[Federal Register Volume 86, Number 176 (Wednesday, September 15, 2021)]
[Notices]
[Pages 51355-51357]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-19904]


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FEDERAL TRADE COMMISSION


Agency Information Collection Activities; Submission for OMB 
Review; Comment Request

AGENCY: Federal Trade Commission.

ACTION: Notice.

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SUMMARY: The Federal Trade Commission (``FTC'' or ``Commission'') 
requests that the Office of Management and Budget (``OMB'') extend for 
three years the current Paperwork Reduction Act (``PRA'') clearances 
for information collection requirements contained in four consumer 
financial regulations enforced by the Commission. Those clearances 
expire on September 30, 2021.

DATES: Comments must be filed by October 15, 2021.

ADDRESSES: Written comments and recommendations for the proposed 
information collection should be sent within 30 days of publication of 
this notice to www.reginfo.gov/public/do/PRAMain. Find this particular 
information collection by selecting ``Currently under Review--Open for 
Public Comments'' or by using the search function.

FOR FURTHER INFORMATION CONTACT: Carole Reynolds or Stephanie 
Rosenthal, Attorneys, Division of Financial Practices, Bureau of 
Consumer Protection, Federal Trade Commission, 600 Pennsylvania Ave. 
NW, Washington, DC 20580, (202) 326-3224.

SUPPLEMENTARY INFORMATION: The four regulations covered by this notice 
are:
    (1) Regulations promulgated under the Equal Credit Opportunity Act, 
15 U.S.C. 1691 et seq. (``ECOA'') (``Regulation B'') (OMB Control 
Number: 3084-0087);
    (2) Regulations promulgated under the Electronic Fund Transfer Act, 
15 U.S.C. 1693 et seq. (``EFTA'') (``Regulation E'') (OMB Control 
Number: 3084-0085);
    (3) Regulations promulgated under the Consumer Leasing Act, 15 
U.S.C. 1667 et seq. (``CLA'') (``Regulation M'') (OMB Control Number: 
3084-0086); and
    (4) Regulations promulgated under the Truth-In-Lending Act, 15 
U.S.C. 1601 et seq. (``TILA'') (``Regulation Z'') (OMB Control Number: 
3084-0088).
    Type of Review: Extension without change of currently approved 
collection.
    Affected Public: Private Sector: Businesses and other for-profit 
entities.
    Abstract: Under the Dodd-Frank Wall Street Reform and Consumer 
Protection Act (``Dodd-Frank Act''), Public Law 111-203, 124 Stat. 1376 
(2010), almost all rulemaking authority for the ECOA, EFTA, CLA, and 
TILA transferred from the Board of Governors of the Federal Reserve 
System (``Board'') to the Consumer Financial Protection Bureau 
(``CFPB'') on July 21, 2011 (``transfer date''). To implement this 
transferred authority, the CFPB published new regulations in 12 CFR 
part 1002 (Regulation B), 12 CFR part 1005 (Regulation E), 12 CFR part 
1013 (Regulation M), and 12 CFR part 1026 (Regulation Z) for those 
entities under its rulemaking jurisdiction.\1\ Although the Dodd-Frank 
Act transferred most rulemaking authority under ECOA, EFTA, CLA, and 
TILA to the CFPB, the Board retained rulemaking authority for certain 
motor vehicle dealers \2\ under all of these statutes and also for 
certain interchange-related requirements under EFTA.\3\
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    \1\ 12 CFR pt. 1002 (Reg. B) (81 FR 25323, Apr. 28, 2016); 12 
CFR pt. 1005 (Reg. E) (81 FR 25323, Apr. 28, 2016); 12 CFR pt. 1013 
(Reg. M) (81 FR 25323, Apr. 28, 2016); 12 CFR pt. 1026 (Reg. Z) (81 
FR 25323, Apr. 28, 2016).
    \2\ Generally, these are dealers ``predominantly engaged in the 
sale and servicing of motor vehicles, the leasing and servicing of 
motor vehicles, or both.'' See Dodd-Frank Act, Sec.  1029(a), (c), 
12 U.S.C. 5519(a), (c).
    \3\ See Dodd-Frank Act, Sec.  1075, 15 U.S.C. 1693 (these 
requirements are implemented through Board Regulation II, 12 CFR pt. 
235, rather than EFTA's implementing Regulation E).
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    As a result of the Dodd-Frank Act, the FTC and the CFPB generally 
share the authority to enforce Regulations B, E, M, and Z for entities 
for which the FTC had enforcement authority before the Act, except for 
certain motor vehicle dealers.\4\ Because of this shared

[[Page 51356]]

enforcement jurisdiction, the two agencies have divided the FTC's 
previously-cleared PRA burden estimates between them,\5\ except that 
the FTC has assumed all of the burden estimates associated with motor 
vehicle dealers \6\ and state-chartered credit unions. The division of 
PRA burden hours not attributable to motor vehicle dealers and state-
chartered credit unions is reflected in the CFPB's PRA clearance 
requests to OMB, as well as in the FTC's burden estimates below.
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    \4\ The FTC's enforcement authority includes state-chartered 
credit unions; other federal agencies also have various enforcement 
authority over credit unions. For example, for large credit unions 
(exceeding $10 billion in assets), the CFPB has certain authority. 
The National Credit Union Administration also has certain authority 
for state-chartered federally insured credit unions, and it 
additionally provides insurance for certain state-chartered credit 
unions through the National Credit Union Share Insurance Fund and 
examines credit unions for various purposes. There are approximately 
three state-chartered credit unions exceeding $10 billion in assets, 
and the CFPB assumes PRA burden for those entities. As of the fourth 
quarter of 2020, there were approximately 2,126 state-chartered 
credit unions--1,914 which were federally insured, an estimated 112 
or more which were privately insured, and an estimated 100 or more 
in Puerto Rico which were insured by a quasi-governmental entity. 
Because of the difficulty in parsing out PRA burden for such 
entities in view of the overlapping authority, the FTC's figures 
include PRA burden for all state-chartered credit unions. However, 
in view of fluctuations due to COVID-19 and to avoid undercounting, 
we have retained the prior estimate of 2,300 state-chartered credit 
unions. As noted above, the CFPB's figures as to state-chartered 
credit unions include burden for those entities exceeding $10 
billion in assets. See generally Dodd-Frank Act, Sec. Sec.  1061, 
1025, 1026. This attribution does not change actual enforcement 
authority.
    \5\ The CFPB also factors into its burden estimates respondents 
over which it has jurisdiction but the FTC does not.
    \6\ See Dodd-Frank Act Sec.  1029, 12 U.S.C. 5519(a), as to 
motor vehicle dealers, as limited by subsection (b). Subsection (b) 
does not preclude CFPB regulatory oversight regarding, among others, 
businesses that extend retail credit or retail leases for motor 
vehicles in which the credit or lease offered is provided directly 
from those businesses, rather than unaffiliated third parties, to 
consumers. It is not practicable, however, for PRA purposes, to 
estimate the portion of dealers that engage in one form of financing 
versus another (and that would or would not be subject to CFPB 
oversight). Thus, FTC staff's PRA burden analysis reflects a general 
estimated volume of motor vehicle dealers. This attribution does not 
change actual enforcement authority.
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    Pursuant to the Dodd-Frank Act, the FTC generally has sole 
authority to enforce Regulations B, E, M, and Z regarding certain motor 
vehicle dealers predominantly engaged in the sale and servicing of 
motor vehicles, the leasing and servicing of motor vehicles, or both, 
that, among other things, assign their contracts to unaffiliated third 
parties.\7\ Because the FTC has exclusive jurisdiction to enforce these 
rules for such motor vehicle dealers and retains its concurrent 
authority with the CFPB for other types of motor vehicle dealers, and 
in view of the different types of motor vehicle dealers, the FTC 
retains the entire PRA burden for motor vehicle dealers in the burden 
estimates below.
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    \7\ See Dodd-Frank Act, Sec.  1029, 12 U.S.C. 5519(a), (c).
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1. Regulation B

    The ECOA prohibits discrimination in the extension of credit. 
Regulation B implements the ECOA, establishing disclosure requirements 
to assist customers in understanding their rights under the ECOA and 
recordkeeping requirements to assist agencies in enforcement. 
Regulation B applies to retailers, mortgage lenders, mortgage brokers, 
finance companies, and others.
    Estimated Annual Burden Hours: 1,797,798 hours (Total).
    Recordkeeping: 708,886 hours.
    Disclosures: 1,088,912 hours.
    Estimated Annual Labor Costs: $65,320,576 (Total).
    Recordkeeping: $15,666,176.
    Disclosures: $49,654,400.
    Estimated Annual Non-Labor Costs: $0.

2. Regulation E

    The EFTA requires that covered entities provide consumers with 
accurate disclosure of the costs, terms, and rights relating to EFT and 
certain other services. Regulation E implements the EFTA, establishing 
disclosure and other requirements to aid consumers and recordkeeping 
requirements to assist agencies with enforcement. It applies to 
financial institutions, retailers, gift card issuers and others that 
provide gift cards, service providers, various federal and state 
agencies offering EFTs, prepaid account entities, and others.
    Estimated Annual Burden Hours: Total: 7,435,956 hours.
    Recordkeeping: 251,053 hours.
    Disclosures: 7,184,903 hours.
    Estimated Annual Labor Costs: $332,803,360 (Total).
    Recordkeeping: $5,171,684.
    Disclosures: $327,631,676.
    Estimated Annual Non-Labor Costs: $0.

3. Regulation M

    The CLA requires that covered entities provide consumers with 
accurate disclosure of the costs and terms of leases. Regulation M 
implements the CLA, establishing disclosure requirements to help 
consumers comparison shop and understand the terms of leases and 
recordkeeping requirements. It applies to vehicle lessors (such as auto 
dealers, independent leasing companies, and manufacturers' captive 
finance companies), computer lessors (such as computer dealers and 
other retailers), furniture lessors, various electronic commerce 
lessors, diverse types of lease advertisers, and others.
    Estimated Annual Burden Hours: 101,953 hours (Total).
    Recordkeeping: 30,203 hours.
    Disclosures: 71,750 hours.
    Estimated Annual Labor Costs: $5,954,060 (Total).
    Recordkeeping: $1,763,860.
    Disclosures: $4,190,200.
    Estimated Annual Non-Labor Costs: $0.

4. Regulation Z

    The TILA was enacted to foster comparison credit shopping and 
informed credit decisionmaking by requiring creditors and others to 
provide accurate disclosures regarding the costs and terms of credit to 
consumers. Regulation Z implements the TILA, establishing disclosure 
requirements to assist consumers and recordkeeping requirements to 
assist agencies with enforcement. These requirements pertain to open-
end and closed-end credit and apply to various types of entities, 
including mortgage companies; finance companies; auto dealerships; 
private education loan companies; merchants who extend credit for goods 
or services; credit advertisers; acquirers of mortgages; and others. 
Additional requirements also exist in the mortgage area, including for 
high cost mortgages, higher-priced mortgage loans,\8\ ability to pay of 
mortgage consumers, mortgage servicing, loan originators, and certain 
integrated mortgage disclosures.
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    \8\ While Regulation Z also requires the creditor to provide a 
short written disclosure regarding the appraisal process for higher-
priced mortgage loans, the disclosure is provided by the CFPB. As a 
result, it is not a ``collection of information'' for PRA purposes 
(see 5 CFR 1320.3(c)(2)).
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    Estimated Annual Burden Hours: 8,416,441 (Total).
    Recordkeeping: 561,866 hours.
    Disclosures: 7,854,575 hours.
    Estimated Annual Labor Costs: $369,744,078 (Total).
    Recordkeeping: $11,574,450.
    Disclosures: $358,169,628.
    Estimated Annual Non-Labor Costs: $0.
    Request for Comment: On May 17, 2021, the Commission sought comment 
on the information collection requirements associated with Regulations 
B, E, M, and Z. 86 FR 26,725 (May 17, 2021). No relevant comments were 
received. Pursuant to the OMB regulations, 5 CFR part 1320, the FTC is 
providing this second opportunity for public comment while seeking OMB 
approval to renew clearance for the Rule's information collection 
requirements.
    Your comment--including your name and your state--will be placed on 
the public record of this proceeding.

[[Page 51357]]

Because your comment will be made public, you are solely responsible 
for making sure that your comment does not include any sensitive 
personal information, like anyone's Social Security number, date of 
birth, driver's license number or other state identification number or 
foreign country equivalent, passport number, financial account number, 
or credit or debit card number. You are also solely responsible for 
making sure that your comment does not include any sensitive health 
information, like medical records or other individually identifiable 
health information. In addition, do not include any ``[t]rade secret or 
any commercial or financial information which is . . . privileged or 
confidential'' as provided in Section 6(f) of the FTC Act 15 U.S.C. 
46(f), and FTC Rule 4.10(a)(2), 16 CFR 4.10(a)(2). In particular, do 
not include competitively sensitive information such as costs, sales 
statistics, inventories, formulas, patterns devices, manufacturing 
processes, or customer names.

Josephine Liu,
Assistant General Counsel for Legal Counsel.
[FR Doc. 2021-19904 Filed 9-14-21; 8:45 am]
BILLING CODE 6750-01-P