Reg Z?

Posted By: banker-12

Reg Z? - 03/16/21 04:37 PM

We have a 800,000 loan of which only $70,000 is consumer purpose. It is secured with a commercial building. REG Z applies, correct? even though the amount is over the REG Z exemption threshold, it is still secured by real property.

Thanks,
Posted By: raitchjay

Re: Reg Z? - 03/16/21 04:50 PM

If $730,000 of the loan funds out of $800,000 are for business purpose, then it wouldn't be subject to Z.
Posted By: banker-12

Re: Reg Z? - 03/16/21 05:00 PM

Ok. Thank You. So as long as majority of the proceeds are for business purpose, it's exempt?
Posted By: raitchjay

Re: Reg Z? - 03/16/21 05:04 PM

Yes.