The Consumer Financial Protection Bureau (CFPB) finalized a rule requiring lenders to collect more data from mortgage borrowers. The rule adds 25 new data points and modifies 14 others in addition to nine existing data fields that lenders were already required to report under the Home Mortgage Disclosure Act.
“The final rule requires lenders to disclose the pricing of a home loan down to a level they’ve never had to disclose before which can be very revealing,” said Colgate Selden, counsel in Alston & Bird’s Financial Services & Products Group and former CFPB official.
“The pricing details will paint a full picture for regulators when looking for discrimination at institutions and it could affect pricing competition. The new rule also requires some individual loan originator data so you can potentially tie pricing to an individual loan officer which might create other interesting issues if that’s tied to particular loan transactions.”