Source: https://www.govregs.com/regulations/title16_chapterI_part640_section640.5
Timestamp: 2020-07-10 05:52:18
Document Index: 669044599

Matched Legal Cases: ['§ 640', 'art 640', 'art 640', '§ 640', '§ 640', '§ 640', '§ 640', '§ 640', '§ 640', '§ 640', 'art 698', '§ 640', '§ 640', '§ 640', '§ 640', 'art 698', '§ 640']

16 CFR 640.5 - Exceptions. § 640.5 - Exceptions.
All TitlesTitle 16Chapter IPart 640 - DUTIES OF CREDITORS REGARDING RISK-BASED PRICING
View all text of Part 640 [§ 640.1 - § 640.6]
§ 640.5 - Exceptions.
(a) Application for specific terms - (1) In general. A person is not required to provide a risk-based pricing notice to the consumer under § 640.3(a) or (c) if the consumer applies for specific material terms and is granted those terms, unless those terms were specified by the person using a consumer report after the consumer applied for or requested credit and after the person obtained the consumer report. For purposes of this section, “specific material terms” means a single material term, or set of material terms, such as an annual percentage rate of 10 percent, and not a range of alternatives, such as an annual percentage rate that may be 8, 10, or 12 percent, or between 8 and 12 percent.
(b) Adverse action notice. A person is not required to provide a risk-based pricing notice to the consumer under § 640.3(a), (c), or (d) if the person provides an adverse action notice to the consumer under section 615(a) of the FCRA.
(c) Prescreened solicitations - (1) In general. A person is not required to provide a risk-based pricing notice to the consumer under § 640.3(a) or (c) if the person:
(d) Loans secured by residential real property - credit score disclosure - (1) In general. A person is not required to provide a risk-based pricing notice to a consumer under § 640.3(a) or (c) if:
(ii) The person provides to each consumer described in paragraph (d)(1)(i) of this section a notice that contains the following -
(4) Multiple credit scores - (i) In general. When a person obtains two or more credit scores from consumer reporting agencies and uses one of those credit scores in setting the material terms of credit granted, extended, or otherwise provided to a consumer, for example, by using the low, middle, high, or most recent score, the notice described in paragraph (d)(1)(ii) of this section must include that credit score and the other information required by that paragraph. When a person obtains two or more credit scores from consumer reporting agencies and uses multiple credit scores in setting the material terms of credit granted, extended, or otherwise provided to a consumer, for example, by computing the average of all the credit scores obtained, the notice described in paragraph (d)(1)(ii) of this section must include one of those credit scores and the other information required by that paragraph. The notice may, at the person's option, include more than one credit score, along with the additional information specified in paragraph (d)(1)(ii) of this section for each credit score disclosed.
(5) Model form. A model form of the notice described in paragraph (d)(1)(ii) of this section consolidated with the notice required by section 609(g) of the FCRA is contained in 16 CFR Part 698, Appendix B. Appropriate use of Model Form B-3 is deemed to comply with the requirements of § 640.5(d). Use of the model form is optional.
(e) Other extensions of credit - credit score disclosure - (1) In general. A person is not required to provide a risk-based pricing notice to a consumer under § 640.3(a) or (c) if:
(ii) The person provides to each consumer described in paragraph (e)(1)(i) of this section a notice that contains the following -
(4) Multiple credit scores - (i) In General. When a person obtains two or more credit scores from consumer reporting agencies and uses one of those credit scores in setting the material terms of credit granted, extended, or otherwise provided to a consumer, for example, by using the low, middle, high, or most recent score, the notice described in paragraph (e)(1)(ii) of this section must include that credit score and the other information required by that paragraph. When a person obtains two or more credit scores from consumer reporting agencies and uses multiple credit scores in setting the material terms of credit granted, extended, or otherwise provided to a consumer, for example, by computing the average of all the credit scores obtained, the notice described in paragraph (e)(1)(ii) of this section must include one of those credit scores and the other information required by that paragraph. The notice may, at the person's option, include more than one credit score, along with the additional information specified in paragraph (e)(1)(ii) of this section for each credit score disclosed.
(5) Model form. A model form of the notice described in paragraph (e)(1)(ii) of this section is contained in 16 CFR part B, appendix B. Appropriate use of Model Form B-4 is deemed to comply with the requirements of § 640.5(e). Use of the model form is optional.
(f) Credit score not available - (1) In general. A person is not required to provide a risk-based pricing notice to a consumer under § 640.3(a) or (c) if the person:
(iii) Provides to the consumer a notice that contains the following -
(5) Model form. A model form of the notice described in paragraph (f)(1)(iii) of this section is contained in 16 CFR part 698, appendix B. Appropriate use of Model Form B-5 is deemed to comply with the requirements of § 640.5(f). Use of the model form is optional.