WASHINGTON (2/20/13)--The Consumer Financial Protection Bureau posted a recent blog entry intended to explain the "qualified mortgage" rule in a single page.
"Qualified mortgages explained," by Peter Carroll, CFPB assistant director of mortgage markets, notes that the bureau recently released the Ability-to-Repay rule intended to protect consumers from irresponsible mortgage lending.
The post goes on to explain that as part of that rule, and at the direction of the U.S. Congress, the CFPB also defined a category of loans that carry more protections for borrowers--called "Qualified Mortgages."
The blog post briefly discusses the bureau's considerations when making the rule, a transitional provision included to allow time to adjust to the new rule, and the CFPB's expectation that, over time, the rule will help "responsible lending practices flourish" for all residential mortgage loans.
Use the link below to read the post.