N.J. Admin. Code § 3:1-14.4

Current through Register Vol. 56, No. 23, December 2, 2024

Section 3:1-14.4 - Notification of changes

(a) The bank, savings bank or savings and loan association shall notify each borrower of any change in terms in the manner set forth in the agreement governing the plan and in compliance with the Truth-in-Lending Act and regulations promulgated thereunder, as in effect from time to time, if applicable; provided however, that if such change has the effect of increasing the interest rate or other changes to be paid by the borrower, the bank, savings bank or savings and loan association shall mail or deliver to the borrower at least 15 days before the effective date of the change a clear and conspicuous written notice that shall describe the change and the existing term or terms of the agreement affected by the change and shall also set forth the effective date and an explanation, if necessary, of the change.

(b) No notice of a change is required under (a) above if a change in interest rate is made under a properly disclosed variable rate plan that ties the interest rate change to an index or formula.

Amended by R.2001 d.112, effective 4/2/2001.
See: 33 New Jersey Register 213(a), 33 New Jersey Register 1087(a).