As used in this part:

1. (a) Simple and easy to understand means:

   1. (1) A layered format as described in § 642.3 of this part;
   2. (2) Plain language designed to be understood by ordinary consumers; and

   3. (3) Use of clear and concise sentences, paragraphs, and sections.

      1. (i) Examples. For purposes of this part, examples of factors to be considered in determining whether a statement is in plain language and uses clear and concise sentences, paragraphs, and sections include:

         1. (A) Use of short explanatory sentences;
         2. (B) Use of definite, concrete, everyday words;
         3. (C) Use of active voice;
         4. (D) Avoidance of multiple negatives;
         5. (E) Avoidance of legal and technical business terminology;
         6. (F) Avoidance of explanations that are imprecise and reasonably subject to different interpretations; and
         7. (G) Use of language that is not misleading.
      2. (ii) [Reserved]
2. (b) Principal promotional document means the document designed to be seen first by the consumer, such as the cover letter.