Answer:
The relevant question is "are premiums for property insurance Finance Charges?" As is the case with most of Reg. Z, the answer is "it depends...." In most transactions, these charges are not FCs, but you must review and apply Section 226.4(d)(2) to your case in order to get the answer. If you determine that the premiums are FCs, then they must be reflected in the APR calculation.
First published on BankersOnline.com 11/21/2005
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