CFPB Finalizes Minor Changes to TRID
The Consumer Financial Protection Bureau (CFPB) recently finalized two small changes to the Truth-in-Lending and Real Estate Settlement Procedures Act Integrated Disclosure rules (TRID). Although there are only two small changes to TRID, the amendments were released in a 47-page document. The changes, first proposed in October 2014, will be effective at the same time as the overall TRID rules, August 1, 2015.
The first change requires financial institutions to provide a revised loan estimate within three business days after a consumer locks a floating interest rate. Originally TRID required financial institutions to provide the revised loan estimate the day the floating interest rate is locked.
The second change provides a spot on the loan estimate form for a financial institution to include language informing consumers that they may receive a revised loan estimate form for a construction loan that could take more than 60 days to settle. The reason for this change is construction loans can take longer to settle and the estimated charges can fluctuate during this time.
CLA’s financial institution regulatory compliance team assists banks and credit unions nationwide in establishing regulatory compliance programs, conducting compliance testing, and training staff on regulations. Justin Robinson is a member of CLA’s regulatory compliance team and can be reached at justin.robinson@CLAconnect.com.
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