Summary: H.R.1184 — 104th Congress (1995-1996)All Information (Except Text)

There is one summary for H.R.1184. Bill summaries are authored by CRS.

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Introduced in House (03/09/1995)

Truth in Lending Act Amendments of 1995 - Amends the Truth in Lending Act pertaining to consumer credit cost disclosure to exclude from the determination of finance charges: (1) charges imposed by third parties not affiliated with the creditor (including settlement agents, attorneys, and escrow and title companies) if the creditor does not expressly require the imposition of such charges and does not retain them; (2) taxes levied on security instruments or evidences of indebtedness if payment is a precondition for recording such an instrument; (3) fees, for preparation of loan-related documents and attending or conducting settlement in extensions of credit secured by interest in real property; and (4) fees related to pest infestation on premises, structural inspections, and flood hazards.

(Sec. 3) Excludes from a consumer's statutory right of rescission certain refinancings or consolidations of debt secured by a first lien.

(Sec. 4) Increases the allowable tolerances for accuracy pertaining to the annual percentage rate disclosure requirements on consumer credit transactions.

Provides that the disclosure for per diem interest shall be deemed to be accurate if it is based on information actually known to the creditor at the time that the disclosure documents are being prepared for the consummation of the transaction.

(Sec. 5) Sets forth liability limitations for: (1) a creditor's treatment, for disclosure purposes, of specified taxes, fees, and charges other than finance charges; and (2) a creditor's finance charge disclosures within specified tolerance limits.

(Sec. 7) Provides that the statute of limitations on a consumer's right of rescission is absolute and acts as a bar to any subsequent assertion of such rescission in State or Federal court.

(Sec. 8) Narrows the civil liability guidelines for consumer credit disclosures to: (1) declare a creditor liable for actual damages sustained by a person to the extent such person demonstrates reliance on the inaccurate disclosure which prevented the person from accepting better credit terms actually available from another creditor; (2) revise the general rules for liability of a creditor's voluntary assignee for a violation apparent on the face of the disclosure statement; and (3) declare that a servicer of a consumer obligation shall not be treated as an assignee unless the servicer is the owner of the obligation.