‘‘(A) IN GENERAL.—In the’’; 
(2) by striking ‘‘a residential mortgage trans-
action, as defined in section 103(w)’’ and inserting 
‘‘any extension of credit that is secured by the dwell-
ing of a consumer’’; 
(3) by striking ‘‘shall be made in accordance’’ 
and all that follows through ‘‘extended, or’’; 
(4) by striking ‘‘If the’’ and all that follows 
through the end of the paragraph and inserting the 
following new subparagraphs: 
‘‘(B) STATEMENT AND TIMING OF DISCLO-
SURES.—In the case of an extension of credit 
that is secured by the dwelling of a consumer, 
in addition to the other disclosures required by 
subsection (a), the disclosures provided under 
this paragraph shall— 
‘‘(i) state in conspicuous type size and 
format, the following: ‘You are not re-
quired to complete this agreement merely 
because you have received these disclosures 
or signed a loan application.’; and 
‘‘(ii) be furnished to the borrower not 
later than 7 business days before the date 
of consummation of the transaction, and at 
VerDate Aug 31 2005 
07:25 Nov 01, 2007
Jkt 069200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H4019.IH
H4019
bajohnson on PROD1PC69 with BILLS
the time of consummation of the trans-
action, subject to subparagraph (D). 
‘‘(C) 
VARIABLE
RATES
OR
PAYMENT 
SCHEDULES.—In the case of an extension of 
credit that is secured by the dwelling of a con-
sumer, under which the annual rate of interest 
is variable, or with respect to which the regular 
payments may otherwise be variable, in addition 
to the other disclosures required by subsection 
(a), the disclosures provided under this para-
graph shall— 
‘‘(i) label the payment schedule as fol-
lows: ‘Payment Schedule: Payments Will 
Vary Based on Interest Rate Changes’; 
and 
‘‘(ii) state the maximum amount of 
the regular required payments on the loan, 
based on the maximum interest rate al-
lowed, introduced with the following lan-
guage in conspicuous type size and format: 
‘Your payment can go as high as lll 
’, the blank to be filled in with the max-
imum possible payment amount. 
‘‘(D) UPDATING
APR.—In any case in 
which the disclosure statement provided 7 busi-
VerDate Aug 31 2005 
07:25 Nov 01, 2007
Jkt 069200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H4019.IH
H4019
bajohnson on PROD1PC69 with BILLS
ness days before the date of consummation of 
the transaction contains an annual percentage 
rate of interest that is no longer accurate, as 
determined under section 107(c), the creditor 
shall furnish an additional, corrected statement 
to the borrower, not later than 3 business days 
before the date of consummation of the trans-
action.’’. 
SEC. 3. CIVIL LIABILITY. 
Section 130(a) of the Truth in Lending Act (15 
U.S.C. 1640(a)) is amended— 
(1) in paragraph (2)(A)(iii), by striking ‘‘not 
less than $200 or greater than $2,000’’ and insert-
ing ‘‘$5,000, such amount to be adjusted annually 
based on the consumer price index, to maintain cur-
rent value’’; and 
(2) in the penultimate sentence of the undesig-
nated matter following paragraph (4)— 
(A) by striking ‘‘only for’’ and inserting 
‘‘for’’; 
(B) by striking ‘‘section 125 or’’ and in-
serting ‘‘section 122, section 125,’’; 
(C) by inserting ‘‘or section 128(b),’’ after 
‘‘128(a),’’; and 
VerDate Aug 31 2005 
20:38 Nov 01, 2007
Jkt 069200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H4019.IH
H4019
bajohnson on PROD1PC69 with BILLS
(D) by inserting ‘‘or section 128(b)’’ before 
the period. 
Æ 
VerDate Aug 31 2005 
07:25 Nov 01, 2007
Jkt 069200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6301
E:\BILLS\H4019.IH
H4019
bajohnson on PROD1PC69 with BILLS