WASHINGTON (11/18/13)--A Nov. 22 deadline is fast approaching for credit unions and other parties interested in commenting on the Consumer Financial Protection Bureau's interim final rule, which, among other things, will require that consumers receive counseling before obtaining high-cost mortgages.
The interim final rule is one that has already been approved and is scheduled to take effect on Jan. 10, 2014. However, the CFPB is seeking comments from stakeholders on how they will be affected by the changes. Further changes could be adopted to the interim rule before January.
The interim rule also makes servicers provide periodic account statements and rate adjustment notices to mortgage borrowers, as well as engage in early intervention when borrowers become delinquent. It clarifies the specific disclosures that must be provided before counseling for high-cost mortgages can occur, and describes proper compliance regarding servicing requirements when a consumer is in bankruptcy or sends a cease communication request under the Fair Debt Collection Practices Act.
The interim rule also makes technical corrections to provisions of other rules. See the resource link for more detail.