12 U.S.C. § 2199 — Disclosure

Page 1333 TITLE 12—BANKS AND BANKING § 2200 decides to exercise this option, the institution shall provide the requester with a written esti- mate of the costs of handling and mailing the communication as soon as is practicable after receipt of the stockholder’s request to furnish the communication. (Pub. L. 92–181, title IV, § 4.12A, as added Pub. L. 100–233, title IV, § 420, Jan. 6, 1988, 101 Stat. 1653; amended Pub. L. 115–334, title V, § 5411(21), Dec. 20, 2018, 132 Stat. 4681.) Editorial Notes AMENDMENTS 2018—Subsec. (a)(1). Pub. L. 115–334 added par. (1) and struck out former par. (1). Prior to amendment, text read as follows: ‘‘Within 7 days after receipt of a writ- ten request by a stockholder, a bank for cooperatives, Federal land bank association, or production credit as- sociation shall provide a current list of its stockholders to such requesting stockholder.’’ PART C—RIGHTS OF BORROWERS; LOAN RESTRUCTURING Editorial Notes CODIFICATION Pub. L. 100–233, title VIII, § 804(b), Jan. 6, 1988, 101 Stat. 1715, substituted ‘‘Rights of Borrowers; Loan Re- structuring’’ for ‘‘Rights of Applicants’’ as part C head- ing. § 2199. Disclosure (a) In general In accordance with regulations of the Farm Credit Administration, qualified lenders shall provide to borrowers, for all loans that are not subject to the Truth in Lending Act (15 U.S.C. 1601 et seq.), meaningful and timely disclosure not later than the time of the loan closing, of— (1) the current rate of interest on the loan; (2) in the case of an adjustable or variable rate loan, the amount and frequency by which the interest rate can be increased during the term of the loan or, if there are no such limi- tations, a statement to that effect, and the factors (including the cost of funds, operating expenses, and provision for loan losses) that will be taken into account by the qualified lender in determining adjustments to the in- terest rate; (3) the effect, as shown by a representative example or examples, of any loan origination charges or purchases of stock or participation certificates on the effective rate of interest; (4) any change in the interest rate applicable to the borrower’s loan, and notice to the bor- rower of a change in the interest rate applica- ble to the loan of the borrower may be made within a reasonable time after the effective date of an increase or decrease in the interest rate; (5) except with respect to stock guaranteed under section 2162 of this title, a statement in- dicating that stock that is purchased is at risk; and (6) a statement indicating the various types of loan options available to borrowers, with an explanation of the terms and borrowers’ rights that apply to each type of loan. (b) Differential interest rates A qualified lender offering more than one rate of interest to borrowers shall, at the request of a borrower of a loan— (1) provide a review of the loan to determine if the proper interest rate has been estab- lished; (2) explain to the borrower in writing the basis for the interest rate charged; and (3) explain to the borrower in writing how the credit status of the borrower may be im- proved to receive a lower interest rate on the loan. (Pub. L. 92–181, title IV, § 4.13, as added Pub. L. 99–205, title III, § 301(b), Dec. 23, 1985, 99 Stat. 1707; amended Pub. L. 100–233, title I, §§ 103, 109, Jan. 6, 1988, 101 Stat. 1579, 1584; Pub. L. 104–105, title II, § 207, Feb. 10, 1996, 110 Stat. 173.) Editorial Notes REFERENCES IN TEXT The Truth in Lending Act, referred to in subsec. (a), is title I of Pub. L. 90–321, May 29, 1968, 82 Stat. 146, which is classified generally to subchapter I (§ 1601 et seq.) of chapter 41 of Title 15, Commerce and Trade. For complete classification of this Act to the Code, see Short Title note set out under section 1601 of Title 15 and Tables. PRIOR PROVISIONS A prior section 4.13 of Pub. L. 92–181, title IV, Dec. 10, 1971, 85 Stat. 613, was renumbered section 4.13B by Pub. L. 99–205, title III, § 301(a), Dec. 23, 1985, 99 Stat. 1707, and is classified to section 2201 of this title. AMENDMENTS 1996—Subsec. (a)(4). Pub. L. 104–105 inserted before semicolon at end ‘‘, and notice to the borrower of a change in the interest rate applicable to the loan of the borrower may be made within a reasonable time after the effective date of an increase or decrease in the in- terest rate’’. 1988—Pub. L. 100–233, § 109, designated existing provi- sions as subsec. (a), inserted heading, and added subsec. (b). Pub. L. 100–233, § 103, amended section generally, sub- stituting introductory provisions and cls. (1) to (6) for former subsecs. (a) and (b). Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective thirty days after Dec. 23, 1985, see section 401 of Pub. L. 99–205, set out as an Effective Date of 1985 Amendment note under section 2001 of this title. § 2200. Access to documents and information In accordance with regulations of the Farm Credit Administration, qualified lenders shall provide their borrowers, at the time of execu- tion of loans, copies of all documents signed by the borrower and at any time thereafter, on a borrower’s request, copies of all documents signed or delivered by the borrower and at any time, on request, a copy of the institution’s arti- cles of incorporation or charter and bylaws and copies of each appraisal of the borrower’s assets made or used by the qualified lender. (Pub. L. 92–181, title IV, § 4.13A, as added Pub. L. 99–205, title III, § 301(b), Dec. 23, 1985, 99 Stat.