Breaking: TRID date pushed back to Oct. 1
|
Industry News
Wednesday, June 17, 2015
|
|
As day became evening June 17, the landscape in the mortgage industry changed. The Consumer Financial Protection Bureau issued a statement that the effective date for the TILA-RESPA Integrated Disclosure (TRID) rules would be pushed back to Oct. 1, 2015.
CFPB Director Richard Cordray said in a prepared statement: “The CFPB will be issuing a proposed amendment to delay the effective date of the Know Before You Owe rule until Oct. 1, 2015. We made this decision to correct an administrative error that we just discovered in meeting the requirements under federal law, which would have delayed the effective date of the rule by two weeks. We further believe that the additional time included in the proposed effective date would better accommodate the interests of the many consumers and providers whose families will be busy with the transition to the new school year at that time.”
The public will have an opportunity to comment on this proposal and a final decision is expected shortly thereafter.
National Association of Realtors President Chris Polychron, executive broker with 1st Choice Realty in Hot Springs, Ark., said, “NAR appreciates the CFPB’s extension to Oct. 1, 2015, as well as the earlier ‘sensitivity’ they offered to companies making a good-faith effort to comply with the new TRID regulation.“
In response, Consumer Bankers Association President and CEO Richard Hunt released a statement that said: "The director’s decision to delay the effective date of TRID will help the industry as it approaches the date for transition to the new mortgage disclosure rule. Though banks have been working with their vendors to ensure a smooth integration, this additional time will help consumers and bankers in their ongoing partnership to achieve a more streamlined consumer experience in mortgage origination.”
National Association of Mortgage Professionals President John Councilman added support for the move but reiterated a call for a hold-harmless period.
"This delay in the implementation of the TILA/RESPA is the equivalent of dodging a bullet as far as consumers are concerned," Councilman said. "It has been clear to us and all of the other major mortgage and housing industry groups that there are major problems with implementing TRID at this point in time.
"For example, we would urge CFPB to issue written guidance interpreting TRID in order to create a safe harbor for business operations. This delay gives us all a chance to go back and address the underlying regulation, as well as the legislation it is derived from, and to make sure we get this right."
Today's other top stories
Popularity:
This article has been viewed
4231 times.