RID) Disc losure s (T Co mplia nc e Ove rvie w T RI D Ba c kg - - PowerPoint PPT Presentation
T IL A/ RE SPA Inte g ra te d RID) Disc losure s (T Co mplia nc e Ove rvie w T RI D Ba c kg ro und Se c tio n 1032 (f) o f the Do dd-F ra nk Ac t re q uire d the CF PB (Co nsume r F ina nc ia l Pro te c tio n Bure a u) to de ve
ra nk Ac t re q uire d the CF PB (Co nsume r F ina nc ia l Pro te c tio n Bure a u) to de ve lo p a se t o f c o mb ine d disc lo sure s tha t re pla c e the c urre nt GF E , HUD-1, a nd initia l a nd fina l T I L disc lo sure s.
ne w a pplic a tio ns b e g inning o n Sa turda y, 10/ 03/ 2015.
he ne w disc lo sure s a re de sig ne d to b e he lpful to c o nsume rs in unde rsta nding ke y fe a ture s, c o sts, a nd risks o f the mo rtg a g e lo a n the y a re c ho o sing .
he fo rms use c le a r la ng ua g e a nd de sig n to ma ke ke y info rma tio n, suc h a s inte re st ra te , mo nthly pa yme nt, a nd c o st to c lo se , e a sie r fo r c o nsume rs to lo c a te .
he T RI D rule a pplie s to mo st c lo se d-e nd c o nsume r c re dit tra nsa c tio ns se c ure d b y re a l pro pe rty.
sub je c t to T I L A, b ut no t RE SPA, a re sub je c t to T RI D disc lo sure re q uire me nts inc luding :
– Co nstruc tio n-Only lo a ns – L
– T
ime sha re lo a ns a lso ha ve a b b re via te d disc lo sure time line s
– HE
L OC’ s
– Re ve rse Mo rtg a g e s – Mo rtg a g e s se c ure d b y Cha tte l, suc h
a s mo b ile ho me s o r o the r dwe lling s tha t a re no t c o nside re d re a l pro pe rty
– Pe rso ns tha t ma ke five o r fe we r lo a ns
pe r ye a r
e not c ove r e d by the ne w r ule ar e still c ove r e d unde r c ur r e nt disc losur e r e quir e me nts.
he le nde r must de live r o r pla c e the L
E stima te in the ma il within 3 b usine ss da ys a fte r re c e ipt o f a pplic a tio n, unle ss it is de nie d o r withdra wn within tha t time fra me
he c o nsume r is c o nside re d to ha ve re c e ive d the disc lo sure s 3 b usine ss da ys a fte r the y a re se nt o r pla c e d in the ma il. T his is c a lle d the “ma ilb o x rule ”
– L
e nde rs ma y c o nside r using UPS/ F e dE x de live ry o r E
T he fo llo wing a re the a llo wa b le c ha ng e d c irc umsta nc e s fo r re -disc lo sure :
inte re ste d pa rty
nfo rma tio n the L e nde r re lie d o n is ina c c ura te o r c ha ng e s
e nde r a fte r disc lo sure s ha ve b e e n se nt
de c re a se s, e mplo yme nt c ha ng e s, lo w a ppra ise d va lue , e tc .
Allo wa b le c ha ng e d c irc umsta nc e s fo r re -disc lo sure (c o nt’ d):
nte re st ra te de pe nde nt c ha ng e s suc h a s ra te lo c k
xpira tio n, suc h a s c o nsume r do e sn’ t pro vide inte nt to pro c e e d within 10 b usine ss da ys o f disc lo sure s
se ttle me nt will o c c ur mo re tha n 60 da ys a fte r initia l disc lo sure , a nd re -disc lo sure o c c urs a t le a st 60 da ys b e fo re se ttle me nt
stima te d c o st
E , the T I P re pla c e s the T
I L
his fig ure use d to b e e xpre sse d in a la rg e $ a mo unt; no w a la rg e % ra te
e nde rs will ne e d to b e a b le to unde rsta nd a nd disc uss this fie ld with b o rro we rs a s q ue stio ns a rise (Amo unt o f inte re st pa id in ve rsus princ ipa l if b uye r ne ve r a pplie s e xtra to wa rd princ ipa l re duc tio n)
e nde rs must pro vide a nd the b o rro we r must ha ve
RE CE IVE D a Clo sing Disc lo sure no le ss tha n 3
b usine ss da ys prio r to c o nsumma tio n o f the tra nsa c tio n
de fine d a s a ll c a le nda r da ys e xc e pt Sunda y o r F e de ra l ho lida ys.
he CD c a n b e de live re d in pe rso n, e le c tro nic a lly, po sta l ma il, o r c o urie r
f it is ma ile d o r e ma ile d (fo r tho se witho ut E
rule ”
f multiple pa rtie s a re invo lve d in va rio us lo c a tio ns, a ll pa rtie s must me e t the 3 da y re q uire me nt
e nde rs ma y a lso c o ntra c t with se ttle me nt a g e nts o r do c pre p c o mpa nie s to pro vide the Clo sing Disc lo sure . Ho we ve r, the le nde r is still re spo nsib le fo r the time line ss a nd a c c ura c y o f the disc lo sure .
he se ttle me nt a g e nt is re spo nsib le unde r the Rule fo r pre pa ring a nd de live ring the se lle r’ s Clo sing Disc lo sure
APR inc re a se s b y de fine d thre sho lds
(.125 OR 1/ 8)
Cha ng e in lo a n pro duc t Cha ng e in pre -pa yme nt pe na lty in tha t
Ame ndme nts ar e allowe d for all othe r r e visions!
e rro rs c a n a lso re q uire the issua nc e o f a re vise d Clo sing Disc lo sure
he re visio n must b e issue d within 30 da ys o f le a rning o f the ne e d fo r the c ha ng e . Cle ric a l e rro rs ONL Y ma y b e re - disc lo se d within 60 da ys.
to le ra nc e re funds must b e a c c o mpa nie d b y a re vise d Clo sing Disc lo sure a nd b e c o mple te d within 60 da ys
PB De dic a te d Re g ula to ry I mple me nta tio n We b site : http:/ / www.c o nsume rfina nc e .g o v/ re g ula to ry- imple me nta tio n/ tila -re spa /
ime line I llustra tio ns
http:/ / www.c o nsume rfina nc e .g o v/ e re g ula tio ns
T RID: T IL A RE SPA Inte gr ate d Disc losur e We binar — A Spe c ial We binar with David L una of Mor tgage E duc ator s and Complianc e
imple me nta tio n/ tila -re spa /
Sc r
OS se c tion.
vie w of the Rule
stimate
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