Truth in Lending (Regulation Z) Threshold Adjustments
The Board and the Bureau are publishing final rules amending the official interpretations and commentary for the agencies’ regulations that implement the Truth in Lending Act (TILA). The Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) amended TILA by requiring that the dollar threshold for exempt consumer credit transactions be adjusted annually by the annual percentage increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). If there is no annual percentage increase in the CPI-W, the Board and the Bureau will not adjust this exemption threshold from the prior year. Additionally, in years following a year in which the exemption threshold was not adjusted because CPI-W decreased, the threshold is calculated by applying the annual percentage change in the CPI-W to the dollar amount that would have resulted, after rounding, if the decreases and any subsequent increases in the CPI-W had been taken into account. Based on the annual percentage increase in the CPI-W as of June 1, 2024, the exemption threshold will increase from $69,500 to $71,900, effective Jan. 1, 2025.
Annual threshold adjustments
- Based on the CPI-W in effect as of June 1, 2024, the exemption threshold will increase from $69,500 to $71,900, effective Jan. 1, 2025
- Based on the CPI-W in effect as of June 1, 2023, the exemption threshold will increase from $66,400 to $69,500, effective Jan. 1, 2024.
- Based on the CPI-W in effect as of June 1, 2022, the exemption threshold will increase from $61,000 to $66,400, effective Jan. 1, 2023.
- Based on the CPI-W in effect as of June 1, 2021, the exemption threshold will increase from $58,300 to $61,000, effective Jan. 1, 2022.
- Based on the annual percentage increase in the CPI-W as of June 1, 2020, the exemption threshold will remain at $58,300 effective January 1, 2021.
- Based on the annual percentage increase in the CPI-W as of June 1, 2019, the exemption threshold will increase from $57,200 to $58,300 effective January 1, 2020.
- Based on the annual percentage increase in the CPI-W as of June 1, 2018, the exemption threshold will increase from $55,800 to $57,200 effective Jan. 1, 2019.
- Based on the annual percentage increase in the CPI-W as of June 1, 2017, the exemption threshold will increase from $54,600 to $55,800 effective Jan. 1, 2018.
- Based on the CPI-W in effect as of June 1, 2016, the exemption threshold will remain at $54,600 through Dec. 31, 2017.
- Proposed rule to change the calculation methodology.
- Issued proposed rule
- Based on the annual percentage decrease in the CPI-W as of June 1, 2015, the exemption threshold will remain at $54,600 through Dec. 31, 2016.
- Based on the annual percentage increase in the CPI-W as of June 1, 2014, the Board and the Bureau are adjusting the exemption threshold to $54,600, effective Jan. 1, 2015.
- Based on the annual percentage increase in the CPI-W as of June 1, 2013, the Board and the Bureau are adjusting the exemption threshold to $53,500, effective Jan. 1, 2014.
- Based on the annual percentage increase in the CPI-W as of June 1, 2012, the Board and the Bureau are adjusting the exemption threshold from $51,800 to $53,000, effective Jan. 1, 2013.