If the finance charge originally imposed was an add-on or discount finance charge, what must the creditor disclose?

The requirement for a creditor to disclose specific information when the finance charge originally imposed is either an add-on or a discount finance charge is comprehensive. This is directed by Regulation Z of the Truth in Lending Act, which aims to ensure that borrowers can clearly understand the costs associated with their loans.

When a finance charge is an add-on or discount, it is essential to inform the consumer about the total charges that have been imposed. This transparency allows the borrower to comprehend the total financial burden they are accepting. Furthermore, the creditor must also disclose the unpaid balance of the obligation, especially since it is a critical figure that influences the overall repayment and interest calculation.

In addition, the Annual Percentage Rate (APR) originally imposed needs to be disclosed. The APR reflects the cost of borrowing on an annual basis, which consumers must understand to compare different credit offers effectively.

Combining all these elements, it becomes clear why all these disclosures are necessary for the consumer's understanding, making the answer that all disclosures (the unpaid balance, total charges imposed, and the APR) must be provided as the correct response. This comprehensive disclosure helps borrowers make informed decisions regarding their loans and encourages accountability and transparency from creditors.