Writing and Interpreting Regulations
The Federal Reserve Board writes regulations to implement many of the
major consumer protection laws. These regulations may cover not only banks but
also certain businesses, including finance companies, mortgage brokers,
retailers, and automobile dealers. For example, Congress passed the Truth in
Lending Act to ensure that consumers have adequate information about credit.
The Board implemented that law by writing Regulation Z, which requires banks
and other creditors to provide detailed information to consumers about the terms
and cost of consumer credit for mortgages, car loans, credit and charge cards,
and other credit products. The Board also revises and updates its regulations to
address new products or changes in technology, to implement changes to existing
legislation, or to address problems encountered by consumers.