Disclosures in Financing 5

Regulation Z - The Big 9!!!!!

The first four disclosures must include simple descriptive phrases of explanation similar to what is written besides them.

1) Amount Financed - The amount of credit (principal amount borrowed less prepaid finance charges includeable) provided to you

2) Finance Charge - The dollar amount the credit will cost you

3) Annual Percentage Rate - The cost of your credit expressed as a yearly rate

4) Total of Payments - The amount you will have paid when you have made all of the scheduled payments.

5) Payment Schedule - The number, amount, and timing of payments

6) Name of the lender - /creditor making the disclosure

7) Written itemization of the amount financed , or a statement that the consumer has a right to recieve a written itemization, and a space in the statement for the consumer to indicate whether the itemization is requested

8) Variable interest rate and discounted variable rate disclosures, including limitations and effects of a rate increase and an example of payment terms resulting from the increase. This may be accomplished or satisfied by giving the consumer the "Consumer Handbook on Adjustable Rate Mortgages" or a suitable substitute.

9) In addition the above mentioned disclosure , the regaulation also requires disclosures regarding due-on-sale clauses, prepayment penalties, late payment charges, description of the property , insurance requirements, and loan assumptions.