The CFPB (Consumer Financial Protection Bureau) has been reviewing and verifying several rules that they have implemented in the past, and the one that remains to be reviewed is the TILA-RESPA Integrated Disclosure rule, the TRID rule for short. It seems that eliminating the rule completely will be a possibility.
The TRID rule, implemented the Dodd-Frank Act directive to combine certain types of mortgage disclosures that consumers receive under TILA and RESPA, which require all creditors to submit standardized forms to perform any transaction. The rule also requires creditors to provide loan estimates and closing disclosures within three business days.
Since October 3, 2015 (when it was implemented), the TRID rule has been problematic for all mortgage and title companies, that's why the review of the rule has become a good reason to celebrate!
The rule has only made clients wait longer for their mortgages to close, now everybody’s waiting for the “hangman” to pay it a visit. We won’t know what the results of the review will be, but at least we know that it will be placed under scrutiny of the CFPB.
This all comes as a consequence of big government decisions. Mainly because the Trump administration is seeking to get rid of unnecessary rules and processes in order to generate economic growth.
The CFPB does not want to keep this under closed door, that’s why it’s seeking public opinion on the matter. If you wish to comment, you can enter the CFPB website and write your comments once the Federal Registry officially publishes it. The closing date for comments will be January 21, 2020.