
0.9

1,000
121,000

585,000

0.1

0.9

6,000

(c)

(c)

(c)

(c)

4,746,000

////////////////////

//////////////////////////

142,000

1026.25 Record retention requirements

(a)

(a)

(a)

(a)

1026.26 Use of APR in oral disclosures

(b)

(b)

(b)

(b)

2,000

0.1

0.9

25

(d)

(d)

(d)

(d)

2,000

0.1

0.9

25

33,000

0.1

0.9

3,000

(b)
(b)

(b)
(b)

(b)
(b)

(b)
(b)

1,792,000

0.1

0.9

161,000

992,000

0.1

0.9

10,000

576,000,000

0.49

0.95

14,112,000

578,821,000

//////////////////

////////////////////////

14,286,050

6,053,000

0.49

0.95

148,000

1,059,000

0.49

0.95

26,000

836,000

0.49

0.95

20,000

7,948,000

/////////////////

///////////////////////

194,000

1026.23 Notice of Right to Rescind
1026.24 Disclosures in advertising of
mortgage terms
Subpart C Sub-total:
Subpart D: Miscellaneous

Subpart D Sub-total:
Subpart E: Special rules for certain home mortgage transactions
1026.32(c) Disclosures for high-cost
mortgages
1026.33(b) Requirements for reverse
mortgage disclosures
1026.34(a) Certification of housing
counseling for high-cost mortgages
1026.35(c)(3) Written appraisals for
higher-priced mortgage loans
1026.36(c)(1) Payment processing
1026.36(c)(3) Payoff statements
1026.40(a) Requirements for home equity
plans (disclosure)
1026.40(a) Requirements for home equity
plans (disclosures)
1026.41 Periodic statement for residential
mortgage loans
Subpart E Sub-total:
Subpart F: Special rules for private education loans
1026.47(a) Private student loan application
or solicitation disclosures
1026.47(b) Private student loan approval
disclosure
1026.47(c) Private student loan final
disclosures
Subpart F Sub-total:

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3170-0015 30-day Federal Register Notice Version

Subpart G: Special Rules Applicable to credit card accounts and open-end credit offered to college students
1026.56 Requirements for over-the-limit
transactions
1026.57(b) Reporting and marketing rules
for college student open-ended credit
1026.57(d) Annual report to the Bureau
1026.58(d) Posting of agreements offered
to the public
1026.58(e) Agreements for all open
accounts
1026.60(b) Application and solicitation
disclosures

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

(b)

5,676,109,000

////////////////

/////////////////////////

140,459,000

Subpart G Sub-total:
Total Costs for CFPB Respondents

Notes:
(a) The Bureau assumes that recordkeeping is electronic, and that preserving each record represents a de
minimis burden.
(b) The Bureau assumes de minimis burden.
(c) The Bureau lacks data adequate to estimate the burden of this Regulation Z and sought comment to
assist in its burden estimation during the 60-day comment period, but did not receive any.
(d) Burden accounted for in another Control Number.(Regulation X 3170-0016)

14.

Estimated Cost to the Federal Government

There are no costs to the federal government.
15.

Program Changes or Adjustments

Table 3: Burden Changes
Total Annual
Burden Requested
Current OMB
Inventory
Difference (+/-)
Program Change
Discretionary
New Statute
Violation
Adjustment

Total
Respondents

Annual Responses

20,000

303,968,000

13,823

243,058,296

6,177
0
0
0
0
6,177

60,909,704
0
0
0
0
60,909,704

37

Burden Hours
1,265,000
10,224,672
- 8,959,672
0
0
0
0
- 8,959,672

Cost Burden
(O&M)
140,459,000
20,021,382
120,437,618
0
0
0
0
120,437,618

3170-0015 30-day Federal Register Notice Version

The Bureau estimates that there is an increase of about 6,100 respondents due to new entrants into the
market. Annual burden increased because the Bureau conducted a comprehensive review of the
information collections in Regulation Z and the related estimated burdens. This comprehensive
review resulted in the Bureau identifying information collections that OMB had approved when the
Bureau inherited Regulation Z from the Board, but had not been subsequently enumerated. Finally,
burden hours decreased because of industry adoption of technology in the previous several years.
16.

Plans for Tabulation, Statistical Analysis, and Publication

There are no plans for the publication of the information.
17.

Display of Expiration Date

The OMB control number and expiration date associated with this PRA submission will be displayed
on the Federal government’s electronic PRA docket at www.reginfo.gov, as well as in the Code of
Federal Regulations (CFR). There are no required forms or other documents upon which display of
the control number and expiration date would be appropriate. However the control number is
displayed on the compliance guides issued by the Bureau to aid covered entities in complying with
this regulation
18.

Exceptions to the Certification Requirement

The Bureau certifies that this collection of information is consistent with the requirements of 5 CFR
1320.9, and the related provisions of 5 CFR 1320.8(b)(3) and is not seeking an exemption to the
certification requirements.
PART B Collections of Information Using Statistical Methods
The information collection request does not propose the use of statistical methods; therefore,
Supporting Statement Part B does not apply.

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