CFPB to release plain language compliance guide
The first documents in a series of plain language compliance guides and other informational materials on pending Consumer Financial Protection Bureau (CFPB) mortgage regulations will be released this week (Apr 8), the agency said.
The agency, in January, released a slew of final mortgage rules, many of which are scheduled to go into effect in January 2014. The CFPB regulations address mortgage servicing, mortgage loan originator compensation, high-risk-mortgage appraisals, ability to repay requirements, escrow accounts, and "high-cost" mortgages.
More plain language compliance resources and updates of official regulatory interpretations, examination procedures, and other materials addressing these regulations will be unveiled in the coming months, the agency added.
"A good implementation plan reduces confusion and costs for the industry. That means less time figuring out what the rules mean and more time designing business practices that serve consumers and follow the rules. That's a market that works better for everyone," the CFPB said in a Friday, April 5, release.
The CFPB has promised easy-to-understand summaries of the regulations in both written and video format. The "official interpretations" of the rules will provide guidance on how to comply with the rules and allow the agency to address industry, consumer, and regulatory questions regarding the regulations, the CFPB added. Mortgage originators and servicers will also be provided with a checklist of implementation, training, and policy revision plans.