CFPB Timeline Example

Written by: Michelle Nelson

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As we ready ourselves for the New Year, we are also steadily preparing for the new closing disclosure forms and regulations that will go into effect on August 1, 2015.

As we ready ourselves for the New Year, we are also steadily preparing for the new closing disclosure forms and regulations that will go into effect on August 1, 2015. As most of you know the CFPB (Consumer Financial Protection Bureau) has made some changes to the closing process when it comes to Mortgage Disclosures.

Most Consumer driven closed-ended mortgages will be affected by these new regulations except:

• Reverse Mortgages

• HELOC (Home Equity Line of Credit)

• Mobile home

• Commercial Purpose Loans

• Creditors making five or fewer loans per year

• Certain No-interest, subordinate special purpose loans such as Buyer Assistance or Rehab Property Loans.

One of the biggest changes that we see upon us for standard consumer financing loans is the addition of a 3-Day Reviewing Period in which the lender must disclose an accurate Loan Estimate (a new form replacing TILA and GFE) to the consumer 3 days in advance of the closing. Should any substantial changes occur in those three days such as an inaccurate APR, a change in the loan product or a pre-payment penalty addition, the lender will be required to re-disclose the Loan Estimate, thereby triggering a new 3-Day waiting period before a closing can occur.

Click here to see a Timeline Example of Events, issued by the CFPB . This calendar has BOLD boarders around the days that signal either triggers for requirements or satisfaction of disclosure obligations.

Trinity Title is working diligently to inform ourselves and our clients of the upcoming changes. Should you have any additional questions or concerns about CFPB feel free to give us a call! (512) 342-8993. We will continue to post updates and FAQs about CFBP as the effective date nears. 

Trinity Title is offering CFPB Classes on January 21st click the links below for the times and additional information on your desired location.
Seating is limited, Sign Up Today!

(AUSTIN) Lakeway – 9:30 – 10:30 (Sign Up Here)

(AUSTIN) Northwest – 12:30 – 1:30 (Sign Up Here)

(AUSTIN) Georgetown - 3:00 – 4:00 (Sign Up Here)