[Code of Federal Regulations]
[Title 32, Volume 2]
[Revised as of July 1, 2008]
From the U.S. Government Printing Office via GPO Access
[CITE: 32CFR232.6]

[Page 505]
 
                       TITLE 32--NATIONAL DEFENSE
 
        CHAPTER I--OFFICE OF THE SECRETARY OF DEFENSE (CONTINUED)
 
PART 232_LIMITATIONS ON TERMS OF CONSUMER CREDIT EXTENDED TO SERVICE MEMBERS 
 
Sec. 232.6  Mandatory loan disclosures.

    (a) Required information. With respect to any extension of consumer 
credit (including any consumer credit originated or extended through the 
internet) to a covered borrower, a creditor shall provide to the member 
or dependent the following information clearly and conspicuously before 
consummation of the consumer credit transaction:
    (1) The MAPR applicable to the extension of consumer credit, and the 
total dollar amount of all charges included in the MAPR.
    (2) Any disclosures required by Regulation Z (Truth in Lending), 12 
CFR part 226.
    (3) A clear description of the payment obligation of the covered 
borrower, as applicable. A payment schedule provided pursuant to 
paragraph (a)(2) of this section satisfies this requirement.
    (4) A statement that ``Federal law provides important protections to 
regular or reserve members of the Army, Navy, Marine Corps, Air Force, 
or Coast Guard, serving on active duty under a call or order that does 
not specify a period of 30 days or fewer, and their dependents. Members 
of the Armed Forces and their dependents may be able to obtain financial 
assistance from Army Emergency Relief, Navy and Marine Corps Relief 
Society, the Air Force Aid Society, or Coast Guard Mutual Aid. Members 
of the Armed Forces and their dependents may request free legal advice 
regarding an application for credit from a service legal assistance 
office or financial counseling from a consumer credit counselor.''
    (b) Method of disclosure. (1) Written disclosures. The creditor 
shall provide the disclosures required by paragraph (a) in writing in a 
form the covered borrower can keep.
    (2) Oral disclosures. The creditor also shall provide the 
disclosures required by paragraphs (a)(1), (a)(3) and (a)(4) of this 
section orally before consummation. In mail and internet transactions, 
the creditor satisfies this requirement if it provides a toll-free 
telephone number on or with the written disclosures that consumers may 
use to obtain oral disclosures and the creditor provides oral 
disclosures when the covered borrower contacts the creditor for this 
purpose.
    (c) When disclosures are required for refinancing or renewal of 
covered loan. The refinancing or renewal of a covered loan requires new 
disclosures under Sec. 232.6 only when the transaction would be 
considered a new transaction that requires disclosures under the Truth 
in Lending Act, as implemented by the Federal Reserve Board's Regulation 
Z, 12 CFR part 226.