Truth in Lending Simplification and Reform Act

Truth in Lending Simplification and Reform Act - Amends the Truth in Lending Act to eliminate (1) credit transactions for agricultural purposes and (2) mobile home purchases costing less than $25,000 from coverage under such Act.

Directs the Board of Governors of the Federal Reserve System to issue model forms and clauses, for use in common transactions, describing the transaction in understandable language. Exempts creditors who use such forms from liability under such Act.

Permits the Federal Trade Commission to respond to a violation of such Act as if it were a violation of a Federal Trade Commission regulation.

Establishes guidelines for restitution by enforcement agencies when they discover understatements by creditors of annual percentage rates or finance charges.

Revises disclosure requirements for "open-end" and "closed-end" transactions.

Entitles any person whose principal residence is a mobile home to rescind any transaction which would result in a lien on such residence, within three days after receiving notice of his right to do so. Makes other changes to the right of rescission of consumers.

Sets forth the liability of creditors and assignees for failure to disclose or inaccurate disclosure of information required by such Act.

Requires the Board to publish annual percentage rates charged by all creditors in specified standard metropolitan statistical areas.

Reduces disclosure requirements for credit advertising.

Requires a creditor to make a good faith effort to refund a consumer's credit balance if it remains in the account for more than six months.

Exempts any creditor participating in a credit program administered, insured, or guaranteed by any agency of the United States from civil or criminal penalties under this Act where the violation results from the use of an instrument required by such agency.

Requires creditors to respond to oral inquiries about the cost of credit only in terms of an annual percentage rate unless the finance charge consists primarily of simple interest.