Printer Friendly

New Reg Z requirements effective July 30.

The Federal Reserve Board on May 8 approved revisions to its Regulation Z mortgage disclosure requirements that implement provisions of the July 2008 Mortgage Disclosure Improvement Act.

The revisions go into effect for dwelling-secured mortgage loan applications received on or after July 30, 2009.

Under the MDIA, lenders are required to provide good-faith estimates of mortgage loan costs, called early disclosures, within three business days after receiving a mortgage loan application and before any fees are collected from the consumer, other than a reasonable credit check fee.

The rules also enact MDIA rules that impose a seven business day waiting period between the early disclosure and closing date. Additionally, lenders must provide new disclosures, including a revised annual percentage rate if the existing interest rate significantly changes between the time the early disclosure is provided and the closing date.

CUNA will examine the final rule to determine whether concerns the trade group addressed in its comment letter have been addressed, said Assistant General Counsel Jeffrey Bloch. CUNA had suggested the timing restrictions be relaxed if the changed APR resulted in an interest rate reduction and that the Fed replace the two definitions of "business day" that were in the proposed rule with a single definition.
COPYRIGHT 2009 Summit Business Media
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2009 Gale, Cengage Learning. All rights reserved.

 Reader Opinion

Title:

Comment:



 

Article Details
Printer friendly Cite/link Email Feedback
Publication:Credit Union Times
Date:May 27, 2009
Words:205
Previous Article:Cutbacks take bigger bite on charities and PACs.
Next Article:Power Financial CU offers student loans.
Topics:


Related Articles
Sweetwater completes tenant fit-out in nine weeks.
Driving seat: Targeting fleet managers.
OMRON Scalable Laser Measurement Sensor with CMOS Technology Delivers Sub-micron Accuracy.
On the market.
Former minister denies charge of abetting corruption in Deyaar.

Terms of use | Copyright © 2015 Farlex, Inc. | Feedback | For webmasters