CFPB Announces Delay in Integrated Mortgage Disclosure Rule Effective Date
The rule, which combines disclosure requirements from the Truth in Lending Act and the Real Estate Settlement Procedures Act, was originally scheduled to take effect August 1, 2015. CFPB Director Richard Cordray stated that the CFPB will issue a “proposed amendment” which will delay the effective date of the rule until October 1, 2015.
The announcement comes after many members of Congress and industry participants urged CFPB to delay the implementation of the rule. They argue that mortgage lenders need more time to comply with the new rule and there should be a grace period for companies that have made an effort to comply with the rule. In its statement, CFPB claimed that an administrative error is the ultimate reason for the two-month delay.
Further information from NCSHA about the details of the mortgage disclosure rule can be found here.