12 CFR Part 226, Appendix L to Part 226 - Assumed Loan Periods for Computations of Total Annual Loan Cost Rates

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View PDF at GPO Pt. 226, App. L
Appendix L to Part 226—Assumed Loan Periods for Computations of Total Annual Loan Cost Rates
(a) Required tables. In calculating the total annual loan cost rates in accordance with appendix K of this part, creditors shall assume three loan periods, as determined by the following table.
(b) Loan periods. (1) Loan Period 1 is a two-year loan period.
(2) Loan Period 2 is the life expectancy in years of the youngest borrower to become obligated on the reverse mortgage loan, as shown in the U.S. Decennial Life Tables for 1979-1981 for females, rounded to the nearest whole year.
(3) Loan Period 3 is the life expectancy figure in Loan Period 3, multiplied by 1.4 and rounded to the nearest full year (life expectancy figures at .5 have been rounded up to 1).
(4) At the creditor's option, an additional period may be included, which is the life expectancy figure in Loan Period 2, multiplied by .5 and rounded to the nearest full year (life expectancy figures at .5 have been rounded up to 1).
Age of youngest borrower Loan period 1 (in years) [Optional loan period (in years)] Loan period 2 (life expectancy) (in years) Loan period 3 (in years)
62 2 [11] 21 29
63 2 [10] 20 28
64 2 [10] 19 27
65 2 [9] 18 25
66 2 [9] 18 25
67 2 [9] 17 24
68 2 [8] 16 22
69 2 [8] 16 22
70 2 [8] 15 21
71 2 [7] 14 20
72 2 [7] 13 18
73 2 [7] 13 18
74 2 [6] 12 17
75 2 [6] 12 17
76 2 [6] 11 15
77 2 [5] 10 14
78 2 [5] 10 14
79 2 [5] 9 13
80 2 [5] 9 13
81 2 [4] 8 11
82 2 [4] 8 11
83 2 [4] 7 10
84 2 [4] 7 10
85 2 [3] 6 8
86 2 [3] 6 8
87 2 [3] 6 8
88 2 [3] 5 7
89 2 [3] 5 7
90 2 [3] 5 7
91 2 [2] 4 6
92 2 [2] 4 6
93 2 [2] 4 6
94 2 [2] 4 6
95 and over 2 [2] 3 4
[60 FR 15476, Mar. 24, 1995]

Title 12 published on 2014-01-01

The following are only the Rules published in the Federal Register after the published date of Title 12.

For a complete list of all Rules, Proposed Rules, and Notices view the Rulemaking tab.

  • 2014-09-22; vol. 79 # 183 - Monday, September 22, 2014
    1. 79 FR 56483 - Truth in Lending (Regulation Z)
      GPO FDSys XML | Text
      FEDERAL RESERVE SYSTEM, BUREAU OF CONSUMER FINANCIAL PROTECTION
      Final rule; official interpretations and commentary.
      This final rule is effective January 1, 2015.
      12 CFR Part 226

Title 12 published on 2014-01-01

The following are ALL rules, proposed rules, and notices (chronologically) published in the Federal Register relating to 12 CFR 226 after this date.

  • 2014-09-22; vol. 79 # 183 - Monday, September 22, 2014
    1. 79 FR 56483 - Truth in Lending (Regulation Z)
      GPO FDSys XML | Text
      FEDERAL RESERVE SYSTEM, BUREAU OF CONSUMER FINANCIAL PROTECTION
      Final rule; official interpretations and commentary.
      This final rule is effective January 1, 2015.
      12 CFR Part 226