Truth in Lending Simplification Act

Truth in Lending Simplification Act - Amends the Truth in Lending Act to exempt transactions involving extensions of credit for agricultural purposes and credit transactions of borrower-owned Federal instrumentalities which extend credit under the supervision of an agency of the United States. Redefines the term "open end credit plan" for purposes of such Act.

Removes the filing dates for specified annual reports to Congress by Federal agencies concerning truth in lending. Requires an annual revision of credit forms when there has been a change in disclosure requirements, by statute or otherwise, except when the Board of Governors of the Federal Reserve System takes interim action necessary to prevent unfair or deceptive disclosure practices.

States that no right of rescission exists with respect to any transaction wherein: (1) a first lien is created or retained against any real property which is used as the residence of the person to whom credit is extended to finance the acquisition of that property; or (2) a consumer credit transaction includes an agency of a State as the obligor.

Requires the obligor to make tender of property or any other consideration received from the creditor when the creditor is notified of the exercise of the right to rescind.

Eliminates the requirements of such Act which require the periodic statement to include the annual percentage rate and payment date.

Changes specified disclosure requirements with respect to the opening of an account under an open end consumer credit plan.

Requires creditors to transmit statements which include: (1) procedures for correction of billing errors and (2) an enumeration of the rights of open credit plan account holders at intervals of not less than six nor more than 18 months.

Excuses creditors who fail to identify each extension of credit in such statements if the creditor responds to any inquiry for clarification pertaining to errors in billing and maintains procedures reasonably adopted to procure and provide such identification.

Permits only a one percent margin of error in the disclosure of the number of installments to be paid on a consumer loan not under an open end credit plan and the amounts of finance charge due on such loan when repayment is to be made in more than 120 payments.

Requires the creditor to deliver a statement to the obligor which identifies any property in which a security interest is retained at the time of such statement or at a future date.

States that no civil liability shall be incurred under the Truth in Lending Act where the creditor is in substantial compliance with its provisions.

Changes the disclosure requirements with respect to the advertising of credit.

Redefines the term "billing errors" to include failures to transmit the statements required in connection with open end credit plans to the last known address of the obligor.

Preempts, with specified exceptions, the power of States or political subdivisions thereof to legislate or regulate acts or practices governed by this Act.