Following is a link to the propsed changes to TILA. Basically, the new rule would require that the homeowner tender the amount stated by the creditor before the creditor releases the security interest. This is a huge change from the FRB's 2004 commentary which stated that rescission is automatic. The proposed rules is a 250 page document, so it's a lot of reading.
Here is a link to the FRB's comment site. The proposed rules were published September 24, 2010 and there are 90 days in which to submit your comments. Therefore, we have until December 24, 2010 in order to submit our comments.
http://www.federalreserve.gov/generalinfo/foia/ElectronicCommentFor... Z - Truth in Lending&date=20100816e
Thousands of consumer advocates and attorneys have already submitted their letters. Following are linkks to the letters from the National Consumer Law Center.