{"data":{"id":"us/12-cfr-37.3","jurisdiction":"us","citation":"12 CFR 37.3","heading":"Prohibited practices.","body":"(a) Anti-tying. A national bank may not extend credit nor alter the terms or conditions of an extension of credit conditioned upon the customer entering into a debt cancellation contract or debt suspension agreement with the bank.\n(b) Misrepresentations generally. A national bank may not engage in any practice or use any advertisement that could mislead or otherwise cause a reasonable person to reach an erroneous belief with respect to information that must be disclosed under this part.\n(c) Prohibited contract terms. A national bank may not offer debt cancellation contracts or debt suspension agreements that contain terms:\n(1) Giving the bank the right unilaterally to modify the contract unless:\n(i) The modification is favorable to the customer and is made without additional charge to the customer; or\n(ii) The customer is notified of any proposed change and is provided a reasonable opportunity to cancel the contract without penalty before the change goes into effect; or\n(2) Requiring a lump sum, single payment for the contract payable at the outset of the contract, where the debt subject to the contract is a residential mortgage loan.","path":["Title 12—Banks and Banking","CHAPTER I—COMPTROLLER OF THE CURRENCY, DEPARTMENT OF THE TREASURY","PART 37—DEBT CANCELLATION CONTRACTS AND DEBT SUSPENSION AGREEMENTS"],"source_url":"https://www.ecfr.gov/api/versioner/v1/full/2026-08-25/title-12.xml","current_through":"2026-08-25","vintage":"","retrieved_at":"2026-08-27T02:24:16Z","sha256":"ed5bd9c0969073907768e4d5ce5f62cc83870d3f51983dcd008bbafa52dab1f2","source_id":"us-cfr","stale":true,"prev":"us/12-cfr-37.2","next":"us/12-cfr-37.4"},"notice":"GroundRules: Original legal text. Not legal advice."}