Mortgage Servicing TILA Closed-end loan secured by a Must provide periodic statement Standard TILA liability Consider if TILA servicer” – “small dwelling meeting specific requirements exception applies (if not, get help Periodic Billing Statements immediately) 78 Fed. Reg. 10902 (2/14/13) Exclusions: reverse mortgages; Effective Date: January 10, 2014 where borrowers get very Note: Periodic statement sent to specific information in coupon delinquent borrower to include up to 6 book; servicing 5,000 or fewer months’ past payment history (will systems loans all of which are owned by be in place by July 2013 to ensure the servicer or were originally compliance with this disclosure made by the servicer requirement beginning in January 2014) Mortgage Servicing - TILA Closed-end loan secured by Requires a new initial rate change Standard TILA liability Work with forms vendors to ensure ARM Disclosures consumer’s principal dwelling in disclosure and makes changes to disclosures are available by effective date which APR may increase after periodic rate change disclosures 78 Fed. Reg. 10902 (2/14/13) consummation Effective Date: January 10, 2014 Homeownership Counseling RESPA-covered (i.e., Must provide list of homeownership No private cause of action Consider how to implement this disclosure mortgage loans counseling organizations requirement (will forms vendor provide?) 78 Fed. Reg. 6857 (1/31/13) Effective Date: January 10, 2014 Exclusions: reverse mortgage Note: Applies to HELOCs
Mortgage Servicing – TILA Periodic Billing Statements 78 Fed. Reg. 10902 (2/14/13) Effective Date: January 10, 2014 Closed-end loan secured by a dwelling Exclusions: reverse mortgages; where borrowers get very specific information in coupon book; servicing 5,000 or fewer loans all of which are owned by the servicer or were originally made by the servicer Must provide periodic statement meeting specific requirements Standard TILA liability Consider if TILA “small servicer” exception applies (if not, get help immediately) Note: Periodic statement sent to delinquent borrower to include up to 6 months’ past payment history (will systems be in place by July 2013 to ensure compliance with this disclosure requirement beginning in January 2014) Mortgage Servicing - TILA ARM Disclosures 78 Fed. Reg. 10902 (2/14/13) Effective Date: January 10, 2014 Closed-end loan secured by consumer’s principal dwelling in which APR may increase after consummation Requires a new initial rate change disclosure and makes changes to periodic rate change disclosures Standard TILA liability Work with forms vendors to ensure disclosures are available by effective date Homeownership Counseling 78 Fed. Reg. 6857 (1/31/13) Effective Date: January 10, 2014 RESPA-covered (i.e., mortgage loans Exclusions: reverse mortgage Note: Applies to HELOCs Must provide list of homeownership counseling organizations No private cause of action Consider how to implement this disclosure requirement (will forms vendor provide?)
DoddFrankMortgageRules.docx