PROHIBITION ON CERTAIN ACTIONS FOR FAILURE TO INCUR FINANCE CHARGES.

SEC. 1306. PROHIBITION ON CERTAIN ACTIONS FOR FAILURE TO INCUR FINANCE CHARGES.(a) Prohibition on Certain Actions for Failure To Incur Finance Charges.—Section 127 of the Truth in Lending Act (15 U.S.C. 1637) is amended by adding at the end the following:“(h) Prohibition on Certain Actions for Failure To Incur Finance Charges.—A creditor of an account under an open end consumer credit plan may not terminate an account prior to its expiration date solely because the consumer has not incurred finance charges on the account. Nothing in this subsection shall prohibit a creditor from terminating an account for inactivity in 3 or more consecutive months.”.(b) Regulatory Implementation.—(1) In general.—The Board shall promulgate regulations implementing the requirements of section 127(h) of the Truth in Lending Act, as added by this section. (2) Effective date.—The amendment made by subsection (a) and regulations issued under paragraph (1) of this subsection shall not take effect until the later of—(A) 12 months after the date of enactment of this Act; or 119 STAT. 213(B) 12 months after the date of publication of such final regulations by the Board.