We recently recieved a newsletter from a law firm that states, "When made in paper form, the home equity disclosure required by Regulation Z section 226.5b(d) is one of the regulation Z disclosures that does not have to be provided in a form the consumer can keep. While the interim rules require that all electronic disclosures be provided in a form the consumer can keep, the home equity plan disclosure is excepted from both the consumer consent requirement and the conditions that apply to disclosures posted on the creditor's website..."
However, the commentary for §226.5b(d) refers the reader to §226.6(e), which states that the creditor shall disclose (in writing and in a form the consumer may keep)the variable rate disclosures in §226.5b(d) unless those disclosures (originally)provided with the application were in a form the consumer could keep.
We have always given the consumer written pre-application disclosures for HELOCs. Because they were in writing, they were, by their nature, in a form the consumer could keep.
OK...I'm confused! First, the information under 226.5b(d) must be provided in writing prior to application. However, when speaking of e-disclosures, am I to understand that once we make the disclosures avaialble electronically, that not only does the consumer not have to consent to recieve them this way, but we also do not have to make them available electronically for the 90 days mandated by the e-regs?
Leslie