Proposed Amendments to the TRID Rule

Buckley is pleased to announce our new TILA-RESPA Integrated Disclosure (“TRID”) Resource Center. The TRID Resource Center is a one-stop shop for TRID issues, providing access to Buckley's analysis of the TRID rule and the CFPB’s amendments, transcripts of CFPB webinars providing guidance on the rule, and other CFPB publications that will facilitate implementation of the rule. In particular, the TRID Resource Center will address the following recent developments:

• Proposed amendments. On October 10, 2014, the CFPB proposed amendments to theTRID rule that, if adopted, would: (1) allow creditors to provide a revised Loan Estimate on the business day after the date the interest rate is locked, instead of the current requirement to provide the revised Loan Estimate on the date the rate is locked; and (2) correct an oversight by creating room on the Loan Estimate form for the disclosure that must be provided on the initial Loan Estimate as a condition of issuing a revised estimate for construction loans where the creditor reasonably expects settlement to occur more than 60 days after the initial estimate is provided. The proposal would also make a number of additional amendments, clarifications, and corrections, including:
• Add the Loan Estimate and Closing Disclosure to the list of loan documents that must disclose the name and NMLSR ID number of the loan originator organization and individual loan originator under 12 C.F.R. § 1026.36(g);
• Provide additional guidance related to the disclosure of escrow accounts, such as when an escrow account is established but escrow payments are not required with a particular periodic payment or range of payments; and
• Clarify that, consistent with the requirement for the Loan Estimate, the addresses for all properties securing the loan must be provided on the Closing Disclosure, although an addendum may be used for this purpose.

Comments on the proposal are due by November 10, 2014. For your convenience,we have updated our summary of the TRID rule to identify the most significant proposed changes.

• Unofficial Transcript of the CFPB’s October 1 Webinar on the Loan Estimate Form. As it has with past webinars where CFPB staff provide informal guidance,Buckley has prepared a transcript of the CFPB’s October 1, 2014 webinar (hosted by the Federal Reserve) addressing frequently asked questions regarding the Loan Estimate form. The transcript is provided for informational purposes only and does not constitute legal opinions, interpretations, or advice by Buckley. The transcript was prepared from the audio recording arranged by the Federal Reserve and may have minor inaccuracies due to sound quality. In addition, the transcript has not been reviewed by the CFPB or the Federal Reserve for accuracy or completeness.

Other items in the TRID Resource Center include:

• Updated Buckley Special Alert Summarizing the Rule
  Provides a high-level overview of the final TRID rule and identifies significant proposed changes.
• CFPB Readiness Guide
  Discusses the CFPB expectations of institutions when implementing the rule.
• CFPB Compliance Guide
  Provides Guidance on the operational rules governing the integrated disclosures, including timing, tolerances, and other related requirements.
• CFPB Forms Guide
  Provides guidance on completing the Loan Estimate and Closing Disclosure.
• CFPB Example Timeline
  Illustrates the TRID rule’s timing requirements by providing an example timeline on a calendar.
• Webinars and Transcripts
• October 1, 2014: During this session, the Bureau addressed frequently asked questions relating to the Loan Estimate. Our unofficial transcript is available here, and the recording is available here.
• August 26, 2014: During this session, the Bureau addressed frequently asked questions regarding the operational requirements of the rule. Our unofficial transcript is available here, and the recording is available here.
• June 17, 2014: During this session, the CFPB provided a high-level overview of the rule. The recording is available here.

Questions regarding the matters discussed may be directed to any of our lawyers listed in this alert, or to any other Orrick attorney with whom you have consulted in the past.