Which of the following is NOT a requirement for disclosures if a loan is secured by a dwelling?

In the context of loans secured by a dwelling, the Truth in Lending Act (TILA) mandates specific disclosure requirements to ensure that borrowers have a clear understanding of their loan terms.

A crucial part of these disclosures includes providing the total loan amount, which informs the borrower of the principal sum they are obligated to repay. The Annual Percentage Rate (APR) is also a required disclosure, as it represents the cost of borrowing on an annual basis, including interest and any fees, expressed as a percentage rate. A list of closing costs is similarly necessary, as it gives the borrower an upfront understanding of all the potential expenses associated with closing the loan.

The requirement regarding information on how to repay the loan, however, is not a mandatory disclosure under TILA. While it may be beneficial for borrowers to have clarity on repayment strategies, it does not fall under the specific federal disclosure obligations established for loans secured by a dwelling. Therefore, this answer correctly identifies what is not required under these regulations, emphasizing the distinction between helpful information and necessary legal disclosures.