The following table provides an update of the changes we are making to our documents in order to comply with the forthcoming January 2014 CFPB regulations. Those readers who have not read our previous updates and legal analysis concerning these new regulations are encouraged to view these before reviewing this table (these are available by clicking here for the initial announcements, here and here for the latest updates). Changes are listed according to citation:
|
CFPB Rule |
Regulatory Citation |
Status Update |
ConformX ID Number (if applicable) |
|
Revised ECOA and TILA Appraisal Notices |
12 CFR §§ 1002.14 & 1026.35(c) |
These new documents, which will replace Cx6, have been completed and pushed to Stage for client testing. There has been a configuration update to Cx17904, which is explained after this table. |
Cx17903 (ECOA) and Cx17904 (TILA) |
|
New List of Homeownership Counseling Organizations |
12 CFR § 1024.20 |
We are currently working with LOS partners to pull the required data elements from the appropriate HUD website. However, due to time restraints imposed as a result of the CFPB’s delays in providing instructions for generating the list of counselors, we will be printing the language-specific notice set forth by the CFPB in their bulletin on our version of the List of Counselors, which notice directs consumers to the CFPB’s “Find a Housing Counselor” website, until such time as the list of actual counselors can be generated on the document.
More details concerning this document is provided after this table. |
Cx17874 |
|
New Transfer of Servicing Disclosure |
12 CFR § 1024.21(d) |
This document has passed internal testing and is awaiting additional field edits and Compliance review before being pushed to Stage for client testing |
Cx17905 |
|
Revisions to Federal Initial ARM Disclosure |
12 CFR § 1026.19(b)(2)(xi) and 12 CFR Pt. 1026, Supp. I, Paragraph (b)(2)(xi) |
The revisions to the interest rate adjustment notice in our generic ARM disclosures have been completed and will print on the documents in Stage. We are still working with investors to get their versions of these disclosures updated. However, in order to ensure that clients using investor forms will be in compliance come January, we will be creating an addendum to investor ARM notices which includes the information required under the revised regulations. |
Cx13457 & 14089 |
|
New 210-Day Change to Interest Rate and Payment Form |
12 CFR § 1026.20(d) |
This document has passed internal testing, but requires additional work due to complex loan scenarios (particularly construction loans) and is awaiting Compliance review before being pushed to Stage for client testing |
Cx17906 |
|
Prepayment Penalty Alternative Offer Certification |
12 CFR §§ 1026.23(a)(3)(ii) & 1026.43(g) |
This document has passed internal testing and is awaiting Compliance review before being pushed to Stage for client testing |
Cx17949 |
|
New High-Cost Loan Disclosures |
12 CFR § 1026.32(c) |
One of these new documents (the closed-end version), which will replace Cx2790, has been completed and pushed to Stage for client testing. The other version (the open-end one) is still under development. |
Cx17901 & 17902 |
|
Inclusion of name and NMLS Unique Identifier of loan originators and their companies on all promissory notes and security instruments |
12 CFR § 1026.36(g) |
We are still including the name and NMLS Unique Identifier of mortgage brokers, mortgage lenders, and their originators (up to four entities) on our promissory notes and security instruments. Approximately 177 documents have been sent to Stage for client testing (listed below this table), while others are in various stages of development. |
Approximately 660 documents
|
|
Revisions to state-specific disclosures due to the new prohibitions against the funding of credit insurance premiums |
12 CFR § 1026.36(i) |
After consulting with official from several agencies (including the CFPB), we have included a separate disclaimer these documents which advises the borrowers that, under Federal law, credit insurance premiums generally cannot be financed into the loan. The disclaimer will print on a separate page for Cx1027, 3324, and 3715 and will print in the first sentence for Cx3745. |
Cx1027, 3324, 3715, & 3745
|
|
New ATR/QM Worksheets |
12 CFR § 1026.43 |
These documents are based upon the required worksheets developed by Wells Fargo, as published by them on October 10, 2013. We are in the process of determining which fields and software enhancements may need to be made to create these documents and are working with LOS partners on them. However, due to time restraints, we are planning on printing these as blank worksheets for loans where Wells Fargo is the investor, until we are able to fully complete them. |
Cx18122 (Income and Debt Worksheet) & 18123 (Fee Details Form) |
|
Revisions to the California-specific version of the ECOA Appraisal Notice |
Cal. Bus. & Prof. Code § 11423 |
No substantial feedback has been received by any California agency on this document, so we are proceeding to “split-out” the California-specific version of Cx6 into a new document. The document has passed internal testing and is awaiting Compliance review before being pushed to Stage for client testing. |
Cx18023 |
|
Revisions to the California Automated Valuation Model Notice |
Cal. Fin. Code § 22317.2 |
Inclusion of a disclaimer in this form has been completed and it will print on the document in Stage. |
Cx11978 |
|
New replacement form for our generic Appraisal Independence Requirements (AIR) documents |
N/A |
These documents have been submitted for creation and have passed internal testing. Some additional work needs to be done on them before they can be pushed to Stage for client testing. |
Cx18182 and 18183 (tentative) |
In regards to Cx17904 (Notice of Right to Receive Copy of Appraisal Report – TILA), this document is configured to print in Initial Disclosures for junior lien, “higher-risk mortgages” (a special category of higher-priced mortgage loans).
However, at the time of Initial Disclosures, it may not be possible for clients to know whether the loan the borrower has applied for is a “higher-risk mortgage” or not. In order to take a more conservative approach, we have re-configured Cx17904 to print when it is possible for the loan to be a junior lien “higher-risk mortgage”, but whether it is or not has yet to be determined.
For example, if the loan is both a second lien and a higher-priced mortgage loan, yet the “Higher-Risk HPML” indicator is not set to either “Yes” or “No”, then Cx17904 will print, since it is possible for the loan to be a “higher-risk mortgage.” However, if the loan is a second lien, is not a higher-priced mortgage loan, and the “Higher-Risk HPML” indicator is not set, then Cx17904 will not print, because it is impossible for a loan to be a “higher-risk mortgage” and not be a HPML.
In regards to the List of Homeownership Counseling Organizations, we will also print the language-specific notice instead of the actual list of counselors, if at least one of the ten counseling agency fields on the list is missing the name of an agency. This arrangement will continue until July 10, 2014 at which point we will warn clients if any of the ten counseling agency fields is missing the name of an agency.
We have also modified the format of the List to more closely match the list which can be printed and saved off of the CFPB’s website, for better compliance support as well as to make the document easier to read.
The documents pushed to Stage which include the names and NMLS unique identifiers for loan originators and their companies are:
5 3200 Note Fixed
36 FHA Note Fixed
75 3522 Note ARM 1 Yr Treasury
308 AK Deed of Trust
309 AL Mortgage
310 AR Mortgage
311 AZ Deed of Trust
312 CA Deed of Trust
313 CO Deed of Trust
314 CT Mortgage
315 DC Deed of Trust
316 DE Mortgage
317 FL Mortgage
320 HI Mortgage
321 IA Mortgage
322 ID Deed of Trust
323 IL Mortgage
324 IN Mortgage
325 KS Mortgage
326 KY Mortgage
328 MA Mortgage
329 MD Deed of Trust
331 MI Mortgage
332 MN Mortgage
333 MO Deed of Trust
334 MS Deed of Trust
335 MT Deed of Trust
336 NC Deed of Trust
338 NE Deed of Trust
339 NO Mortgage
340 NJ Mortgage
341 NM Deed of Trust
342 NV Deed of Trust
343 NY Mortgage
344 OH Mortgage
346 OR Deed of Trust
347 PA Mortgage
348 RI Mortgage
350 SD Mortgage
351 TN Deed of Trust
352 TX Deed of Trust
353 UT Deed of Trust
354 VA Deed of Trust
356 VT Mortgage
357 WA Deed of Trust
358 WI Mortgage
360 WY Mortgage
361 AK Deed of Trust FHA
362 AL Mortgage FHA
363 AR Deed of Trust FHA
364 AZ Deed of Trust FHA
365 CA Deed of Trust FHA
366 CO Deed of Trust FHA
367 CT Mortgage FHA
368 DC Deed of Trust FHA
369 DE Mortgage FHA
370 FL Mortgage FHA
371 GA, Security Deed, FHA
373 HI Mortgage FHA
374 IA Mortgage FHA
375 ID Deed of Trust FHA
377 IN Mortgage FHA
378 KS Mortgage FHA
379 KY Mortgage FHA
380 LA Mortgage FHA
381 MA Mortgage FHA
382 MD Deed of Trust FHA
383 ME Mortgage FHA
384 MI Mortgage FHA
385 MN Mortgage FHA
386 MO Deed of Trust FHA
387 MS Deed of Trust FHA
389 NC Deed of Trust FHA
390 ND Mortgage FHA
393 NJ Mortgage FHA
396 NY Mortgage FHA
397 OH Mortgage FHA
399 OR Deed of Trust FHA
400 PA Mortgage FHA
401 RI Mortgage FHA
404 TN Deed of Trust FHA
405 TX Deed of Trust FHA
406 UT Deed of Trust FHA
407 VA Deed of Trust FHA
412 WV Deed of Trust FHA
413 WY Mortgage FHA
467 AK Deed of Trust Second
470 AZ Deed of Trust Second
472 CO Deed of Trust Second
473 CT Mortgage Second
474 DC Deed of Trust Second
475 DE Mortgage Second
476 FL Mortgage Second
477 GA Deed of Trust Second
478 HI Mortgage Second
479 IA Mortgage Second
480 ID Deed of Trust Second
481 IL Mortgage Second
483 KS Mortgage Second
484 KY Mortgage Second
485 LA Mortgage Second
486 MA Mortgage Second
488 ME Mortgage Second
492 MS Deed of Trust Second
493 MT Deed of Trust Second
496 NE Deed of Trust Second
497 NH Mortgage Second
499 NM Mortgage Second
501 NY Mortgage Second
504 OR Deed of Trust Second
507 SC Mortgage Second
510 TX Deed of Trust Second
511 UT Deed of Trust Second
512 VA Deed of Trust Second
513 VT Mortgage Second
514 WA Deed of Trust Second
515 WI Mortgage Second
516 WV Deed of Trust Second
517 WY Mortgage Second
1033 Fixed Rate Note Alabama Second
1075 TX Fixed Rate Note Second
1406 HELOC Deed to Secure Debt – Georgia
3392 OK Mortgage
4246 WA Housing – House Key Plus Deed of Trust
4249 WA Housing – House Key Plus Note
6144 CA Housing – ECTP – Deed of Trust
6981 PA Housing – Keystone Advantage Loan Subordinate Mortgage
7681 Second Lien Deed of Trust
7682 Second Deed of Trust Note
9421 TX Home Equity Plain Language Closed End 2nd Security Instrument
10738 WA Housing – Home Choice Note
11682 3053 Puerto Rico Mortgage
12338 NM Housing – Mortgage Booster Mortgage
12490 MD Housing – DSELP Deed of Trust
12875 Promissory Note
13080 Modified 3531 Interest-Only Note ARM 1 Yr Treasury
13160 Construction Note
13236 NJ Housing – Smart Start Loan Program Note
13237 NJ Housing – Second Mortgage
13702 WDVA – Mortgage
13836 Custom Note
13837 Custom Mortgage
14427 CO Housing – HomeAccess Second Mortgage Deed of Trust
14508 CO Housing – Second Mortgage Loan Deed of Trust
14598 SONYMA – CO-OP Security Agreement
14788 Trust Deed Note
14960 TX Housing – Subordinate Lien Deed of Trust
15022 Escambia – Mortgage and Security Agreement for Second Mortgage Loan
15027 Jacksonville – Subordinate Mortgage
15127 FL Mortgage
15128 FL FHA Mortgage
15160 AZ Housing – Deed of Trust
15254 KY Housing – DAP Mortgage
15268 1 Year LIBOR IO ARM Note
15503 UNCONFIGURED Miami-Dade – Subordinate Mortgage
15504 UNCONFIGURED Miami-Dade – Second Mortgage Promissory Note
15570 UNCONFIGURED City Living – Combination Second Note and Mortgage (Minneapolis)
15571 UNCONFIGURED City Living – Combination Second Note and Mortgage (Saint Paul)
15599 DE Housing – SMAL Mortgage
15600 DE Housing – SMAL 3 Percent Note
15651 UNCONFIGURED LA Housing – Second Mortgage Instrument
15652 UNCONFIGURED LA Housing – Second Mortgage Promissory Note
16212 FMCO – CA Fixed Rate Note Second
16474 PA Housing – Keystone Advantage Loan Program Mortgage
17284 MN Housing – Monthly Payment Loan Mortgage
17285 MN Housing – Monthly Payment Loan Note
17289 MN Housing – HOME HELP Mortgage
17461 VA Note – Federal Home Loan Bank Affordable Housing Program
17462 VA Deed of Trust – Federal Home Loan Bank Affordable Housing Program
17932 FMCO – Fixed Rate Note Arizona Second
17935 FMCO – NV Deed of Trust Second
17982 Modified 3200 Note Fixed
18011 TN Housing – Great Choice Plus Subordinate Deed of Trust
18012 TN Housing – Great Choice Plus Second Promissory Note
18020 DC Housing – Subordinate Deed of Trust Note
18070 FMCO – TX Fixed Rate Note Second
18071 FMCO – TX Deed of Trust Second
Please note that documents which are available for testing in Stage must have appropriate information included in fields for the documents and/or new language of the documents to print. This is particularly true in regards to the application and closing dates. The documents and/or language will not print unless the application date is set to January 10, 2014 (January 18, 2014 for the new appraisal notices) or later and the closing dates should also be subsequent to January 10th.
Once each set of documents is completed for each requirement and sent to Stage for client testing, we will send an announcement about this, which will also contain details about the new documents. In the interim, if any clients wish to obtain templates of these documents before they are submitted to Stage, they should contact their Account Manager or Client Support at 1.800.497.3584, who should be able to provide them with such templates.