Yesterday, the Consumer Financial Protection Bureau (CFPB) issued new interpretive guidance on the TILA-RESPA Integrated Disclosure (TRID), which is intended to make it easier for consumers with urgent financial needs to obtain access to mortgage credit during the COVID-19 pandemic. The interpretive rule clarifies that consumers can exercise rights to modify or waive certain required waiting periods.
The CFPB is also issuing guidance on when creditors must provide appraisals or other written valuations to mortgage applicants.
In the guidelines, the CFPB said, “The Bureau recognizes, furthermore, that due to the impacts of the COVID-19 pandemic, some consumers have an acute need for proceeds from mortgage transactions as well as uncertainty or confusion about the origination process. Some consumers are seeking to refinance their homes quickly to obtain funds to meet financial needs that are due to the COVID-19 pandemic.”
The new interpretive rule will become effective upon publication in the Federal Register. View the new guidelines here.