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This manual was prepared to help you, the advertiser, comply with requirements in federal law for advertising consumer credit and consumer leases. These requirements apply whenever you use specific terms in an advertisement promoting consumer credit or consumer leases. Although this manual is illustrated with newspaper advertisements, the law applies to all kinds of media advertisements for consumer credit and consumer leases.
You may find it helpful to follow these steps in using this manual:
The staff of the Federal Trade Commission's Division of Credit Practices based this manual on the Truth in Lending Act (which includes the Consumer Leasing Act); regulations adopted by the Federal Reserve Board known as Regulation Z (for consumer credit) and Regulation M (for consumer leases); and the Official Staff Commentaries accompanying those regulations that are revised annually by the Federal Reserve Board and made effective each October. This edition of the manual reflects changes in the law issued through October 1, 1989. The manual represents the Federal Trade Commission (FTC) staff's view of what the law requires, and it is not binding on the Commission.
This manual is intended to be a guide to the advertising requirements; it does not cover all contingencies. For further information, consult the Act, the regulations, and the staff commentaries directly. You also may want to discuss specific questions with your lawyer or with the federal agency (listed below) that has enforcement jurisdiction over your advertising.
The FTC enforces the Truth in Lending Act as to retailers, finance companies, creditors, lessors, and all other advertisers of consumer credit and consumer leases who are not regulated by other federal agencies. The other federal agencies with enforcement jurisdiction for the Act are:
Comptroller of the Currency—national banks;
Federal Reserve Board—state member banks of the Federal Reserve System;
Federal Deposit Insurance Corporation—FDIC-insured banks that are not members of the Federal Reserve System;
Office of Thrift Supervision—insured savings institutions and members of the Office of Thrift Supervision System not insured by FDIC;
Department of Transportation—air carriers;
National Credit Union Administration—Federal credit unions;
Farm Credit Administration—Federal land banks, Federal land bank associations, Federal intermediate credit banks, and production credit associations;
Department of Agriculture—packers and stockyards.
Contact these other agencies directly for further information and assistance if you are subject to their jurisdiction (see "For Further Information").
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