The creditor shall furnish the consumer with a periodic
statement that discloses the following items, to the extent applicable:
(1) Previous balance. The account balance outstanding
at the beginning of the billing cycle.
(2) Identification of transactions. An identification of each credit transaction in accordance with
section 1026.8.
(3) 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 accounting does not result
in any finance or other charge.
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(4) Periodic rates.
(i) Except as provided in paragraph (a)(4)(ii)
of this section, each periodic rate that may be used to compute the
finance charge, the range of balances to which it is applicable, and
the corresponding annual percentage rate. If no finance charge is
imposed when the outstanding balance is less than a certain amount,
the creditor is not required to disclose that fact, or the balance
below which no finance charge will be imposed. If different periodic
rates apply to different types of transactions, the types of transactions
to which the periodic rates apply shall also be disclosed. For variable-rate
plans, the fact that the periodic rate(s) may vary.
(ii) Exception. An annual percentage rate that differs from the rate that would
otherwise apply and is offered only for a promotional period need
not be disclosed except in periods in which the offered rate is actually
applied.
(5) 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, the fact and the amount of the credits and
payments shall be disclosed.
(6) Amount of finance charge and other charges. Creditors may comply with paragraph (a)(6) of this section, or with
paragraph (b)(6) of this section, at their option.
(i) Finance
charges. 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 application of any
periodic rates and the amounts(s) of any other type of finance charge.
If there is more than one periodic rate, the amount of the finance
charge attributable to each rate need not be separately itemized and
identified.
(ii) Other charges. The amounts, itemized and
identified by type, of any charges other than finance charges debited
to the account during the billing cycle.
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(7) Annual percentage
rate. At a creditor’s option, when a finance charge is imposed
during the billing cycle, the annual percentage rate(s) determined
under section 1026.14(c) using the term annual percentage rate.
(8) Grace
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
if payment is received after the time period’s expiration.
(9) 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 section 1026.9(a)(2).
(10) Closing
date of billing cycle; new balance. The closing date of the billing
cycle and the account balance outstanding on that date.
(1) Previous
balance. The account balance outstanding at the beginning of
the billing cycle.
(2) Identification of transactions. An identification
of each credit transaction in accordance with section 1026.8.
(3) 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.
(4) Periodic
rates.
(i)
Except as provided in paragraph (b)(4)(ii) of this section, each periodic
rate that may be used to compute the interest charge expressed as
an annual percentage rate and using the term Annual Percentage Rate,
along with the range of balances to which it is applicable. If no
interest charge is imposed when the outstanding balance is less than a certain
amount, the creditor is not required to disclose that fact, or the
balance below which no interest charge will be imposed. The types
of transactions to which the periodic rates apply shall also be disclosed.
For variable-rate plans, the fact that the annual percentage rate
may vary.
(ii) Exception. A promotional rate, as that
term is defined in section 1026.16(g)(2)(i), is required to be disclosed
only in periods in which the offered rate is actually applied.
(5) 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, using the term
Balance Subject to Interest Rate. When a balance is determined without
first deducting all credits and payments made during the billing cycle,
the fact and the amount of the credits and payments shall be disclosed.
As an alternative to providing an explanation of how the balance was
determined, a creditor that uses a balance computation method identified
in section 1026.60(g) may, at the creditor’s option, identify the
name of the balance computation method and provide a toll-free telephone
number where consumers may obtain from the creditor more information
about the balance computation method and how resulting interest charges
were determined. If the method used is not identified in section 1026.60(g),
the creditor shall provide a brief explanation of the method used.
(6) Charges
imposed.
(i)
The amounts of any charges imposed as part of a plan as stated in
section 1026.6(b)(3), grouped together, in proximity to transactions
identified under paragraph (b)(2) of this section, substantially similar
to Sample G-18(A) in Appendix G to this part.
(ii) Interest. Finance charges attributable to periodic interest rates, using the
term Interest Charge, must be grouped together under the heading Interest
Charged, itemized and totaled by type of transaction, and a total
of finance charges attributable to periodic interest rates, using
the term Total Interest, must be disclosed for the statement period
and calendar year to date, using a format substantially similar to
Sample G-18(A) in Appendix G to this part.
(iii) Fees. Charges imposed as part of the plan other than charges attributable
to periodic interest rates must be grouped together under the heading
Fees, identified consistent with the feature or type, and itemized,
and a total of charges, using the term Fees, must be disclosed for
the statement period and calendar year to date, using a format substantially
similar to Sample G-18(A) in Appendix G to this part.
(7) Change-in-terms
and increased penalty rate summary for open-end (not home-secured)
plans. Creditors that provide a change-in-terms notice required
by section 1026.9(c), or a rate increase notice required by section
1026.9(g), on or with the periodic statement, must disclose the information
in section 1026.9(c)(2)(iv)(A) and (c)(2)(iv)(B) (if applicable) or
section 1026.9(g)(3)(i) on the periodic statement in accordance with
the format requirements in section 1026.9(c)(2)(iv)(D), and section
1026.9(g)(3)(ii). See Forms G-18(F) and G-18(G) in Appendix
G to this part.
(8) Grace 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 if payment is received after
the time period’s expiration.
(9) 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 section 1026.9(a)(2).
(10) Closing date of billing cycle; new balance. The closing date of the billing cycle and the account balance outstanding
on that date. The new balance must be disclosed in accordance with
the format requirements of paragraph (b)(13) of this section.
(11) Due date;
late payment costs.
(i) Except as provided in paragraph
(b)(11)(ii) of this section and in accordance with the format requirements
in paragraph
(b)(13) of this section, for a credit card account under an open-end
(not home-secured) consumer credit plan, a card issuer must provide
on each periodic statement:
(A) The due date for a payment. The due date disclosed pursuant to
this paragraph shall be the same day of the month for each billing
cycle.
(B) The amount of any late payment
fee and any increased periodic rate(s) (expressed as an annual percentage
rate(s)) that may be imposed on the account as a result of a late
payment. If a range of late payment fees may be assessed, the card
issuer may state the range of fees, or the highest fee and an indication
that the fee imposed could be lower. If the rate may be increased
for more than one feature or balance, the card issuer may state the
range of rates or the highest rate that could apply and at the issuer’s
option an indication that the rate imposed could be lower.
(ii) Exception. The requirements of paragraph (b)(11)(i) of this section do not
apply to the following:
(A) Periodic statements provided solely for charge card accounts,
other than covered separate credit features that are charge card accounts
accessible by hybrid prepaid-credit cards as defined in section 1026.61;
and
(B) Periodic statements provided
for a charged-off account where payment of the entire account balance
is due immediately.
(12) Repayment
disclosures.
(i) In general. Except as provided
in paragraphs (b)(12)(ii) and (b)(12)(v) of this section, for a credit
card account under an open-end (not home-secured) consumer credit
plan, a card issuer must provide the following disclosures on each
periodic statement:
(A)
The following statement with a bold heading: “Minimum Payment Warning:
If you make only the minimum payment each period, you will pay more
in interest and it will take you longer to pay off your balance;”
(B) The minimum payment repayment estimate,
as described in Appendix M1 to this part. If the minimum payment repayment
estimate is less than 2 years, the card issuer must disclose the estimate
in months. Otherwise, the estimate must be disclosed in years and
rounded to the nearest whole year;
(C) The minimum payment total cost estimate, as described in Appendix
M1 to this part. The minimum payment total cost estimate must be rounded
either to the nearest whole dollar or to the nearest cent, at the
card issuer’s option;
(D) A statement
that the minimum payment repayment estimate and the minimum payment
total cost estimate are based on the current outstanding balance shown
on the periodic statement. A statement that the minimum payment repayment
estimate and the minimum payment total cost estimate are based on
the assumption that only minimum payments are made and no other amounts
are added to the balance;
(E) A toll-free
telephone number where the consumer may obtain from the card issuer
information about credit counseling services consistent with paragraph
(b)(12)(iv) of this section; and (F)(1). Except as provided in paragraph
(b)(12)(i)(F)(2) of this section, the following disclosures:
(i) The estimated monthly payment for repayment in 36 months,
as described in Appendix M1 to this part. The estimated monthly payment
for repayment in 36 months must be rounded either to the nearest whole
dollar or to the nearest cent, at the card issuer’s option;
(ii) A statement that the card issuer
estimates that the consumer will repay the outstanding balance shown
on the periodic statement in 3 years if the consumer pays the estimated
monthly payment each month for 3 years;
(iii) The total cost estimate for repayment in 36 months,
as described in Appendix M1 to this part. The total cost estimate for
repayment in 36 months must be rounded either to the nearest whole
dollar or to the nearest cent, at the card issuer’s option; and
(iv) The savings estimate for
repayment in 36 months, as described in Appendix M1 to this part.
The sav ings estimate for repayment in 36 months must be rounded either
to the nearest whole dollar or to the nearest cent, at the card issuer’s
option.
(2) The requirements of paragraph
(b)(12)(i)(F)(1) of this section do not apply to a periodic
statement in any of the following circumstances:
(i) The minimum payment repayment
estimate that is disclosed on the periodic statement pursuant to paragraph
(b)(12)(i)(B) of this section after rounding is three years or less;
(ii) The estimated monthly payment
for repayment in 36 months, as described in Appendix M1 to this part,
after rounding as set forth in paragraph (b)(12)(i)(F)(1)(i) of this section that is calculated for a particular billing
cycle is less than the minimum payment required for the plan for that
billing cycle; and
(iii) A
billing cycle where an account has both a balance in a revolving feature
where the required minimum payments for this feature will not amortize
that balance in a fixed amount of time specified in the account agreement
and a balance in a fixed repayment feature where the required minimum
payment for this fixed repayment feature will amortize that balance
in a fixed amount of time specified in the account agreement which
is less than 36 months.
(ii) Negative
or no amortization. If negative or no amortization occurs when
calculating the minimum payment repayment estimate as described in
Appendix M1 of this part, a card issuer must provide the following
disclosures on the periodic statement instead of the disclosures set
forth in paragraph (b)(12)(i) of this section:
(A) The following statement: “Minimum Payment
Warning: Even if you make no more charges using this card, if you
make only the minimum payment each month we estimate you will never
pay off the balance shown on this statement because your payment will
be less than the interest charged each month”;
(B) The following statement: “If you make
more than the minimum payment each period, you will pay less in interest
and pay off your balance sooner”;
(C)
The estimated monthly payment for repayment in 36 months, as described
in Appendix M1 to this part. The estimated monthly payment for repayment
in 36 months must be rounded either to the nearest whole dollar or
to the nearest cent, at the issuer’s option;
(D) A statement that the card issuer estimates
that the consumer will repay the outstanding balance shown on the
periodic statement in 3 years if the consumer pays the estimated monthly
payment each month for 3 years; and
(E) A toll-free telephone number where the consumer may obtain from
the card issuer information about credit counseling services consistent
with paragraph (b)(12)(iv) of this section.
(iii) Format
requirements. A card issuer must provide the disclosures required
by paragraph (b)(12)(i) or (b)(12)(ii) of this section in accordance
with the format requirements of paragraph (b)(13) of this section,
and in a format substantially similar to Samples G-18(C)(1), G-18(C)(2)
and G-18(C)(3) in Appendix G to this part, as applicable.
(iv) Provision
of information about credit counseling services.
(A) Required
information. To the extent available from the United States Trustee
or a bankruptcy administrator, a card issuer must provide through
the toll-free telephone number disclosed pursuant to paragraphs (b)(12)(i)
or (b)(12)(ii) of this section the name, street address, telephone
number, and Web site address for at least three organizations that
have been approved by the United States Trustee or a bankruptcy administrator
pursuant to 11 U.S.C. 111(a)(1) to provide credit counseling services
in, at the card issuer’s option, either the state in which the billing
address for the account is located or the state specified by the consumer.
(B) Updating
required information. At least annually, a card issuer must update
the information provided pursuant to paragraph (b)(12)(iv)(A) of this
section for consistency with the information available from the United
States Trustee or a bankruptcy administrator.
(v) Exemptions. Paragraph (b)(12) of this section does not apply to:
(A) Charge card accounts that require
payment of outstanding balances in full at the end of each billing
cycle;
(B) A billing cycle immediately
following two consecutive billing cycles in which the consumer paid
the entire balance in full, had a zero outstanding balance or had
a credit balance; and
(C) A billing
cycle where paying the minimum payment due for that billing cycle
will pay the entire outstanding balance on the account for that billing
cycle.
(13) Format requirements. The due
date required by paragraph (b)(11) of this section shall be disclosed
on the front of the first page of the periodic statement. The amount
of the late payment fee and the annual percentage rate(s) required
by paragraph (b)(11) of this section shall be stated in close proximity
to the due date. The ending balance required by paragraph (b)(10)
of this section and the disclosures required by paragraph (b)(12)
of this section shall be disclosed closely proximate to the minimum
payment due. The due date, late payment fee and annual percentage
rate, ending balance, minimum payment due, and disclosures required
by paragraph (b)(12) of this section shall be grouped together. Sample
G-18(D) in Appendix G to this part sets forth an example of how these
terms may be grouped.
(14) Deferred interest or similar transactions. For accounts with an outstanding balance subject to a deferred interest
or similar program, the date by which that outstanding balance must
be paid in full in order to avoid the obligation to pay finance charges
on such balance must be disclosed on the front of any page of each
periodic statement issued during the deferred interest period beginning
with the first periodic statement issued during the deferred interest
period that reflects the deferred interest or similar transaction.
The disclosure provided pursuant to this paragraph must be substantially
similar to Sample G-18(H) in Appendix G to this part.
