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FEDERAL RESERVE BANK OF NEW YORK r Circular No. 3 8 0 2 1 L December 28, 1951 J CONSUMER CREDIT Amendment No. 6 to Regulation W of the Board of Governors of the Federal Reserve System, Effective January 2, 1952 To all Persons Concerned with Regulation W in the Second Federal Reserve D istrict: The Board o f Governors o f the F ederal Reserve System has adopted Amend ment No. 6 to Regulation W , effective January 2, 1952. Follow ing is the text o f the B oa rd ’s statement announcing the amendment, and released fo r publication tod a y : The Board of Governors announced today that effective January 2, 1952, all 1942 and older model automobiles will be removed from the list of articles subject to the provisions of Regulation W — Consumer Credit. Although about 40 per cent o f all passenger automobiles now in use are prewar models, the change is not expected to have any appreciable effect on the general credit situation. Greater risk is involved in financing older model cars and as a result terms actually made available by sellers and lenders have in general been more stringent than those required under Regulation W. A copy o f Amendment No. 6 to Regulation W is enclosed; additional copies may be obtained upon request. A lla n S proul, President. CONSUMER CREDIT AMENDMENT NO. 6 TO REGULATION W ISSUED B Y T H E BOARD OF GOVERNORS OF T H E FEDERAL RESERVE SYSTEM Regulation W is hereby amended in the following respects, effective January 2, 1952: 1. By adding after the word ‘ ‘ automobiles ’ ’ in item 1, Group A, Part 1 of the Supplement to the regulation the words “ of yearmodel later than 1942.” 2. By adding the following sentence at the end of section 6( j ) : Any credit outstanding in connection with the purchase of any property used as a trade-in shall be deemed to be credit for financing the purchase o f the article with respect to which the trade-in is made. P R IN T E D IN NEW YORK
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