As a consumer, if you are in the Real Estate Market for either selling or buying a home, then you need to know there are changes coming effective 10/03/15. These changes will modify the traditional way that loan and closing disclosures are handled in a Real Estate transaction.
Here are some common questions that will be useful in clarifying the changes.
- Who is administering and managing these changes?
The regulatory agency administering and managing these changes is the Consumer Financial Protection Bureau (CFPB).
- What does TRID stand for?
TRID stands for Tila Respa Integrated Disclosures.
- Where can I get more information about the changes?
The CFPB has established a website for Consumers to Know Before You Owe mortgages. This website also further explains and demonstrates the “Old” and “New” disclosures.
- What are the specific changes to Regulation X and Z?
To see the specific changes to Regulation X (Real Estate Settlement Procedures Act) and Z (Truth in Lending Act), visit the CFPB TILA-RESPA rule page.
- When are these changes taking place?
The CFPB has mandated these changes take place on October 3rd, 2015.
- How will this affect me?
The attached summary outlines some of the ways this is expected to affect you, the consumer. Download Summary
- Why are these changes coming?
These changes are coming because Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) directed the Bureau to publish rules and forms that combine certain disclosures that consumers receive in connection with applying for and closing on a mortgage loan under the Truth in Lending Act and the Real Estate Settlement Procedures Act.
Do you have any questions or comments? Please let me know!