What does Regulation Z aim to reduce for borrowers?

Regulation Z, which is part of the Truth in Lending Act, primarily aims to promote transparency and fairness in lending practices. That includes providing clear and understandable information about loan terms and costs to borrowers. By requiring lenders to disclose key details—such as interest rates, fees, and payment schedules—Regulation Z helps reduce the confusion that consumers might face when comparing different loan products.

When borrowers receive standardized information presented in a clear manner, they are better equipped to make informed decisions about borrowing. This transparency not only aids in understanding the borrowing process but also empowers consumers to identify the best financial products for their needs, ultimately leading to more favorable lending outcomes. Therefore, the focus of Regulation Z centers on alleviating confusion concerning loan costs and terms, making option B the correct answer.