In connection with upcoming changes to Regulations B and Z concerning Appraisal Notices (see the section entitled “Appraisal Rules” in our article “The January 2014 CFPB Regulations,” located at http://www.docutechcorp.com/the-january-2014-cfpb-regulations for details), we will be altering two State appraisal disclosures as outlined below.
1. Cx3397 is given pursuant to Ariz. Rev. Stat. § 6-906(C) and 6-946(C), and Me. Rev. Stat. Ann. tit. 9-A, §§3-313 & 9-309, in order to provide the borrower with notification that they have the right to a copy of the appraisal report used in connection with their application for credit. Although cx3397 is considered compliant as-is, we will be including the follow notice for the sake of completeness:
“Please note that if your loan is subject to certain provisions under Federal Regulations B or Z, you will automatically receive a copy of your appraisal report and you do not need to request a copy. If subject to such regulations, disclosures concerning your right to automatically receive a copy have been provided to you.”
2. Cx5102, Rhode Island Appraisal Fee Disclosure, is supplied for Initial Disclosures in Rhode Island pursuant to R.I. Gen. Laws §19-9-3. Like Cx3397 above, Cx5102 is considered compliant in its current state, but in order to provide maximal coverage, we will be including a disclaimer to inform borrowers that they will automatically receive copies of their appraisal and/or automated valuation model report, under the appropriate conditions under Federal law. This disclaimer follows the exact language provided above for Cx3397.
We will be providing the disclaimer notice in Cx3397 and 5102 beginning on January 18th, 2014, as the changes to Regulations B and Z are implemented. If you have any questions or concerns about these changes, please contact Client Support at 1.800.497.3584.
January 16, 2014
DR 147183 and 147465