Truth-in-Lending Act : Regulation Z 

In 2008 Congress passed the Housing and Economic Recovery Act (HERA) which included amendments under Regulation Z, which implements the Truth-in-Lending Act. The recent revisions implement the Mortgage Disclosure Improvement Act (MDIA) which becomes effective for all closed-end consumer mortgage loan applications taken on or after July 30, 2009.


The Automatic Extension of Closing to Accommodate Regulation Z Form includes the following agreement. "The parties agree that in the event the Annual Percentage Rate of Buyer's loan(s) pursuant to Form 22A differs from the APR previously disclosed to Buyer in the Good Faith Estimate by .125% or more in the case of a fixed rate loan .250% in an adjustable rate loan, the Closing Date shall be extended for up to four days as necessary to accommodate the requirements of Regulation Z of the Truth and Lending Act.