Phrases or figures used in advertising that will "trigger" other Regulation Z disclosures. The following are trigger terms: the amount or percentage of any down payment, the payment period, the monthly payment, and the amount of the finance charge.
Final answer: Under Regulation Z, 'B) Low monthly payments' and 'D) Only $10,000 down' are considered trigger items because they detail specific terms of the loan, which requires additional disclosures such as APR and terms of repayment.
Final answer: The only term that is not a 'trigger term' according to Regulation Z is the APR. Trigger terms in Regulation Z are those that could potentially cause misunderstanding about the cost of credit, including downpayment amount, number of payments or repayment period, and finance charge amount.
Triggering terms need not be stated explicitly; additional disclosures are still required if the term may be readily determined from the advertisement. For example, if the advertisement says “80 percent financing available,” the statement is indicating a 20 percent down payment is required (a triggering term).
Performance is not a valid trigger type in Automation Anywhere.
Whenever the creditor changes the consumer's billing cycle, it must give a change-in-terms notice if the change either affects any of the terms required to be disclosed under § 1026.6(a) or increases the minimum payment, unless an exception under § 1026.9(c)(1)(ii) applies; for example, the creditor must give advance ...
The trigger terms are those required to be disclosed under section 1026.6(b)(3) and include the APR, transaction fees, annual fee and certain other charges. This applies to trigger terms stated in the positive ($50 annual fee) and in the negative (no annual fee).
In mortgage advertising, triggering terms influence consumer decisions by indicating specific financing details. The term 'Assumable Mortgage' does not provide specific conditions like the others do. Hence, it is not considered a triggering term compared to the others in the list.
This could include emotions, physical symptoms, or flashbacks. Triggers are things that remind a person of a traumatic event, such as certain places, people, smells, or times of the year.
Closed-end credit
When you have a triggering term on an advertisement, you must also disclose, in close proximity, the terms of repayment, APR and if the APR may increase after consummation. The terms of repayment include an example loan amount, loan term and loan payment.
Creditors with assets of less than $2.336 billion (including assets of certain affiliates) on December 31, 2021, are exempt from the requirement to establish escrow accounts for higher-priced mortgage loans in 2022 if other provisions of Regulation Z are also met.
Share. Definition: used in advertising, include the following – the amount or percentage of down payment, number of payments, period (term) of repayment, amount of any payment, and the amount of any finance charges.
Meaning of triggering in English
causing a strong emotional reaction of fear or worry because someone is made to remember something bad that has happened in the past: For people with PTSD, loud noises can be triggering. a triggering experience.
For example, if a lender uses one or more of the triggering terms listed above in an advertisement for a mortgage, the ad must also include: The amount or percentage of the down payment. The full terms of the repayment over the loan's term, including any required balloon payment.
Reg Z “follow on” disclosures when any trigger term is advertised: The amount or percentage of the down payment, Repayment terms reflecting payment obligations over the full loan term and any balloon payment (historically represented as $xx. xx per month, per $1,000 financed), and.
Certain types of loans are not subject to Regulation Z, including federal student loans, loans for business, commercial, agricultural, or organizational use, loans above a certain amount, loans for public utility services, and securities or commodities offered by the Securities and Exchange Commission.
The dollar amount of a downpayment or a statement of the downpayment as a percentage of the price requires further information. By virtue of the definition of downpayment in § 1026.2, this triggering term is limited to credit sale transactions.
Common Violations
A common Regulation Z violation is understating finance charges for closed-end residential mortgage loans by more than the $100 tolerance permitted under Section 18(d).
Regulation Z prohibits practices in which mortgage brokers and loan originators may receive compensation for referrals or "steering." Buyers typically connect with a real estate agent, who refers them to a specific mortgage lender. The agent receives no compensation for this referral.
The TILA-RESPA integrated disclosure rules and forms do not apply to HELOCs. Lenders are not required to provide the good faith estimate (HUD-1) described in Regulation X. Instead HELOCs are only subject to the special HELOC requirements in Regulation Z, which are substantially less consumer-friendly.
DDL statements are not allowed in the body of a trigger. Also, no transaction control statements are allowed in a trigger. ROLLBACK , COMMIT , and SAVEPOINT cannot be used. For system triggers, { CREATE / ALTER / DROP } TABLE statements and ALTER ...
A trigger is a person, place, thing, or situation that elicits an intense or unexpected emotional response or causes an individual to relive a past trauma. Any sensory stimulus can be a potential trigger. Triggers are unique from threats.