The Consumer Financial Protection Bureau (CFPB) has extended its Aug. 1 deadline for implementing new mortgage disclosure rules due to the agency’s failure to properly notify Congress 60 days before the rule was to take effect.
“You can’t run out ahead of time before the effective date and give consumers the new TRID disclosures partly because the consumer won’t know how to compare costs easily when shopping if some lenders are still using old documents,” said Colgate Selden, counsel in Alston & Bird’s Financial Services & Products Group and a former CFPB official who was on the original team that worked on the TILA-RESPA Integrated Disclosure requirements
The delay “at least gives lenders more breathing room and time to get everything in order,” Selden said. “But most everyone is still moving full speed ahead as planned.”
“You can’t run out ahead of time before the effective date and give consumers the new TRID disclosures partly because the consumer won’t know how to compare costs easily when shopping if some lenders are still using old documents,” said Colgate Selden, counsel in Alston & Bird’s Financial Services & Products Group and a former CFPB official who was on the original team that worked on the TILA-RESPA Integrated Disclosure requirements
The delay “at least gives lenders more breathing room and time to get everything in order,” Selden said. “But most everyone is still moving full speed ahead as planned.”