[Code of Federal Regulations]

[Title 12, Volume 3]

[Revised as of January 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 12CFR226.7]



[Page 284-285]

 

                       TITLE 12--BANKS AND BANKING

 

                   CHAPTER II--FEDERAL RESERVE SYSTEM

 

PART 226_TRUTH IN LENDING (REGULATION Z)--Table of Contents

 

                        Subpart B_Open-End Credit

 

Sec. 226.7  Periodic statement.



    The creditor shall furnish the consumer with a periodic statement 

that discloses the following items, to the extent applicable:

    (a) Previous balance. The account balance outstanding at the 

beginning of the billing cycle.

    (b) Identification of transactions. An identification of each credit 

transaction in accordance with Sec. 226.8.

    (c) Credits. Any credit to the account during the billing cycle, 

including the amount and the date of crediting. The date need not be 

provided if a delay in crediting does not result in any finance or other 

charge.

    (d) Periodic rates. Each periodic rate that may be used to compute 

the finance charge, the range of balances to which it is applicable,\14\ 

and the corresponding annual percentage rate.\15\ If different periodic 

rates apply to different types of transactions, the types of 

transactions to which the periodic rates apply shall also be disclosed.

---------------------------------------------------------------------------



    \14\ See footnotes 11 and 13.

    \15\ If a variable rate plan is involved, the creditor shall 

disclose the fact that the periodic rate(s) may vary.

---------------------------------------------------------------------------



    (e) Balance on which finance charge computed. The amount of the 

balance to which a periodic rate was applied and an explanation of how 

that balance was determined. When a balance is determined without first 

deducting all credits and payments made during the billing cycle, that 

fact and the amount of the credits and payments shall be disclosed.

    (f) Amount of finance charge. The amount of any finance charge 

debited or added to the account during the billing cycle, using the term 

finance charge. The components of the finance charge shall be 

individually itemized and identified to show the amount(s) due to the 

appliction of any periodic rates and the amount(s) of any other type of 

finance charge. If there periodic rate, the amount of the finance charge 

attributable to each rate need not be separately itemized and 

identified.

    (g) Annual percentage rate. When a finance charge is imposed during 

the billing cycle, the annual percentage rate(s) determined under Sec. 

226.14, using the term annual percentage rate.



[[Page 285]]



    (h) Other charges. The amounts, itemized and identified by type, of 

any charges other than finance charges debited to the account during the 

billing cycle.

    (i) Closing date of billing cycle; new balance. The closing date of 

the billing cycle and the account balance outstanding on that date.

    (j) Free-ride period. The date by which or the time period within 

which the new balance or any portion of the new balance must be paid to 

avoid additional finance charges. If such a time period is provided, a 

creditor may, at its option and without disclosure, impose no finance 

charge when payment is received after the time period's expiration.

    (k) Address for notice of billing errors. The address to be used for 

notice of billing errors. Alternatively, the address may be provided on 

the billing rights statement permitted by Sec. 226.9(a)(2).



[46 FR 20892, Apr. 7, 1981; 46 FR 29246, June 1, 1981]