Which element is included in the disclosures required by TILA?

The Truth in Lending Act (TILA) is designed to promote informed use of consumer credit and requires lenders to disclose certain key terms and conditions of a loan. A critical element included in these disclosures is the Annual Percentage Rate (APR). The APR provides a comprehensive measure of the cost of borrowing, which includes not just the interest rate on the loan, but also any additional costs or fees associated with the credit. This allows consumers to compare offers from different lenders more easily and to understand the true cost of a loan over its term.

Understanding the APR is crucial for borrowers because it indicates the total financial obligation they undertake when they agree to a loan, enabling them to make more informed financial decisions. Other elements such as the borrower's credit history, loan approval time frame, and property tax rates, while important in the context of borrowing and lending, do not directly pertain to the core disclosures mandated by TILA. These elements serve different purposes in the lending process but are not specifically required disclosures under TILA.