CFPB to Delay TRID Implementation by Two Months
Financial Institutions Law Update 06/22/15 Stanley Orszula, Jacob Bradley, Michael Hearon, James Friedman, James Kaplan
The Consumer Financial Protection Bureau (CFPB) announced on Wednesday, June 17, that it proposes to delay the effective date of the TILA-RESPA Integrated Disclosure Rule (TRID) for two months, from August 1, 2015, to October 1, 2015.
“We made this decision to correct an administrative error that we just discovered in meeting the requirements under federal law, which would have delayed the effective date of the rule by two weeks,” said CFPB Director Richard Cordray. “We further believe that the additional time included in the proposed effective date would better accommodate the interests of the many consumers and providers whose families will be busy with the transition to the new school year at that time.”
The public will have an opportunity to comment on the CFPB proposed amendment and a final decision is expected shortly thereafter. Click here to view the announcement.
Although industry trade groups and congressional leaders have long sought to delay the August 1, 2015, implementation deadline, the current delay proposed by the CFPB only came about because of a CFPB administrative error. Nevertheless, this delay will allow financial institutions and their vendors more time to test and implement their new systems in advance of TRID implementation.
If you have questions about the modifications, please contact Stanley Orszula at (312) 715-5123 /[email protected], Jacob Bradley at (317) 399-2884/[email protected], Michael Hearon at (312) 715-5285/[email protected], James Friedman at (414) 277-5735/[email protected], James Kaplan at (312) 715-5028 /[email protected] or your local Quarles & Brady attorney.