I agree w/ EGB.
State interpretations are important as in a few states recently, Yield Spread Premiums (whether paid by the lender or borrower, directly or indirectly) are included in determining High Cost/High Fee loans. In the same manner, I believe some states are now including credit life in the calculations, even if requested by the customer.
Now, getting back to your question about total loan amount, the Commentary to Z has a few examples at Paragraph 32(a)(1)(ii). These should help out.
Integrity. With it, nothing else matters. Without it, nothing else matters.