reprint from HousingWire.com – published July 8, 2013
The Consumer Financial Protection Bureau published the Dodd-Frank Mortgage Rules Readiness Guide to help institutions come into compliance.
The guide summarizes the mortgage rules set by the CFPB along with frequently asked questions and additional tools, the bureau said.
The guide includes summaries of sections of Regulation Z, including the Ability-to-Repay and Qualified Mortgage standards and the Escrow Requirements under the Truth in Lending Act.
The readiness questionnaire is broken up into five sections: developing an implementation plan, policies and procedures, training, audit, compliance review and internal control, complaints and third party and vendor management.
In addition, the list of frequently asked questions addresses two common questions regarding the effective dates and examination start time for compliance.
The CFPB said it expects institutions to comply with all relevant provisions by the effective date of each rule.
Also, it noted that transaction testing will not take place until after the effective date of the applicable rule and enough time has passed to allow for an adequate sample of transactions.