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Title 15 — Commerce and TradeRelease 119-73

§1664 Advertising of credit other than open end plans

Title 15 › Chapter CHAPTER 41— - CONSUMER CREDIT PROTECTION › Subchapter SUBCHAPTER I— - CONSUMER CREDIT COST DISCLOSURE › Part Part C— - Credit Advertising and Limits on Credit Card Fees › § 1664

Last updated Apr 6, 2026|Official source

Summary

Requires most ads for consumer loans or credit (but not open‑end credit plans) to give clear credit facts. Ads for residential real estate are excluded unless the Bureau says they must follow these rules. If an ad shows a finance charge rate, it must show that rate as an annual percentage rate. If an ad states a downpayment, an installment amount, a finance charge dollar amount, or the number/period of payments, it must also state the downpayment (if any), the repayment terms, and the annual percentage rate. Paper or Internet ads for loans secured by a consumer’s main home that may exceed the home’s market value must say that interest on the excess is not tax deductible for Federal income tax purposes and advise the consumer to consult a tax adviser.

Full Legal Text

Title 15, §1664

Commerce and Trade — Source: USLM XML via OLRC

(a)Except as provided in subsection (b), this section applies to any advertisement to aid, promote, or assist directly or indirectly any consumer credit sale, loan, or other extension of credit subject to the provisions of this subchapter, other than an open end credit plan.
(b)The provisions of this section do not apply to advertisements of residential real estate except to the extent that the Bureau may by regulation require.
(c)If any advertisement to which this section applies states the rate of a finance charge, the advertisement shall state the rate of that charge expressed as an annual percentage rate.
(d)If any advertisement to which this section applies states the amount of the downpayment, if any, the amount of any installment payment, the dollar amount of any finance charge, or the number of installments or the period of repayment, then the advertisement shall state all of the following items:
(1)The downpayment, if any.
(2)The terms of repayment.
(3)The rate of the finance charge expressed as an annual percentage rate.
(e)Each advertisement to which this section applies that relates to a consumer credit transaction that is secured by the principal dwelling of a consumer in which the extension of credit may exceed the fair market value of the dwelling, and which advertisement is disseminated in paper form to the public or through the Internet, as opposed to by radio or television, shall clearly and conspicuously state that—
(1)the interest on the portion of the credit extension that is greater than the fair market value of the dwelling is not tax deductible for Federal income tax purposes; and
(2)the consumer should consult a tax adviser for further information regarding the deductibility of interest and charges.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

2010—Subsec. (b). Pub. L. 111–203 substituted “Bureau” for “Board”. 2005—Subsec. (e). Pub. L. 109–8 added subsec. (e). 1980—Subsec. (d). Pub. L. 97–221 substituted items setting forth downpayment, etc., set out in pars. (1) to (3), for items setting forth cash price or amount of loan, etc., set out in pars. (1) to (4).

Statutory Notes and Related Subsidiaries

Effective Date

of 2010 AmendmentAmendment by Pub. L. 111–203 effective on the designated transfer date, see section 1100H of Pub. L. 111–203, set out as a note under section 552a of Title 5, Government Organization and Employees.

Effective Date

of 2005 AmendmentAmendment by Pub. L. 109–8 effective 180 days after Apr. 20, 2005, and not applicable with respect to cases commenced under Title 11, Bankruptcy, before such

Effective Date

, except as otherwise provided, see section 1501 of Pub. L. 109–8, set out as a note under section 101 of Title 11.

Effective Date

of 1980 AmendmentAmendment by Pub. L. 96–221 effective on expiration of two years and six months after Mar. 31, 1980, with all

Regulations

, forms, and clauses required to be prescribed to be promulgated at least one year prior to such

Effective Date

, and allowing any creditor to comply with any

Amendments

, in accordance with the

Regulations

, forms, and clauses prescribed by the Board prior to such

Effective Date

, see section 625 of Pub. L. 96–221, set out as a note under section 1602 of this title.

Reference

Citations & Metadata

Citation

15 U.S.C. § 1664

Title 15 — Commerce and Trade

Last Updated

Apr 6, 2026

Release point: 119-73