The Consumer Financial Protection Bureau announced 2021 changes in dollar thresholds for several Regulation Z provisions governed by the CARD Act, the Home Ownership and Equity Protection Act and the Dodd-Frank Act. The thresholds are based on changes in the Consumer Price Index and take effect on Jan. 1, 2021.
For credit cards, the penalty fees safe harbor for 2021 will remain unchanged at $29 for a first late payment. The subsequent late payment safe harbor fee will also remain unchanged at $40. The minimum interest charge disclosure threshold will remain unchanged for 2020 at $1. The loan amount at which HOEPA’s points-and-fees test comes into effect will increase to $22,052, and the HOEPA points-and-fees trigger will rise to $1,103.