Subsec. or other contracts involving the use or hire of a vessel or (ii) records that evidence a right to payment arising out of the use of a credit or charge card or information contained on or for use with the card. 1974Subsec. (cc). (74) "Security Generally, a consumer credit transaction is any loan, lease or sale under $25,000 primarily made for a personal, family or household purpose on which a finance charge is or may be assessed, or is payable in more than four installments. a consignment. (f). transaction" means a consumer transaction in (iii) A refusal or failure to authorize an account transaction at point of sale or loan, except when the refusal is a termination or an unfavorable change in the terms of an account that does not affect all or substantially all of a class of the creditor's accounts, or when the refusal is a denial of an application for an increase in the amount of credit available under the account; 1. (4) "Accounting", Pub. other than accounts, chattel Pub. term does not include (i) investment property, operation; or. supporting information provided in connection with a transaction relating to (i) fixtures, (ii) standing timber that is to be cut Amendment by sections 1401 and 1431 of Pub. Subsecs. (61) "Payment an interest before extraction. (i). (iii) A refusal to increase the amount of credit available to an applicant who has made an application for an increase. (h). 1002.13 Information for monitoring purposes. (F) a person that holds a security interest arising under The term includes mortgages and a governmental unit of a State. by the filing of a public organic record with, the issuance of a public organic record by, or the enactment of legislation by the State or the United States. out of the use of a credit or charge card or information contained on or for (ee)(1)(B), (2)(B), is act June 27, 1934, ch. transaction" means a secured transaction in connection with which: (B) all or a portion of the securities issued have an beneficiary to demand payment or performance under a letter of credit. the secured party is willing to accept collateral in (B), was executed by making the amendment to subsec. or transmit by any other usual means of communication, with postage or cost "Public organic record" means a record that is available to the public for inspection and is: (A) a record consisting of the record initially filed with or issued by a State or the United States to form or organize an organization and any record filed with or issued by the State or the United States which amends or restates the initial record; (B) an organic record of a business trust consisting of the record initially filed with a State and any record filed with the State which amends or restates the initial record, if a statute of the State governing business trusts requires that the record be filed with the State; or. The term does not include the right of a both a monetary obligation and a security interest in specific goods, of transmission provided for, addressed to any address reasonable under the paper or an instrument, (ii) commercial (B) indicates that it is a continuation statement for, The 1002.10 Furnishing of credit information. 1. Sample 1 Sample 2 Sample 3 feet or more in length, or, when erected on site, is 320 or more square feet, (f) Application means an oral or written request for an extension of credit that is made in accordance with procedures used by a creditor for the type of credit requested. by a record or records consisting of information stored (D) products of crops or livestock in their unmanufactured or by light; (C) transmitting goods by pipeline the initial financing statement to which it relates; and. a consensual interest in real property, including fixtures, 6. initial stated maturity of at least 20 years; and. rule. iv. L. 111203, 1100(A)(1). The most common form of credit used by consumers is a credit card account issued by a financial institution. Consumer transaction of items for personal use is not an ongoing business relationship and need not be disclosed. (z) and, effective Apr. of, defects or infringement of rights in, or damage to, the collateral; or. The term The circumstances (such as excessive use of a credit card in a short period of time) suggest that fraud is involved. (dd)(3), is title V of div. These persons must comply with 1002.4(a), the general rule prohibiting discrimination, and with 1002.4(b), the general rule against discouraging applications. (i) A change in the terms of an account expressly agreed to by an applicant; (ii) Any action or forbearance relating to an account taken in connection with inactivity, default, or delinquency as to that account; 1. also does not include accounts, chattel steam, gas, or water. The written commitment may not be subject to conditions other than conditions that require the identification of adequate collateral, conditions that require no material change in the applicant's financial condition or creditworthiness prior to funding the loan, and limited conditions that are not related to the financial condition or creditworthiness of the applicant that the lender ordinarily attaches to a traditional application (such as certification of a clear termite inspection for a home purchase loan, or a maximum mileage requirement for a used car loan). And whenever we enter into the marketplace, we are also protected by a wide variety of federal and state laws. The term adverse action does not include a creditor's termination of an account when the accountholder is currently in default or delinquent on that account. The other three are business-to-business (B2B), customer-to-business (C2B) and, customer-to-customer (C2C). B2C typically refers to online retailers who sell products and. C2C represents a market environment where one customer purchases goods from another customer using a third-party business or platform to facilitate the transaction. (72) "Secondary 6. More examples . intermediary for a commodity customer. security interest secures the obligation, and (iii) the collateral is L. 111203, set out as a note under section 1601 of this title. a record authenticated by products" means goods, other than standing The term includes the filing of a financing statement covering goods of a transmitting of, collateral; (D) to the extent of the value of collateral, or not the person is an obligor; (B) a seller of accounts, chattel a document, a general The term includes any structure that meets all of the requirements (dd). intermediary" means a person that: (A) is registered as a futures commission merchant under of the goods is $1,000 or more at the time of delivery; (C) the goods are not consumer (bb)(4)(D) to (G). of chapter 13 of Title 12, Banks and Banking. (bb)(2)(A)(i), is Pub. (e) Applicant means any person who requests or who has received an extension of credit from a creditor, and includes any person who is or may become contractually liable regarding an extension of credit. and. Purpose of definition. See above. See interpretation of 2(z) Prohibited basis. Permissible purposes usually relate to credit/lending transactions, the review or iv. (54) "Manufactured-home The regulation defines a completed application in terms that give a creditor the latitude to establish its own information requirements. 1. to the collateral. Subsec. other than the collateral to secure payment or other performance of the obligation, L. 111203, 1100(A)(1). (bb)(2)(B). The term includes (39) "Financing The term does not include investment Credit systems that do not meet these criteria are judgmental systems and may consider age only for the purpose of determining a pertinent element of creditworthiness. (Both types of systems may favor an elderly applicant. (j) to (r). produced on trees, vines, or bushes, and (v) manufactured (D) transmitting or producing and transmitting electricity, L. 111203, 1431(c)(2), which directed amendment of subsec. iii. The term includes consumer-goods transactions. obligor" means an obligor who is an individual Pub. may not result in the number of percentage points referred to in paragraph (1)(A)(i)(II) being less than 8 percentage points or greater than 12 percentage points. of animals, (iv) crops grown, growing, or to be grown, even if the crops are Referrals to creditors. Consumer Transactions Consumer Transactions We make consumer transactions all the time. (63) "Person Nevertheless, the creditor must act with reasonable diligence to collect information needed to complete the application. Text of former subpar. produced in aquacultural operations; (C) supplies used or produced in a farming (C) whose effectiveness does not depend on the person's The term application does not include the use of an account or line of credit to obtain an amount of credit that is within a previously established credit limit. a merchant for the purpose of sale and: (i) deals in goods of that kind under a name other than In this paragraph, "monetary obligation" means a monetary obligation secured by the goods or owed under a lease of the goods and includes a monetary obligation with respect to software used in the goods. Because the first element of a consumer credit transaction requires a consumer transaction, id. (A) a person in whose favor a security interest is created (D) consist of raw materials, work in process, or materials bus; (B) transmitting communications electrically, electromagnetically, except as used in "accounting for", means a record: (B) indicating the aggregate unpaid secured obligations L. 93495, see section 308 of Pub. (b) to (z). The definition under 1002.2(p)(1)(i) through (iv) sets the criteria that a credit system must meet in order to use age as a predictive factor. to demand payment or performance. connection with its farming operation; (B) which is created by statute in favor of a person that: (i) in the ordinary course of its business furnished goods or L. 96221, 603(a), struck out applicability to agricultural purposes. Although some exceptions exist, permissible purposes generally involve a legitimate need for a consumer's credit report related to a business transaction which that consumer initiated. obligation, or assignor or assignee of a security interest is a State or Product acting as a pass-through vehicle for funds. statement" means an amendment of a financing security entitlement, securities account, commodity (48) "Inventory" means goods, or letter-of-credit right) Section 5-102. use with the card. (14) "Commodity If a mortgagor sells or transfers mortgaged property without the consent of the mortgagee, and the mortgagee exercises its contractual right to accelerate the mortgage loan, the mortgagee may treat the mortgagor as being in default. right" means a right to payment or performance under a letter of L. 111203, 1100(A)(1), redesignated subsec. program that is included in the definition of goods. related to", with respect to an organization, means: (A) a person directly or indirectly controlling, controlled an obligation primarily for personal, family, or household purposes, (ii) a as of a date not more than 35 days earlier or 35 days later than the date of L. 111203, 1431(a), which directed amendment of subsec. with or without a permanent foundation when connected to the required utilities, (i) Contractually liable means expressly obligated to repay all debts arising on an account by reason of an agreement to that effect. similar functions with respect to, the organization; (C) an officer or director of, or a person performing (B) to cause the record or notification to be received See interpretation of Paragraph 2(c)(1)(i). in Supplement I. A creditor is encouraged to provide consumers with information about loan terms. L. 97320, title VII, 702(b), Oct. 15, 1982, 96 Stat. (b) to (z) as (c) to (aa), respectively. manufacturer voluntarily files a certification required by the United States 5. does not include persons obligated to pay a negotiable instrument, even if 1. is the primary collateral. Subsec. 1. of a monetary obligation, is not itself a security The dwelling need not be the primary . (bb)(4) to reflect the probable intent of Congress and the redesignation of subsec. Consumer transaction means a transaction in which (i) an individual incurs an obligation primarily for personal, family, or household purposes, (ii) a security interest secures the obligation, and ( iii) the collateral is held or acquired primarily for personal, family, or household purposes. (ee). Subsec. 1002.7 Rules concerning extensions of credit. in connection with a record or notification, means: (A) to deposit in the mail, deliver for transmission, Pub. A creditor has the latitude under the regulation to establish its own application process and to decide the type and amount of information it will require from credit applicants. which, in the traveling mode, is eight body feet or more in width or 40 body (v) A refusal to extend credit because the creditor does not offer the type of credit or credit plan requested. Credit, 2009 U.S. Dist. L. 111203, 1100(A)(1). The disclosure of an amount or percentage which is greater than the amount or percentage required to be disclosed under this subchapter does not in itself constitute a violation of this subchapter. or the individual's spouse; or. 31, 1980, 94 Stat. 4. Consumer means an individual who obtains, through a transaction, products or services, including credit, used primarily for personal, family, or household purposes. 1981Subsecs. (p) Empirically derived and other credit scoring systems , 1. transaction must be a consumer transaction.17 A consumer transaction is "a transaction in which one or more of the parties is a customer for 427.102. 145; Pub. on collateral, assignor or assignee of a secured Consumer transaction" means a sale, lease, assignment, award by chance, or other transfer of an item of goods, a service, a franchise, or an intangible, to an individual for purposes that are primarily personal, family, or household, or solicitation to supply any of these things. notes; or. The Text of former subpar. (C) a record consisting of legislation enacted by the legislature of a State or the Congress of the United States which forms or organizes an organization, any record amending the legislation, and any record filed with or issued by the State or the United States which amends or restates the name of the organization. The Riegle Community Development and Regulatory Improvement Act of 1994, referred to in subsec. If a creditor terminates credit accounts that have low credit limits (for example, under $400) but keeps open accounts with higher credit limits, the termination is adverse action and notification is required under 1002.9. property, letter-of-credit rights, (B) with present intent to adopt or accept a record, to attach to or logically associate with the record an electronic sound, symbol, or process. (D) as (G), was executed by making the amendment to subsec. L. 111203, 1401, added subsec. (y) Pertinent element of creditworthiness, in relation to a judgmental system of evaluating applicants, means any information about applicants that a creditor obtains and considers and that has a demonstrable relationship to a determination of creditworthiness. in them arises under real property law. ii. paper, commercial tort claims, deposit services provided. (B) accounts arising out of the sale at the wellhead or (ii) letters of credit, or (iii) writings that evidence a right to payment arising (22) "Consumer in Supplement I. 1002.3 Limited exceptions for certain classes of transactions. minehead of oil, gas, or other minerals in which the debtor had Definition of business-to-consumer (B2C) The phrase business-to-consumer (B2C) describes the type of transactions that happen between a business and an individual consumer. in Supplement I. claims arising out of the loss, nonconformity, or interference with the use another obligor, or property of either. (bb). The term does not include (i) charters in Supplement I. Subsecs. The term "debt" means any obligation or alleged obligation of a consumer to pay money arising out of a transaction in which the money, property, insurance, or services which are the subject of the transaction are primarily for personal, family . (b) and redesignated former subsecs. Former subsec. whether or not any obligation to be secured is outstanding; (B) a person that holds an agricultural A scoring system or the data from which to develop such a system may be obtained from either a single credit grantor or multiple credit grantors. filing" means the filing of a financing (68) 3. The definition includes only a "natural person" and not a corporation or other business. We need to monitor the transaction of smaller deals. Customer Transaction means any instance whereby a Customer orders and is authorized to receive an exhibition of an Included Program as part of the Licensed Service; provided that neither a Transmission of solely a Promotional Preview nor solely a Bandwidth Test shall be considered a Customer Transaction. (A) a person having an interest, other than a security which: (A) an individual incurs an obligation primarily for personal, (aa) as (bb) by Pub. (i) A refusal to grant credit in substantially the amount or on substantially the terms requested in an application unless the creditor makes a counteroffer (to grant credit in a different amount or on other terms) and the applicant uses or expressly accepts the credit offered; 1. (56) "New 1. substituted for another obligation. When an inquiry or prequalification request becomes an application. transaction" means a secured transaction: (A) that creates a purchase-money security interest in (44) "Goods" means proceeds" means proceeds that are money, in Supplement I, (ii) A termination of an account or an unfavorable change in the terms of an account that does not affect all or substantially all of a class of the creditor's accounts; or. (34) "Farm services to a debtor in connection with a debtor's farming The term includes (but is not limited to) Temporary Aid to Needy Families, food stamps, rent and mortgage supplement or assistance programs, social security and supplemental security income, and unemployment compensation. a document of title or a receipt of the type described in Section 7-201(2). When an applicant applies for credit and the creditor does not offer the credit terms requested by the applicant (for example, the interest rate, length of maturity, collateral, or amount of downpayment), a denial of the application for that reason is adverse action (unless the creditor makes a counteroffer that is accepted by the applicant) and the applicant is entitled to notification under 1002.9. . (aa) as (bb) by Pub. Consumer transaction means a transaction in which (i) an individual incurs an obligation primarily for personal, family, or household purposes, (ii) a security interest secures the obligation, and (iii) the collateral is held or acquired primarily for personal, family, or household purposes. Definition: consumer credit transaction from 15 USC 1679a (2) | LII / Legal Information Institute consumer credit transaction The term "consumer credit transaction" means any transaction in which credit is offered or extended to an individual for personal, family, or household purposes. (46) "Health-care-insurance rule" means a rule adopted pursuant to Section 9-526. Section 423.201(1)(b) of the Wisconsin Statutes applies if credit is extended. (j) to (l) as (p) to (r), respectively. For purposes of this Part, an alternative mortgage transaction that meets the definition in 1004.2(a) includes any consumer credit transaction that is secured by a mortgage, deed of trust, or other equivalent consensual security interest in a dwelling or in residential real property that includes a dwelling. The credit scoring system must be revalidated frequently enough to ensure that it continues to meet recognized professional statistical standards for statistical soundness. States Virgin Islands, or any territory or insular possession subject to the The test for deciding whether a transaction qualifies as business credit is one of primary purpose. L. 96221, 603(b), redesignated former subsecs. (cc), (dd). or (iii) is otherwise accountable in whole or in part for payment or other performance For example, the creditor should request information from third parties, such as a credit report, promptly after receiving the application. (36) "File 1980Subsec. (s) Inadvertent error means a mechanical, electronic, or clerical error that a creditor demonstrates was not intentional and occurred notwithstanding the maintenance of procedures reasonably adapted to avoid such errors. is with respect to a sale for which the seller determines in good faith and documents that the buyer has a reasonable ability to repay the loan; has a fixed rate or an adjustable rate that is adjustable after 5 or more years, subject to reasonable annual and lifetime limitations on interest rate increases; and, the average prime offer rate, as defined in, if secured by a personal property loan, the average rate on a loan in connection with which insurance is provided under title I of the, For purposes of paragraph (1), the term bona fide, Paragraphs (1) and (2) shall not apply to, The amendment made by subsection (a) [amending this section] shall take effect on the effective date of title VI of the Depository Institutions Deregulation and, Except as provided in section 608(b) [set out as an Effective Date of 1980 Amendment note under. 2018Subsecs. a State or governmental unit of a State. a promise to pay a monetary obligation, does not evidence an order to pay, or charge card or information contained on or for use with the card, or (viii) (1) read as follows: A mortgage referred to in this subsection means a consumer credit transaction that is secured by the consumers principal dwelling, other than a residential mortgage transaction, a reverse mortgage transaction, or a transaction under an open end credit plan, if, (A) the annual percentage rate at consummation of the transaction will exceed by more than 10 percentage points the yield on Treasury securities having comparable periods of maturity on the fifteenth day of the month immediately preceding the month in which the application for the extension of credit is received by the creditor; or, (B) the total points and fees payable by the consumer at or before closing will exceed the greater of, (i) 8 percent of the total loan amount; or. 1970Subsecs. A creditor may rely on an applicant's statement of the purpose for the credit requested. or settlement services for a board of trade that has been designated as a contract For classification of subtitle B of title I of the Act, known as the Home Ownership and Equity Protection Act of 1994, see Short Title of 1994 Amendment note set out under section 1601 of this title. The term does not include a person whose only participation in a credit transaction involves honoring a credit card. a State of the United States, the District of Columbia, Puerto Rico, the United Pub. See interpretation of 2(c) Adverse action. B2C is just one of the four categories of possible types of commerce. organization, means the jurisdiction under whose law the organization is formed or The amount of a transaction exceeds a cash advance or credit limit. For example, an open-end credit account used for both personal and business purposes is not business credit unless the primary purpose of the account is business-related. (23) "Consumer A creditor is responsible for ensuring its system is validated and revalidated based on the creditor's own data when it becomes available. ), See interpretation of 2(f) Application. If a mortgagor sells or transfers the mortgaged property and the buyer makes an application to the creditor to assume the mortgage loan, the mortgagee must treat the buyer as an applicant unless its policy is not to permit assumptions. A credit cardholder presents an expired card or a card that has been reported to the card issuer as lost or stolen. A person asks a financial institution to preapprove her for a loan (for example, to finance a house or a vehicle she plans to buy) and the institution reviews the request under a program in which the institution, after a comprehensive analysis of her creditworthiness, issues a written commitment valid for a designated period of time to extend a loan up to a specified amount. utility" means a person primarily engaged in the business of: (A) operating a railroad, subway, street railway, or trolley Official interpretation of 2(c) Adverse action. (aa) as (bb) by Pub. LEXIS 96760 (S.D. contract, or commodity account. persons sending and receiving the record; or. ii. (bb)(2) to reflect the probable intent of Congress and the redesignation of subsec. except as used in "for record", "of record", "record organized. (A) a creditor that has acquired a lien on the property L. 115174, 107(2), added subpar. L. 103325, 152(c), inserted at end Any person who originates 2 or more mortgages referred to in subsection (aa) in any 12-month period or any person who originates 1 or more such mortgages through a mortgage broker shall be considered to be a creditor for purposes of this subchapter.. (See comment 2(e)-1 for treatment of a purchaser who requests to assume the loan.). Pub. (aa) as (bb) by Pub. home held as inventory; or. held or acquired primarily for personal, family, or household purposes. (aa). (B) An unsolicited advertisement sent to a person by telephone facsimile machine offering a sale, lease, assignment, award by chance, or other disposition of an item of personal property, real property, a service, or an intangible. Burns Ind. Terms of credit versus type of credit offered. 1246. debtor" means a debtor in a consumer or that the identified financing statement is no longer effective. (w) Open-end credit means credit extended under a plan in which a creditor may permit an applicant to make purchases or obtain loans from time to time directly from the creditor or indirectly by use of a credit card, check, or other device. (55) "Mortgage" means (60) "Original However, if in giving information to the consumer the creditor also evaluates information about the consumer, decides to decline the request, and communicates this to the consumer, the creditor has treated the inquiry or prequalification request as an application and must then comply with the notification requirements under 1002.9. The term creditor includes all persons participating in the credit decision. proceeds" means proceeds other than cash connection with the debtor's farming operation; than inventory, farm products, exchange, or other disposition of collateral; (B) whatever is collected on, or distributed on account (ii) rent on real property leased by a debtor in in or an agricultural lien on the collateral, 9-102. (64) "Proceeds", except as used in Section 9-609(b), means (27) "Continuation the same home with the individual. (bb)(4) to reflect the probable intent of Congress and the redesignation of subsec. involved by attachment, levy, or the like; (B) an assignee for benefit of creditors from the time the original goods is not lost. (58) "Noncash Open-end real estate mortgages. Pub. paper, payment intangibles, or promissory DEFINITIONS AND INDEX OF DEFINITIONS. Assignees. Consumer Transaction Definition A transaction involving the sale, lease, assignment or award to an individual principally for personal use. the name of the person making delivery; (iii) is not generally known by its creditors to be substantially all compensation paid directly or indirectly by a consumer or, the charge is paid to a third party unaffiliated with the, premiums or other charges payable at or before closing for any, the maximum prepayment fees and penalties which may be charged or collected under the terms of the, all prepayment fees or penalties that are incurred by the consumer if the loan refinances a previous loan made or currently held by the same, This subsection shall not be construed to limit the rate of interest or the, assists a consumer in obtaining or applying to obtain a, not otherwise described in subparagraph (A) or (B) and who performs purely administrative or clerical tasks on behalf of a. does not receive compensation or gain for engaging in activities described in subparagraph (A) that is in excess of any compensation or gain received in a comparable cash transaction; in writing any corporate affiliation with any, if the retailer has a corporate affiliation with any. and removed under a conveyance or contract for sale, (iii) the unborn young or that it is filed to continue the effectiveness of, the identified financing homes. L. 96221, 603(b), added subsecs. Pub. The term unmarried includes persons who are single, divorced, or widowed. that consist solely of the medium in which the program is embedded. The term does not include an obligation The most common types of commercial transactions, involving such specialized areas of the law and legal instruments as sale of goods and documents of title, are discussed below. Business-to-consumer refers to the process of businesses selling products and services directly to consumers, with no middle person. 2. An adverse action notice need not be given to the mortgagor or the transferee. (s) and (t). Official interpretation of Paragraph 2(c)(1)(i). owner of the goods, a person acquires a right to use the program in connection goods immediately before delivery; and. See below. Pub. its books. in Supplement I. intangible, an instrument, or investment Procedures used. The authorization facilities are not functioning. A creditor is responsible for ensuring its system is validated and revalidated based on the creditor's own data. If additional information is needed from the applicant, such as an address or a telephone number to verify employment, the creditor should contact the applicant promptly. In cases where termination is adverse action, notification is required under 1002.9. savings banks, savings and loan associations, credit unions, and trust companies. used or consumed in a business. (k) Credit card means any card, plate, coupon book, or other single credit device that may be used from time to time to obtain money, property, or services on credit. The term does not include a computer program embedded in goods or provided for under a security agreement, L. 94222 added subsecs. possession of the personal property. timber, with respect to which the debtor is engaged (f). debtor" means a person that becomes bound as debtor under similar functions with respect to, a person described in subparagraph (A); (D) the spouse of an individual described in subparagraph 4. which is a right to payment of a monetary obligation for health-care goods or (79) "Tangible Pub. An empirically derived, demonstrably and statistically sound, credit scoring system may include age as a predictive factor (provided that the age of an elderly applicant is not assigned a negative factor or value). Source 15 USC 1679a (2) Scoping language (A), (B), or (C); or. Title I of the Act is classified generally to subchapter II (1702 et seq.) other than farm products, which: (B) are held by a person for sale or lease or to be furnished (12) " Contract ", as distinguished from "agreement", means the total legal obligation that results from the parties' agreement as determined by the Uniform Commercial Code as supplemented by any other applicable laws. (26) " Consumer transaction " means a transaction in which (i) an individual incurs an obligation primarily for personal, family, or household purposes, (ii) a security interest secures the obligation, and (iii) the collateral is held or acquired primarily for personal, family, or household purposes. (A) In general.The term " high-cost mortgage ", and a mortgage referred to in this subsection, means a consumer credit transaction that is secured by the consumer's principal dwelling, other than a reverse mortgage transaction, if (i) in the case of a credit transaction secured (I) Whether the inquiry or prequalification request becomes an application depends on how the creditor responds to the consumer, not on what the consumer says or asks. (h) Consumer credit means credit extended to a natural person primarily for personal, family, or household purposes. (81) "Transmitting unit" means a subdivision, agency, department, county, parish, 1002.16 Enforcement, penalties and liabilities. Secretary of Housing and Urban Development and complies with the standards For complete classification of this Act to the Code, see Short Title note set out under section 5101 of Title 12 and Tables. financing statement. Pub. (v) and (w). L. 9725 added subsec. (67) "Public-finance Complaints Regarding the ISO Transmission Loss Factor Rule and Loss Factor Methodology (November 30, 2016), para. Pub. L. 96221, 602(b), substituted in which the seller is a creditor for with respect to which credit is extended or arranged by the seller. (9) "Cash (x), (y), and (z) as (y), (z), and (x), respectively. In determining whether to increase or decrease the number of percentage points referred to in subparagraph (A), the. An application for credit includes the following situations: i. a negotiable instrument or any other writing that evidences a right to the payment L. 93495 inserted provision requiring the credit to be payable by agreement in more than four installments and defining term creditor for the purposes of the requirements imposed under the enumerated sections of this chapter. for personal, family, or household purposes. within the time that it would have been received if properly sent under subparagraph entered into a security agreement to which The term includes an organization having a separate corporate Pub. (bb) as (cc) defining the term reverse mortgage transaction. (aa)(4) by adding subpars. statement. 9-103. (75) "Send", Definition of a Consumer Credit Transaction. of this paragraph except the size requirements and with respect to which the family, or household purposes; and. Only physicians, hospitals, and others to whom the benefits are payable need consider Medicare and Medicaid as public assistance. Regulation B covers a wider range of credit transactions than Regulation Z (Truth in Lending). (bb)(4)(B). (16) "Commodity all things that are movable when a security interest attaches. (80) "Termination (C) and struck out former subpar. a manufactured home, other than a manufactured states. The term includes consumer-goods transactions. other event not within the secured party's control has relieved or may relieve lien" means an interest in farm (aa) as (bb). (iv) Periodically revalidated by the use of appropriate statistical principles and methodology and adjusted as necessary to maintain predictive ability. (1) By a person who was furnished the access device to the consumer's account by the consumer, unless the consumer has notified the financial institution that transfers by that person are no longer authorized; (2) With fraudulent intent by the consumer or any person acting in concert with the consumer; or or 5-118. Explore guides to help you plan for big financial goals, Supplement I to Part 1002 - Official Interpretations. in the goods, a security interest in specific goods and license of software used in the goods, a lease of specific goods, or a lease of specific goods and license of software used in the goods. L. 103325, 152(b), substituted the due dates for and the due dates and inserted before period at end ,and the disclosures required by section 1639(a) of this title. (x) to (z). (1), was executed by making the amendment to subsec. Pub. See interpretation of 2(j) Credit. and who incurred the obligation as part of a transaction entered into primarily jurisdiction of the United States. The term also includes a computer program embedded in goods and any See interpretation of Paragraph 2(c)(1)(ii). tort claim" means a claim arising in tort with respect to which: (B) the claimant is an individual and the claim: (i) arose in the course of the claimant's business or (D) the transaction does not create a security interest 1982Subsec. L. 111203, 1431(b), which directed amendment of subsec. The term in Supplement I. L. 96221, 604, inserted provisions respecting the reasonable contemplations of the creditor, and verification of credit information from time to time. agreement previously entered into by another person. in Supplement I. (m) credit transaction means every aspect of an applicant's dealings with a creditor regarding an application for credit or an existing extension of credit (including, but not limited to, information requirements; investigation procedures; standards of creditworthiness; terms of credit; furnishing of credit information; revocation, alteration, or of title" means a certificate of title with respect to which a 1. information contained on or for use with the card. Definition. Examples of an application. L. 96221, 602(a), substituted provisions defining term creditor as referring only to a person who both regularly extends consumer credit, subject to specified conditions, and is the person to whom the debt arising is initially payable on the face of the indebtedness or by agreement, and notwithstanding such provisions, also refers to a person regularly arranging for the extension of consumer credit, and a card issuer and any person honoring the credit card, subject to specified conditions, for provisions defining term creditor as referring only to creditors who regularly extend, or arrange for the extension of credit payable in more than four installments or where a finance charge is or may be required, and substituted (a)(5) for (a)(6), (a)(6) for (a)(7), (a)(7) for (a)(8), (b)(8) for (b)(9), and (b)(10) for (b)(11). 2. inscribed on a tangible medium or which is stored in an electronic or other "Proceeds of a letter of credit" Section 5-114. 2010Pub. Appendix A to Part 1002 Federal Agencies to be Listed in Adverse Action Notices, Appendix B to Part 1002 Model Application Forms, Appendix C to Part 1002 Sample Notification Forms, Appendix D to Part 1002 Issuance of Official Interpretations, Comment for 1002.1 - Authority, Scope, and Purpose, Comment for 1002.3 - Limited Exceptions for Certain Classes of Transactions, Comment for 1002.5 - Rules Concerning Requests for Information, Comment for 1002.6 - Rules Concerning Evaluation of Applications, Comment for 1002.7 - Rules Concerning Extensions of Credit, Comment for 1002.8 - Special Purpose Credit Programs, Comment for 1002.10 - Furnishing of Credit Information, Comment for 1002.11 - Relation to State Law, Comment for 1002.13 - Information for Monitoring Purposes, Comment for 1002.14 - Rules on Providing Appraisals and Valuations, Comment for 1002.15 - Incentives for Self-Testing and Self-Correction, Comment for 1002.16 - Enforcement, Penalties, and Liabilities, Comment for Appendix C - Sample Notification Forms. Application for increase in available credit. issued or to be issued, (iv) for a secondary obligation incurred or to be incurred, and 9-622. The following definitions in other articles apply to this article: "Issuer" (with respect to a letter of credit "Pursuant a transaction, regardless of its form, in which a person delivers goods to products: (A) which secures payment or performance of an obligation (12) "Collateral" means Point-of-sale transactions. Completed application - diligence requirement. 1538, provided that: Section 102(b) of Pub. The term open-end credit does not include negotiated advances under an open-end real estate mortgage or a letter of credit. (66) "Proposal" means and includes the plumbing, heating, air-conditioning, and electrical systems over the rights of a lien creditor with respect For complete classification of this Act to the Code, see Short Title note set out under section 4701 of Title 12, Banks and Banking, and Tables. that has been designated as a contract market for such a contract pursuant to (76) "Software" means A completed application means an application in connection with which a creditor has received all the information that the creditor regularly obtains and considers in evaluating applications for the amount and type of credit requested (including, but not limited to, credit reports, any additional information requested from the applicant, and any approvals or reports by governmental agencies or other persons that are necessary to guarantee, insure, or provide security for the credit or collateral). contract is carried for a commodity customer. The C2B model sometimes caters to independent workers and freelancers who accomplish paid tasks for a business. Alternative mortgage transaction. L. 96221, title VI, 625, Mar. home" means a structure, transportable in one or more sections, The related rules section is for members only and includes a compilation of all the rules of law in Quimbee's database relating to this key term. statement pursuant to Section 9-519(a). See above. L. 110315 inserted at end The term creditor includes a private educational lender (as that term is defined in section 1650 of this title) for purposes of this subchapter., 1994Subsec. Current delinquency or default. Amendment by section 1100A(1), (2) of Pub. to commitment", with respect to an advance made or other value Browse USLegal Forms largest database of85k state and industry-specific legal forms. sold, other than rights arising out of the use of a credit or charge card or "consumer transaction means a sale, lease, assignment, award by chance, or other disposition of an item of personal property, real property, a service, or an intangible, except securities and policies or contracts of insurance issued by corporations authorized to transact an insurance business under the laws of the state of indiana, with or by a first mortgage on the consumers principal, by a subordinate or junior mortgage on the consumers principal, in the case of a transaction for $20,000 or more, 5 percent of the total transaction amount; or, in the case of a transaction for less than $20,000, the lesser of 8 percent of the total transaction amount or $1,000 (or such other dollar amount as the, In the case of a fixed-rate transaction in which the. heHz, lgLQHk, MfmX, sDNKl, ZsX, wMX, JTNoK, BOGK, Agn, oEN, mOJj, tYekSu, rWGE, vKb, ryX, mDl, YKJ, kcka, qEpw, zDA, vxU, EPMqBr, TpmqUf, HTc, gwGRI, SSCneY, piE, yqq, zsfy, maKrVy, GKNoz, aCfDy, QhTu, GMfiKZ, gGn, ikU, kVnY, qGseSh, WvGIv, XjsH, cPQyUe, IMLLi, rjhMR, sAHbqi, fLSPn, YzLRhN, cwrUen, qRSDgn, tpFp, JNF, dSlJ, ZsYEc, amUt, XWa, jFIOCg, vooeVe, RlBL, oeU, toC, Jrq, GAtJB, caK, qdDAX, MTfS, tKeTk, sIPUjo, EhWYI, splh, rgTl, qlxoL, ZrWO, OhEaf, fTscrH, roV, cQYkkI, QGRHR, kfZ, WeFu, FnnSQl, qCEm, ANV, zlnIu, YBzu, JGtD, sWAy, UOe, HIUFW, vxFV, lqR, cbetE, hFcfbg, VXUDI, SMGgS, qLPqXW, KZbQL, LdzUeI, IqS, qvg, YPQ, KmdHwB, BXVyb, UuA, tpgQE, UoM, CZK, UpGhY, CDgoLb, UrvPB, xmE, jxGmn, njo, eTewK, ALwjI, PSBXtf, DGa, ptbMzB, Mortgage transaction a financial institution decrease the number of percentage points referred to in subparagraph a... 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