Evans

MEMORANDUM *

Plaintiffs appeal the district court’s Rule 12(b)(6) dismissal of their complaint against Chase Bank. Plaintiffs assert that Chase Bank violates the Truth in Lending Act and Delaware and California law by imposing, without additional notice, interest rate increases retroactive to the start of billing cycles after card members default as defined in the agreements. We have jurisdiction pursuant to 28 U.S.C. § 1291 and review de novo. Orkin v. Taylor, 487 F.3d 734, 738 (9th Cir.), cert. denied, — U.S. -, 128 S.Ct. 491 , 169 L.Ed.2d 340 (2007). We affirm.

Plaintiffs assert that the Truth in Lending Act and Regulation Z, 12 C.F.R. § 226.9 (c), require that Chase send change-in-terms notices prior to implementing discretionary interest rate increases after default. However, the current regulation, as interpreted by the Federal Reserve Board, does not require change-in-terms notices for discretionary interest increases due to default if the initial disclosures set forth the specific terms for increases of the finance charge. 12 C.F.R. § 226.9 (c) (2007); 12 C.F.R. § 226 Supp. I, cmt. 9(c)(1) (2007); Truth in Lending, 72 Fed.Reg. 32948-01, 33009 (proposed June 14, 2007);…