[Code of Federal Regulations]
[Title 12, Volume 3]
[Revised as of January 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 12CFR227.11]

[Page 498-499]
 
                       TITLE 12--BANKS AND BANKING
 
                   CHAPTER II--FEDERAL RESERVE SYSTEM
 
PART 227--UNFAIR OR DECEPTIVE ACTS OR PRACTICES (REGULATION AA)--Table of Contents
 
                    Subpart B--Credit Practices Rule
 
Sec. 227.11  Authority, purpose, and scope.

    Authority: 15 U.S.C. 57a.

    Source: Reg. AA, 50 FR 16697, Apr. 29, 1985, unless otherwise noted.


    (a) Authority. This subpart is issued by the Board under section 
18(f) of the Federal Trade Commission Act, 15 U.S.C. 57a(f) (section 
202(a) of the Magnuson-Moss Warranty--Federal Trade Commission 
Improvement Act, Pub. L. 93-637).
    (b) Purpose. Unfair or deceptive acts or practices in or affecting 
commerce are unlawful under section 5(a)(1) of the Federal Trade 
Commission Act, 15 U.S.C. 45(a)(1). This subpart defines unfair or 
deceptive acts or practices of banks in connection with extensions of 
credit to consumers.
    (c) Scope. This subpart applies to all banks and their subsidiaries, 
except savings banks that are members of the Federal Home Loan Bank 
System. Compliance is to be enforced by:
    (1) The Comptroller of the Currency, in the case of national banks, 
banks operating under the code of laws for the District of Columbia, and 
federal branches and federal agencies of foreign banks;
    (2) The Board of Governors of the Federal Reserve System, in the 
case of banks that are members of the Federal

[[Page 499]]

Reserve System (other than banks referred to in paragraph (c)(1) of this 
section), branches and agencies of foreign banks (other than federal 
branches, federal agencies, and insured state branches of foreign 
banks), commercial lending companies owned or controlled by foreign 
banks, and organizations operating under section 25 or 25A of the 
Federal Reserve Act; and
    (3) The Federal Deposit Insurance Corporation, in the case of banks 
insured by the Federal Deposit Insurance Corporation (other than banks 
referred to in paragraphs (c)(1) and (c)(2) of this section), and 
insured state branches of foreign banks.
    (d) The terms used in paragraph (c) of this section that are not 
defined in the Federal Trade Commission Act or in section 3(s) of the 
Federal Deposit Insurance Act (12 U.S.C. 1813(s)) shall have the meaning 
given to them in section 1(b) of the International Banking Act of 1978 
(12 U.S.C. 3101).

[Reg. AA, 50 FR 16697, Apr. 29, 1985, as amended at 57 FR 20401, May 13, 
1992]