The Consumer Financial Protection Bureau has announced it will delay the TRID compliance rules until October 1st, 2015. The rule, originally set to go into effect on August 1st, 2015, would consolidate the TILA-RESPA and HUD-1 forms and are meant to give consumers more time to review the total costs of their mortgage.
Industry experts were concerned regarding the proposed new rule’s requirement that the Closing Disclosure, or new HUD-1, would be due to borrowers three days before closing. This has sent borrows into madness while trying to comply with the new compliance rules by the deadline.
“We made this decision to correct an administrative error that we just discovered in meeting the requirements under federal law, which would have delayed the effective date of the rule by two weeks,” said CFPB Director Richard Cordray. “We further believe that the additional time included in the proposed effective date would better accommodate the interests of the many consumers and providers whose families will be busy with the transition to the new school year at that time.”
The delay comes as a saving grace to the industry, and will allow more time for reaching full compliance. To learn more about TRID, and how it can effect you, contact a Stanford Mortgage Advisor today!