Page 4 - August 2017

Lending Act and the Real Estate Settlement CFPB Proposes Amendments to
Procedures Act (TILA-RESPA) that are implemented Regulation C Threshold.
in Regulation Z. The final rule is now published in
the Federal Register. This rule memorializes CFPB’s
informal guidance and makes additional clarifications CFPB has issued proposed amendments to
and technical amendments on various issues Regulation C that would, for a period of two years,
including affiliate charges, calculating cash-to-close increase the threshold for collecting and reporting
table, construction loan instructions, placement of data with respect to open-end lines of credit so that
decimal places and rounding, escrow account financial institutions originating fewer than 500
disclosures, escrow cancellation notices, expiration open-end lines of credit in either of the preceding two
dates for the closing costs disclosed on the loan years would not be required to begin collecting such
estimate, treatment of gift funds, payment ranges on data until 01/01/2020. Comments are due
the projected payments table and informational 07/31/2017. The proposed amendments may be
updates to the loan estimate. This rule also creates viewed at: https://www.gpo.gov/fdsys/pkg/FR-2017-
tolerances for the total of payments, adjusts a partial 07-20/pdf/2017-15220.pdf. Federal Register, Vol.
exemption mainly affecting housing finance agencies 82, No. 138, 07/20/2017, 33455-33465.
and nonprofits, extends coverage of the TILA- CFPB Releases Prototypes of New
RESPA integrated disclosure requirements to all Overdraft Opt-In Model Form.
cooperative units, and provides guidance on sharing
the integrated disclosures with various parties CFPB has released prototypes of new designs for the
involved in the mortgage origination process. The overdraft opt-in model form. CFPB is testing updates
final rule is effective 10/10/2017. Mandatory and improvements to this model form to make it
compliance is effective 10/01/2018. The final rule easier to use and understand. Comments may be
may be viewed at: directed to cfpb_overdraft_forms@cfpb.gov. No
https://www.gpo.gov/fdsys/pkg/FR-2017-08- deadline has been specified. The notice may be
11/pdf/2017-15764.pdf. Federal Register, Vol. 82, viewed at: https://www.consumerfinance.gov/about-
No. 154, 08/11/2017, 37656-37793. us/blog/know-you-owe-we-are-designing-new-
overdraft-disclosure-forms/
CFPB Publishes in Federal Register
Proposed Amendments to TILA-RESPA CFPB Issues Notice Extending Comment
Integrated Disclosure Rule. for Small Business Lending Market
Assessment.
CFPB has issued a proposed rule to amend Federal
mortgage disclosure requirements under the Truth in CFPB issued a request for information regarding the
Lending Act and the Real Estate Settlement small business lending market on 05/15/2017, which
Procedures Act (TILA-RESPA) that are implemented had a comment period ending on 07/14/2017. In
in Regulation Z. The proposed rule is now published order to allow stakeholders the opportunity to provide
in the Federal Register. The proposed amendments more robust responses, CFPB has extended the
relate to when a creditor may compare charges paid comment due date to 09/14/2017. The notice may be
by or imposed on the consumer to amounts disclosed viewed at: https://www.gpo.gov/fdsys/pkg/FR-2017-
on a Closing Disclosure, instead of a Loan Estimate, 07-12/pdf/2017-14599.pdf. Federal Register, Vol.
to determine if an estimated closing cost was 82, No. 132, 07/12/2017, 32177-32178.
disclosed in good faith. Specifically, the proposed
amendments would permit creditors to do so
regardless of when the Closing Disclosure is
provided relative to consummation. The proposal is
intended to address what is referred to as the “black
hole” issue that exists under the current TILA-
RESPA rule. Comments are due 10/10/2017. The
proposed rule may be viewed at:
https://www.gpo.gov/fdsys/pkg/FR-2017-08-
11/pdf/2017-15763.pdf. Federal Register, Vol. 82,
No. 154, 08/11/2017, 37794-37804.

2