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A federal law that requires creditors to disclose the annual percentage rate (APR) and the finance charge as a dollar amount is called___________.

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Answer: The Truth in Lending Act (TILA) of 1968

Explanation: TILA is a law enacted by the USA federal law to protect lenders and consumers generally are treated justly.

The laws requires lenders to disclose the APR (annual percentage rate) of loans, finance charge, repayment schedule and total repayment amount in the documents to be sent to and signed by the lenders.

This is to control the excesses of lenders and the terms used in the contact must be simple to understand by the borrowers.

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