Banker's Compliance Consulting Blog

Refinances & Truth in Lending

Written by Kevin Edwards | Sep 15, 2025 6:36:56 PM

When you refinance a loan, there are several different regulations that can come into play, depending on details of the specific transaction.  One of those regulations is Truth in Lending.  §1026.20, which deals with closed-end loans, states that …A refinancing occurs when an existing obligation…is satisfied and replaced by a new obligation undertaken by the same consumer…. While there are some exclusions, knowing what is and what is not a refinancing is key because …A refinancing is a new transaction requiring new disclosures to the consumer. 

Kevin explains more in the video.

 

Published
2025/08/15