--- title: "Configuration Updates: Iowa Payment Reduction Fee Disclosure (Cx1906)" description: Join the First American network of trusted title agents with comprehensive tools and resources. --- - Solutions - [Overview](https://docutech.com/solutions/) - [Document Solutions](https://docutech.com/solutions/document-solutions) - [eClosing](https://docutech.com/solutions/eclosing/) - [Document Generation](https://docutech.com/solutions/document-generation) - [Fulfillment](https://docutech.com/solutions/solutions-fulfillment) - Resources - [Overview](https://docutech.com/resources/) - [Solution Briefs](https://docutech.com/resources/solution-briefs) - [Request a Demo](https://docutech.com/docutech-request-a-demo) - [Compliance](https://docutech.com/resources/compliance) - [Blog](https://blog.docutech.com) - Partners - [Overview](https://docutech.com/partners/) - About Us - [Overview](https://docutech.com/about-us/) - [Contact Us](https://docutech.com/about-us/contact-us) - Let's Talk - Solutions - [Overview](https://www.docutech.com/solutions?hsLang=en) - [Document Solutions](https://www.docutech.com/solutions/document-solutions?hsLang=en) - [eClosing](https://www.docutech.com/solutions/eclosing?hsLang=en) - [Document Generation](https://www.docutech.com/solutions/document-generation?hsLang=en) - [Fulfillment](https://www.docutech.com/solutions/solutions-fulfillment?hsLang=en) - Resources - [Overview](https://www.docutech.com/resources?hsLang=en) - [Solution Briefs](https://www.docutech.com/resources/solution-briefs?hsLang=en) - [Request a Demo](https://www.docutech.com/docutech-request-a-demo?hsLang=en) - [Compliance](https://www.docutech.com/resources/compliance?hsLang=en) - [Blog](https://blog.docutech.com/) - Partners - [Overview](https://www.docutech.com/partners?hsLang=en) - About Us - [Overview](https://www.docutech.com/about-us?hsLang=en) - [Contact Us](https://www.docutech.com/about-us/contact-us?hsLang=en) # Configuration Updates: Iowa Payment Reduction Fee Disclosure (Cx1906) Oct 16, 2023 Topics: [Document Updates](https://compliance.docutech.com/tag/document-updates) On May 11, 2023, Governor Kim Reynolds approved [**Iowa House File 609**](https://www.legis.iowa.gov/legislation/BillBook?ga=90&ba=HF%20609) which relates to specified loans provided by mortgage bankers. Iowa House File 609 became effective July 1, 2023. I.C.A. § 535.8(5) requires a disclosure for a “payment reduction fee” which is also commonly known as loan discount points or fees. I.C.A. § 535.8(2) originally had an exemption for the “payment reduction fee” disclosure requirement for state/federal banks, credit unions, and savings & loans when the “payment reduction fee” does not exceed the limits on points and fees for Qualified Mortgages. Iowa House File 609 amended I.C.A. § 535.8(2) to include an additional exemption for the “payment reduction fee” disclosure requirement for mortgage bankers licensed under I.C.A. § 535B.5 or mortgage bankers registered under I.C.A. § 535B.3 when the “payment reduction fee” does not exceed the limits on points and fees for Qualified Mortgages. Because it is common industry practice to supply the Iowa Payment Reduction Fee Disclosure regardless of lender exemption status, and because many investors continue to require the Iowa Payment Reduction Fee Disclosure as well, Docutech has chosen the conservative approach by continuing to provide Cx1906 – Iowa Payment Reduction Fee Disclosure in all Initial Disclosure packages. Since there are numerous entity exemptions defined in I.C.A. § 535B.2 which would still be required to provide the Iowa Payment Reduction Fee Disclosure along with other Iowa licensing schemes that aren’t exempt from this requirement either, Docutech has decided that if clients wish to stop providing Cx1906 – Iowa Payment Reduction Fee Disclosure because they qualify for the exemption under I.C.A. § 535.8(2), they can choose one of the following options: 1. 1. Custom configure Cx1906 to print when Field 67283 “Qualified Mortgage Indicator” = No. This requires that Field 67283 be sent in the payload. OR 1. 1. Custom configure Cx1906 to “Do Not Print” if the client only offers Qualified Mortgage loans. Please contact your Client Relationship Manager or Client Support at 1.800.497.3584 if you are interested in configuring Cx1906 – Iowa Payment Reduction Fee Disclosure to not print in your Initial Disclosure packages. *LEG-1517* ###### The preceding is for informational purposes only and is not and may not be construed as legal advice. No third party entity may rely upon anything contained herein when making legal and/or other determinations regarding its practices, and such third party should consult with an attorney prior to embarking upon any specific course of action. [Return to Blog](https://compliance.docutech.com) ### Stay informed. --- Subscribe to emails to get notified when new content is published. ### Category / Topics [Document Updates](https://compliance.docutech.com/tag/document-updates) ### Recent Posts #### [Document Updates: Washington Foreclosure Prevention Fee Disclosure (Cx28412)](https://compliance.docutech.com/document-updates-washington-foreclosure-prevention-fee-disclosure-cx28412-1) Oct 16, 2023 #### [Document Updates: New Nebraska Net Tangible Benefit Disclosure (Cx29105)](https://compliance.docutech.com/document-updates-new-nebraska-net-tangible-benefit-disclosure-cx29105) Oct 16, 2023 #### [Document Updates: Request for a Certificate of Eligibility for VA Home Loan Benefits (Cx26687)](https://compliance.docutech.com/document-updates-request-for-a-certificate-of-eligibility-for-va-home-loan-benefits-cx26687) Oct 16, 2023 The preceding is for informational purposes only and is not and may not be construed as legal advice. No third-party entity may rely upon anything contained herein when making legal and/or other determinations regarding its practices, and such third party should consult with an attorney prior to embarking upon any specific course of action. 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