CFPB proposes changes to HMDA

The CFPB released a proposed rule recently to make numerous technical/clarification/operational changes to the Home Mortgage Disclosure Act (HMDA) to assist with the transition to the new 2018 version of the HMDA regulation.

The proposal includes the following items:

  1. Clarifying key terms such as “temporary financing” and “automated underwriting system;”
  2. Transition rules for reporting loans purchased by financial institutions;
  3. Rules to facilitate the reporting of the census tract of a property utilizing a new geocoding tool provided by the CFPB online; and
  4. Other technical and clarifying changes.

Comments will be due 30 days from publication in the Federal Register. CUNA will continue to analyze this proposal for unintended consequences, but the initial read suggests these changes will be favorable for credit unions.

A copy of the proposal can be found here.