Under TILA, for variable rate loans that are secured by the consumer's principal dwelling and have a term of one year or less, what must creditors disclose?

For variable rate loans secured by a consumer's principal dwelling with a term of one year or less, creditors are required to provide comprehensive disclosures. This includes detailing the circumstances under which the interest rate may increase, specifying any limitations on how much the rate can increase, and explaining the effect of such an increase on the consumer's payments.

This thorough disclosure is essential to ensure consumers fully understand how variable interest rates operate and the potential financial impact of increases. The requirement helps protect consumers by promoting transparency and enabling them to make informed borrowing decisions regarding these types of loans. Providing all three components contributes to the consumer's awareness of the risks involved with variable rate loans, especially considering how rapidly interest rates can change over a short period.

In contrast, the other options only cover parts of the information required by TILA and fail to provide a complete picture to the consumer. Therefore, the most comprehensive answer fully aligns with the regulatory requirements set forth under TILA.