Type: FCA Regulation
PART 617 - BORROWER RIGHTS
Subpart C - Disclosure of Differential Interest Rates
§ 617.7200 What disclosures must a qualified lender make to a borrower on loans offered with more than one rate of interest?
A qualified lender that offers more than one rate of interest to borrowers must notify each borrower of the right to request a review of the interest rate charged on his or her loan no later than the time of loan closing. At the request of a borrower, the lender must:
(a) Provide a review of the loan to determine if the proper interest rate has been established;
(b) Explain to the borrower in writing the basis for the interest rate charged; and
(c) Explain to the borrower in writing how the credit status of the borrower may be improved to receive a lower interest rate on the loan.
[69 FR 16460, Mar. 30, 2004]
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