Which regulation is associated with the prohibition of excessive points and fees on high-cost loans?

Regulation Z is a key component of the Truth in Lending Act (TILA), which primarily aims to promote transparency in lending practices by requiring lenders to disclose the cost of borrowing. It specifically includes provisions related to high-cost loans, including limits on the total points and fees that can be charged.

In the context of high-cost loans, Regulation Z ensures that consumers are protected from excessive costs that may arise during the loan process. These protections are crucial for borrowers who might be at risk of predatory lending practices. By setting thresholds for points and fees, Regulation Z helps to ensure that borrowers can afford their loans and are not overburdened by high upfront costs that could lead to financial distress.

The other regulations mentioned have distinct purposes: Regulation X primarily deals with the Real Estate Settlement Procedures Act (RESPA) and focuses on settlement costs, Regulation C pertains to the Home Mortgage Disclosure Act (HMDA) and requires certain data reporting, while Regulation B enforces the Equal Credit Opportunity Act (ECOA) related to non-discriminatory lending practices. They do not address points and fees in the same manner that Regulation Z does for high-cost loans.