They step into a long room and see a woman with flowing hair. She is happy to see them and introduces herself as Goldberry. She tells them not to fear and recognizes Frodo as an Elf-friend. Tom is out finding their ponies that were frightened off by the willow. Tom Bombadil is the Master of the Wood. He does not own it, but everything in it obeys him. He has been there longer than anything else. He enters the room and takes them to pots of cold and warm water where they can clean up. After this, they eat a delightful meal and Goldberry speaks:
"'Have peace now...until the morning! Heed no nightly noises! For nothing passes door and window here save moonlight and starlight and the wind off the hill-top. Good night!'" Book 1, Chapter 7, pg. 162
Frodo asks Tom if he came to their aid because he heard his calls for help but Tom says that he was singing and cam by them by chance. Frodo asks about the willow tree and Tom says that it can wait until morning. During the night, Frodo has a dark dream where he hears the screams of men amid howling wolves. Pippin lies in bed quietly next to him. He wakes and thinks he hears noises. Merry dreams of being drowned by the willow.
When they wake in the morning there is a thick fog in the forest and it will probably rain. Tom tells them to stay for the day. He tells them all about the forest. The willow tree has a rotten heart but its limbs are still very strong. He speaks of ancient kingdoms and their fall in terrible battles. The hobbits become lost in the tales and are enchanted by his speech. Tom tells them that he is older than the forest and remembers when the dark powers came to earth. He brings them more food and drink. His somber mood changes back to a boisterous one. The meal is great and Goldberry sings to them. Tom asks a myriad of questions but he already knows most of the answers. He asks to see the ring and takes it from Frodo for a moment. He gives it back. Frodo slips it on his finger while they are talking to test it, because he suspects that Tom may have tried to switch rings. He disappears and Tom asks him to stop being invisible. They go to sleep meaning to leave early the next day.
