When Megan Johnson withdraws from her HELOC for college tuition, does Reg Z require any additional disclosures?

Under Regulation Z, which implements the Truth in Lending Act, specific disclosures must be provided to consumers for certain types of credit transactions. However, when it comes to home equity lines of credit (HELOCs), the regulatory requirements are clear.

If Megan Johnson is using her HELOC to withdraw funds for college tuition, it does not trigger any additional disclosure requirements beyond those already provided at the time the line of credit was established. This is because the initial disclosures given for HELOCs cover all future draws on the line of credit, making additional disclosures unnecessary for each individual withdrawal.

Thus, the correct answer is that Reg Z does not require any additional disclosures when withdrawing from an existing HELOC for educational expenses, such as college tuition. This maintains a balance between providing adequate information to consumers and avoiding repetitive disclosures that could confuse or overwhelm them.