Consumer Leasing Examination Checklist Quiz

Consumer Leasing Examination Checklist

• The checklist outlines specific requirements and disclosures for consumer leasing, as per §1013.4 of the FDIC Consumer Compliance Examination Manual
• It includes details on liability at the end of the lease term based on residual value and excess liability
• The checklist covers mutually agreeable final adjustments, fees and taxes, insurance disclosure requirements, warranties or guarantees, and penalties for late payments or default
• It also addresses security interests, disclosure of percentage rates, and requirements for disclosures during lease renegotiation or extension
• For electronic communication, the checklist mandates obtaining consumer consent, providing disclosures, and redelivery of undelivered communications
• Advertisements for leasing programs are expected to advertise terms that are usually available, be clear and conspicuous, and comply with page reference requirements for catalog and multiple page ads
• The checklist requires specific disclosures for triggering terms used in advertisements, including lease transaction details, scheduled payments, and liability based on residual value
• Additionally, merchandise tags using triggering terms should refer to additional required disclosures
• Television or radio advertisements using triggering terms should direct consumers to a toll-free number or written advertisement for additional information
• Toll-free numbers should be listed with a reference for obtaining information and should be available for at least ten days after broadcast
• The written advertisement should include the name and date of publication and be available for at least ten days after broadcast
• The checklist provides detailed guidance on compliance with consumer leasing regulations, ensuring that institutions meet the necessary requirements for consumer protection

Consumer Leasing Examination Checklist

• The checklist outlines specific requirements and disclosures for consumer leasing, as per §1013.4 of the FDIC Consumer Compliance Examination Manual
• It includes details on liability at the end of the lease term based on residual value and excess liability
• The checklist covers mutually agreeable final adjustments, fees and taxes, insurance disclosure requirements, warranties or guarantees, and penalties for late payments or default
• It also addresses security interests, disclosure of percentage rates, and requirements for disclosures during lease renegotiation or extension
• For electronic communication, the checklist mandates obtaining consumer consent, providing disclosures, and redelivery of undelivered communications
• Advertisements for leasing programs are expected to advertise terms that are usually available, be clear and conspicuous, and comply with page reference requirements for catalog and multiple page ads
• The checklist requires specific disclosures for triggering terms used in advertisements, including lease transaction details, scheduled payments, and liability based on residual value
• Additionally, merchandise tags using triggering terms should refer to additional required disclosures
• Television or radio advertisements using triggering terms should direct consumers to a toll-free number or written advertisement for additional information
• Toll-free numbers should be listed with a reference for obtaining information and should be available for at least ten days after broadcast
• The written advertisement should include the name and date of publication and be available for at least ten days after broadcast
• The checklist provides detailed guidance on compliance with consumer leasing regulations, ensuring that institutions meet the necessary requirements for consumer protection