TRID Implementation Delayed; MBA's Stevens Comments

Implementation of the Know Before You Owe mortgagerndisclosure rule has been delayed until October 1.  The rule was originally supposed to bernimplemented on August 1 although the Consumer Financial Protection Bureau hadrnrecently announced that enforcement of the rule and use of the associated TRID disclosurernforms would not begin until January 1, 2016. rn</p

In announcing the decision to delay CFPB Director RichardrnCordray said, “We made this decision to correct an administrative error that wernjust discovered in meeting the requirements under federal law, which would haverndelayed the effective date of the rule by two weeks. We further believe thatrnthe additional time included in the proposed effective date would betterrnaccommodate the interests of the many consumers and providers whose familiesrnwill be busy with the transition to the new school year at that time.”</p

He said the public will have an opportunity to comment on this proposal andrna final decision is expected shortly thereafter.  The Director did not say whether enforcementrnwould proceed as scheduled at the first of the year or also be further delayed.</p

The Mortgage Bankers Association welcomed the decision to delay.  Its President &rnCEO David H. Stevens said,  “Therncomplexity of this rule, which impacts not just mortgage disclosures butrnalso the business processes behind the entire real estaterntransaction, warrants the additional time to get it right and ensure thatrnconsumers are not adversely effected by the transition.  </p

“CFPB continues to prove itself capable ofrnworking in a transparent, constructive manner throughout this process, as wasrnevident recently when they announced their intent to delay enforcement ofrnlenders once the rules were to go into effect.

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