Notice2025-15323
Agency Information Collection Activities; Proposed Collection; Comment Request; Extension
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
August 13, 2025
Issuing agencies
Federal Trade Commission
Abstract
In accordance with the Paperwork Reduction Act of 1995 (PRA), the Federal Trade Commission (FTC or Commission) is seeking public comment on its proposal to extend for an additional three years the FTC's portion of the information collection requirements contained in the Consumer Financial Protection Bureau's Regulation N (the Mortgage Acts and Practices--Advertising Rule). The FTC generally shares enforcement of Regulation N with the Consumer Financial Protection Bureau (CFPB). The current clearance expires on February 28, 2026.
Full Text
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<title>Federal Register, Volume 90 Issue 154 (Wednesday, August 13, 2025)</title>
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[Federal Register Volume 90, Number 154 (Wednesday, August 13, 2025)]
[Notices]
[Pages 38978-38979]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-15323]
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FEDERAL TRADE COMMISSION
Agency Information Collection Activities; Proposed Collection;
Comment Request; Extension
AGENCY: Federal Trade Commission.
ACTION: Notice.
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SUMMARY: In accordance with the Paperwork Reduction Act of 1995 (PRA),
the Federal Trade Commission (FTC or Commission) is seeking public
comment on its proposal to extend for an additional three years the
FTC's portion of the information collection requirements contained in
the Consumer Financial Protection Bureau's Regulation N (the Mortgage
Acts and Practices--Advertising Rule). The FTC generally shares
enforcement of Regulation N with the Consumer Financial Protection
Bureau (CFPB). The current clearance expires on February 28, 2026.
DATES: Comments must be filed by October 14, 2025.
ADDRESSES: Interested parties may file a comment online or on paper, by
following the instructions in the Request for Comment part of the
SUPPLEMENTARY INFORMATION section below. Write ``Regulation N, PRA
Comment, P085405,'' on your comment, and file your comment online at
<a href="https://www.regulations.gov">https://www.regulations.gov</a> by following the instructions on the web-
based form. If you prefer to file your comment on paper, mail your
comment to the following address: Federal Trade Commission, Office of
the Secretary, 600 Pennsylvania Avenue NW, Suite CC-5610 (Annex J),
Washington, DC 20580.
FOR FURTHER INFORMATION CONTACT: Carole L. Reynolds, Attorney, Division
of Financial Practices, Bureau of Consumer Protection, Federal Trade
Commission, (202) 326-3230; <a href="/cdn-cgi/l/email-protection#640716011d0a0b080017240210074a030b12"><span class="__cf_email__" data-cfemail="335041564a5d5c5f5740735547501d545c45">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION:
Title: Mortgage Acts and Practices--Advertising (Regulation N), 12
CFR part 1014.
OMB Control Number: 3084-0156.
Type of Review: Extension of a currently approved collection.
Abstract: The FTC and the CFPB generally share enforcement
authority for Regulation N and thus the two agencies share burden
estimates for Regulation N.\1\ Regulation N's recordkeeping
requirements constitute a ``collection of information'' for purposes of
the PRA.\2\ The Rule does not impose a disclosure requirement.
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\1\ As background, the FTC's Mortgage Acts and Practices--
Advertising Rule, 16 CFR part 321, was issued by the FTC in July
2011, 76 FR 43826 (July 22, 2011), and became effective on August
19, 2011. The Dodd-Frank Wall Street Reform and Consumer Protection
Act of 2010 (Dodd-Frank Act) transferred to the CFPB the
Commission's rulemaking authority under section 626 of the 2009
Omnibus Appropriations Act on July 21, 2011. As a result, the CFPB
republished the Mortgage Acts and Practices--Advertising Rule, at 12
CFR part 1014, which became effective December 30, 2011. 76 FR
78130. Thereafter, the Commission rescinded its Rule, effective
April 13, 2012. 77 FR 22200. Under the Dodd-Frank Act, the FTC
retains its authority to bring law enforcement actions to enforce
Regulation N.
\2\ Section 1014.5 of the Rule sets forth the recordkeeping
requirements. See 44 U.S.C. 3502(3)(A).
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Regulation N requires covered persons to retain: (1) copies of
materially different commercial communications and related materials,
regarding any term of any mortgage credit product, that the person made
or disseminated during the relevant time period; (2) documents
describing or evidencing all mortgage credit products available to
consumers during the relevant time period; and (3) documents describing
or evidencing all additional products or services (such as credit
insurance or credit disability insurance) that are or may be offered or
provided with the mortgage credit products available to consumers
during the relevant time period. A failure to keep such records would
be an independent violation of the Rule.
Commission staff believes the recordkeeping requirements pertain to
records that are usual and customary and kept in the ordinary course of
business for many covered persons, such as mortgage brokers, lenders,
and servicers; real estate brokers and agents; home builders, and
advertising agencies.\3\ As to these persons, the retention of these
documents does not constitute a ``collection of information,'' as
defined by OMB's regulations that implement the PRA.\4\ Certain other
covered persons such as lead generators and rate aggregators may not
currently maintain these records in the ordinary course of business.\5\
Thus, the recordkeeping requirements for those persons would constitute
a ``collection of information.''
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\3\ Some covered persons, particularly mortgage brokers and
lenders, are subject to state recordkeeping requirements for
mortgage advertisements. See, e.g., Fla. Stat. 494.00165 (2024);
Ind. Code 23-2.5-8.5 (2024; Kan. Stat. Ann. 9-2208 (2024); Minn.
Stat. 58.14 (2024); Wash. Rev. Code 19.146.060 (2024), and WAC 208-
660-450 (2023). Many mortgage brokers, lenders (including finance
companies), and servicers are subject to state recordkeeping
requirements for mortgage transactions and related documents, and
these may include descriptions of mortgage credit products. See,
e.g., Mich. Comp. Laws Serv. 445.1671 (2024); N.Y. Banking Law 597
(Consol. 2024); Tenn. Code Ann. 45-13-206 (2024). Lenders and
mortgagees approved for Federal Housing Administration programs must
retain copies of all print and electronic advertisements and
promotional materials for a period of two years from the date the
materials are circulated or used to advertise. See 24 CFR part 202.
Various other entities, such as real estate brokers and agents, home
builders, and advertising agencies can be indirectly covered by
state recordkeeping requirements for mortgage advertisements and/or
retain ads to demonstrate compliance with state law. See, e.g., 76
Del. Laws, c. 421, sec. 1.
\4\ See 44 U.S.C. 3502(3)(A); 5 CFR 1320.3(b)(2).
\5\ See, e.g., United States v. Intermundo Media, LLC, dba Delta
Prime Refinance, No. 1:14-cv-2529 (D. Colo. Oct. 7, 2014)
(stipulated order for permanent injunction and civil penalty
judgment), available at <a href="https://www.ftc.gov/system/files/documents/cases/140912deltaprimestiporder.pdf">https://www.ftc.gov/system/files/documents/cases/140912deltaprimestiporder.pdf</a>. The complaint charged this lead
generator with numerous violations of Regulation N, including
recordkeeping, and of other federal mortgage advertising mandates.
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The information retained under the Rule's recordkeeping
requirements is used by the Commission to substantiate compliance with
the Rule and may also provide a basis for the Commission to bring an
enforcement action. Without the required records, it would be difficult
either to ensure that entities are complying with the Rule's
requirements or to bring enforcement actions based on violations of the
Rule.
Likely Respondents: Lead generators and rate aggregators.
Estimated Annual Hours Burden: 1,500 hours.
<bullet> Derived from 1,000 likely respondents x approximately 3
hours for each respondent per year to do these tasks = 3,000 hours.
<bullet> Since the FTC shares enforcement authority with the CFPB
for Regulation N, the FTC's allotted PRA burden is 1,500 annual hours.
Estimated Annual Labor Cost Burden: $31,515, which is derived from
1,500 hours x $21.01 per hour.
As required by section 3506(c)(2)(A) of the PRA, 44 U.S.C.
3506(c)(2)(A), the FTC is providing this opportunity for public comment
before requesting that OMB extend the existing clearance for the
information collection requirements contained in Regulation N.
[[Page 38979]]
Burden Statement
Estimated total annual hours burden: 1,500 hours (for the FTC).
Commission staff estimates that the Rule's recordkeeping
requirements will affect approximately 1,000 persons \6\ who would not
otherwise retain such records in the ordinary course of business. As
noted, this estimate includes lead generators and rate aggregators that
may provide commercial communications regarding mortgage credit product
terms.\7\ Although the Commission cannot estimate with precision the
time required to gather and file the required records, it is reasonable
to assume that covered persons will each spend approximately 3 hours
per year to do these tasks, for a total of 3,000 hours (1,000 persons x
3 hours). Since the FTC generally shares enforcement authority with the
CFPB for Regulation N, the FTC's allotted PRA burden is 1,500 annual
hours.\8\
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\6\ No general source provides precise numbers of the various
categories of covered persons. Commission staff, therefore, has used
the following sources and inputs to arrive at this estimated total:
1,000 lead generators and rate aggregators, based on staff's
administrative experience.
\7\ The Commission does not know what percentage of these
persons are, in fact, engaged in covered conduct under the Rule,
i.e., providing commercial communications about mortgage credit
product terms. For purposes of these estimates, the Commission has
assumed all of them are covered by the recordkeeping provisions and
are not retaining these records in the ordinary course of business.
\8\ This estimate reflects the same burden compared to prior FTC
estimates, because many entities can be indirectly covered by state
recordkeeping requirements for mortgage advertisements and/or retain
ads to demonstrate compliance with state law, as discussed above.
See supra note 3. The FTC notes that the CFPB's recent information
collection filing with OMB for Regulation N also reflects the view
that, in large part, most entities either retain records in the
ordinary course of business or to demonstrate compliance with other
laws. See generally Bureau of Consumer Financial Protection, Agency
Information Collection Activities: Submission for OMB Review;
Comment Review, 87 FR 40513 (July 7, 2022), available at <a href="https://www.govinfo.gov/content/pkg/FR-2022-07-07/pdf/2022-14474.pdf">https://www.govinfo.gov/content/pkg/FR-2022-07-07/pdf/2022-14474.pdf</a>.
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Estimated labor costs: $31,515.
Commission staff derived labor costs by applying appropriate hourly
cost figures to the burden hours described above. Staff further assumes
that office support file clerks will handle the Rule's record retention
requirements at an hourly rate of $21.01.\9\ Based upon the above
estimates and assumptions, the total annual labor cost to retain and
file documents, for the FTC's allotted burden, is $31,515 (1,500 hours
x $21.01 per hour).
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\9\ This estimate is based on mean hourly wages for office
support file clerks provided by the Bureau of Labor Statistics. See
U.S. Bureau of Labor Statistics, Occupational Employment and Wages--
May 2024, table 1 (``National employment and wage data from the
Occupational Employment Statistics survey by occupation''), released
April 2, 2025, available at <a href="https://www.bls.gov/news.release/pdf/ocwage.pdf">https://www.bls.gov/news.release/pdf/ocwage.pdf</a>.
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Absent information to the contrary, staff anticipates that existing
storage media and equipment that covered persons use in the ordinary
course of business will satisfactorily accommodate incremental
recordkeeping under the Rule. Accordingly, staff does not anticipate
that the Rule will require any new capital or other non-labor
expenditures.
Request for Comment
Pursuant to section 3506(c)(2)(A) of the PRA, the FTC invites
comments on: (1) whether the disclosure and recordkeeping requirements
are necessary, including whether the information will be practically
useful; (2) the accuracy of our burden estimates, including whether the
methodology and assumptions used are valid; (3) ways to enhance the
quality, utility, and clarity of the information to be collected; and
(4) ways to minimize the burden of the collection of information.
For the FTC to consider a comment, we must receive it on or before
October 14, 2025. Your comment, including your name and your state,
will be placed on the public record of this proceeding, including the
<a href="https://www.regulations.gov">https://www.regulations.gov</a> website.
You can file a comment online or on paper. Due to heightened
security screening, postal mail addressed to the Commission will be
subject to delay. We encourage you to submit your comments online
through the <a href="https://www.regulations.gov">https://www.regulations.gov</a> website.
If you file your comment on paper, write ``Regulation N, PRA
Comment, P085405,'' on your comment and on the envelope, and mail it to
the following address: Federal Trade Commission, Office of the
Secretary, 600 Pennsylvania Avenue NW, Suite CC-5610 (Annex J),
Washington, DC 20580.
Because your comment will become publicly available at <a href="https://www.regulations.gov">https://www.regulations.gov</a>, you are solely responsible for making sure that
your comment does not include any sensitive or confidential
information. In particular, your comment should not include any
sensitive personal information, such as your or anyone else's Social
Security number; date of birth; driver's license number or other state
identification number, or foreign country equivalent; passport number;
financial account number; or credit or debit card number. You are also
solely responsible for making sure that your comment does not include
any sensitive health information, such as medical records or other
individually identifiable health information. In addition, your comment
should not include any ``trade secret or any commercial or financial
information which . . . is privileged or confidential''--as provided by
Section 6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule 4.10(a)(2),
16 CFR 4.10(a)(2)--including, in particular, competitively sensitive
information, such as costs, sales statistics, inventories, formulas,
patterns, devices, manufacturing processes, or customer names.
Comments containing material for which confidential treatment is
requested must (1) be filed in paper form, (2) be clearly labeled
``Confidential,'' and (3) comply with FTC Rule 4.9(c). In particular,
the written request for confidential treatment that accompanies the
comment must include the factual and legal basis for the request, and
must identify the specific portions of the comment to be withheld from
the public record. See FTC Rule 4.9(c). Your comment will be kept
confidential only if the General Counsel grants your request in
accordance with the law and the public interest. Once your comment has
been posted publicly at <a href="http://www.regulations.gov">www.regulations.gov</a>, we cannot redact or remove
your comment unless you submit a confidentiality request that meets the
requirements for such treatment under FTC Rule 4.9(c), and the General
Counsel grants that request.
The FTC Act and other laws that the Commission administers permit
the collection of public comments to consider and use in this
proceeding as appropriate. The Commission will consider all timely and
responsive public comments that it receives on or before October 14,
2025. For information on the Commission's privacy policy, including
routine uses permitted by the Privacy Act, see <a href="https://www.ftc.gov/site-information/privacy-policy">https://www.ftc.gov/site-information/privacy-policy</a>.
Josephine Liu,
Assistant General Counsel for Legal Counsel.
[FR Doc. 2025-15323 Filed 8-12-25; 8:45 am]
BILLING CODE 6750-01-P
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