Federal Consumer Protections for Borrowers
Six federal laws protect consumer loan borrowers in every state. They apply on top of state law rather than instead of it: a state can give you more protection than these rules do, but it cannot give you less. Wherever you live and whichever loan you take, everything on this page applies to you.
Primo Personal Loans is a direct lender, and these are the federal rules we operate under. The limits that change from one state to the next, including rate ceilings, loan amounts, repayment terms and which products a state permits at all, are on your state’s page. How the loans themselves work is answered on our loan FAQ.
Current as of July 2026.
The six protections at a glance
| Federal Law | What It Gives You | Citation |
|---|---|---|
| Truth in Lending Act / Regulation Z | Regulation Z protects consumers by requiring clear disclosure of key credit terms and costs. | 15 U.S.C. § 1601 et seq.; 12 CFR Part 1026 |
| Military Lending Act | The MLA caps the annual percentage rate at 36% for loans to active duty service members and their dependents. | 10 U.S.C. § 987 |
| Equal Credit Opportunity Act / Regulation B | Regulation B prohibits credit discrimination on the basis of race, color, religion, national origin, sex, marital status, or age. | 15 U.S.C. § 1691; 12 CFR Part 1002 |
| Fair Credit Reporting Act / Regulation V | Regulation V ensures accuracy and privacy of consumer credit information held by credit reporting agencies. | 15 U.S.C. § 1681; 12 CFR Part 1022 |
| Fair Debt Collection Practices Act / Regulation F | Regulation F governs the practices of debt collectors, prohibiting abusive, deceptive, and unfair practices. | 15 U.S.C. § 1692; 12 CFR Part 1006 |
| CFPB UDAAP authority | The CFPB can take action against unfair, deceptive, or abusive acts or practices in consumer financial products or services. | 12 U.S.C. § 5531, 5536 |
These apply in all 50 states regardless of state law. They set a baseline floor of consumer rights.
What must a lender show you before you sign?
Five figures, in writing, before you commit: the APR, the finance charge, the amount financed, the total of payments, and the payment schedule. Together they are the full cost of borrowing, and they are the only reliable way to compare one offer against another, because a smaller monthly payment stretched over a longer term can easily cost more overall. A lender unwilling to put those numbers in front of you before signing is not meeting its obligation. Our loan FAQ explains how to read an APR and why it beats comparing monthly payments.
Truth in Lending Act / Regulation Z. Who it covers: Applies to consumer credit including mortgages, credit cards, and installment loans.. Citation: 15 U.S.C. § 1601 et seq.; 12 CFR Part 1026. Read the regulation.
What extra protection do active-duty service members get?
A hard ceiling on price. The total cost of covered credit to an active-duty service member or their dependents cannot exceed a 36% Military Annual Percentage Rate, which counts fees and add-ons rather than interest alone. On covered loans a creditor also may not require you to waive consumer protection rights, may not require arbitration, and may not charge a prepayment penalty.
Military Lending Act. Who it covers: Covers active duty service members and their dependents.. Citation: 10 U.S.C. § 987. Read the regulation.
Can a lender turn you down because of who you are?
No. A lender may not deny you credit, or offer you worse terms, because of your race, color, religion, national origin, sex, marital status or age. It may weigh your income, your existing debts and your credit history. It may not weigh any of those characteristics, at any stage, including how an application is encouraged or discouraged before it is ever submitted.
Equal Credit Opportunity Act / Regulation B. Who it covers: Applies to all creditors in any aspect of a credit transaction.. Citation: 15 U.S.C. § 1691; 12 CFR Part 1002. Read the regulation.
What rights do you have over your credit file?
Accuracy and privacy. What credit reporting agencies hold about you has to be correct, and who may look at it is limited. If your file contains something wrong you can dispute it with the agency and have it investigated rather than having to live with it. That matters directly to borrowing, because the lender pricing your loan is reading that file.
Fair Credit Reporting Act / Regulation V. Who it covers: Applies to consumer reporting agencies and users of consumer reports.. Citation: 15 U.S.C. § 1681; 12 CFR Part 1022. Read the regulation.
What is a debt collector actually allowed to do?
Contact you about a debt you owe, and not much beyond that. A collector may not harass you, may not misrepresent who it is or how much you owe, and may not use unfair tactics to collect. These rules bind third-party collectors most tightly, which is who you hear from once a debt has been sold or placed for collection.
Fair Debt Collection Practices Act / Regulation F. Who it covers: Applies to third-party debt collectors collecting consumer debts.. Citation: 15 U.S.C. § 1692; 12 CFR Part 1006. Read the regulation.
What if a lender is unfair but has broken no specific rule?
The Consumer Financial Protection Bureau can still act. Its authority over unfair, deceptive and abusive acts or practices reaches conduct that no single regulation spells out, which makes it the backstop behind the five statutes above rather than a sixth narrow rule. Practices that are technically permitted but built to mislead fall here.
CFPB UDAAP authority. Who it covers: Applies to all consumer financial products and services.. Citation: 12 U.S.C. § 5531, 5536. Read the regulation.
What to do if one of these is violated
Start with the lender or collector in writing, and keep a copy. If that goes nowhere, you can file a complaint with the federal Consumer Financial Protection Bureau. It forwards the complaint to the company, gives it a deadline to respond, and publishes the response. Filing costs nothing and you do not need a lawyer.
For anything about a credit file specifically, dispute it with the credit reporting agency first, since they are the ones who must investigate. And for a state-licensed lender, your state regulator is often a faster route than a federal complaint. Contact details are on your state’s page.
