Featured Product

    CFPB Proposes Changes to Data Points Required by 2015 HMDA Rule

    May 08, 2019

    CFPB is requesting comments on whether to make changes to data points that the CFPB’s October 2015 final rule implementing the Home Mortgage Disclosure Act (HMDA) added to Regulation C or revised to require additional information. Additionally, CFPB is requesting comments on the requirement that institutions report certain business- or commercial-purpose transactions under Regulation C. Comments must be received by July 08, 2019.

    One of the goals of CFPB in gathering information in this proposed rule is to ensure that the data requirements established in the 2015 HMDA Rule appropriately balance the benefits and burdens associated with data reporting. Financial institutions were required to report their first data pursuant to the 2015 HMDA Rule by March 01, 2019. Now that financial institutions have completed their first submissions of the additional information required under the 2015 HMDA Rule and institution-specific submissions are available to the public, CFPB believes that they and other stakeholders may have additional and more accurate information to offer on the benefits and burdens associated with the data points required by the 2015 HMDA Rule. 

    CFPB seeks to assess the extent to which requiring reporting of information on business- or commercial-purpose loans made to a non-natural person and secured by a multifamily dwelling imposes burdens on financial institutions and furthers the purposes of HMDA. CFPB seeks information that might assist in deciding whether to propose to exclude such transactions from the requirements of HMDA, including information about the following:

    • Value that data on such transactions provides in serving the purposes of HMDA
    • Other benefits associated with reporting such transactions
    • Burden imposed by the requirement to report data on such transactions

    HMDA, which CFBP issued in October 2015, requires certain depository institutions and for-profit non-depository institutions to collect, record, and report data about origination and purchases of mortgage loans as well as mortgage loan applications that do not result in origination. The 2015 HMDA Rule implemented the new data points specified in the Dodd-Frank Act and re-adopted certain pre-existing data points added to Regulation C by the FED. The 2015 HMDA Rule added data points pursuant to the discretionary authority of CFPB under the HMDA sections 304(b)(5) and (6) and revised certain pre-existing data points to provide for greater specificity or additional information in reporting. The 2015 HMDA Rule also requires reporting of applications for, and origination of, dwelling-secured business- or commercial-purpose closed-end mortgage loans and open-end lines of credit for home purchase, refinancing, or home improvement purposes. Prior to the 2015 HMDA Rule, Regulation C covered closed-end, business- or commercial-purpose loans made to purchase, refinance, or improve a dwelling. 

    Before institutions had to comply with the new data reporting requirements in the 2015 HMDA Rule, CFPB, in September 2017, had issued a final rule amending certain aspects of the 2015 HMDA Rule (2017 HMDA Rule). Among other things, the 2017 HMDA Rule addressed certain technical errors in the 2015 HMDA Rule, eased the burden of reporting certain data requirements, and clarified key terms to facilitate compliance with Regulation C. In December 2017, CFPB issued a statement in which it indicated that it intended to engage in a rulemaking to reconsider various aspects of the 2015 HMDA Rule, such as the institutional and transactional coverage tests and the discretionary data points of the rule. This proposed rule is part of that rulemaking. Furthermore, section 104(a) of the Economic Growth, Regulatory Relief, and Consumer Protection (EGRRCP) Act, which was signed into law on May 24, 2018, amended section 304(i) of HMDA by adding partial exemptions from the HMDA requirements for certain transactions of insured depository institutions and insured credit unions. Some data points about which the CFPB is soliciting information in this proposed rule are covered under the EGRRCP Act partial exemptions.

     

    Related Link: Federal Register Notice

    Comment Due Date: July 08, 2019

    Keywords: Americas, US, Banking, Securities, Data Points, Regulation C, Reporting, Dodd-Frank Act, EGRRCP Act, Home Mortgage, HMDA, CFPB

    Featured Experts
    Related Articles
    News

    EBA Publishes Phase 2 of Technical Package on Reporting Framework 2.10

    EBA published phase 2 of the technical package on the reporting framework 2.10, providing the technical tools and specifications for implementation of EBA reporting requirements.

    July 10, 2020 WebPage Regulatory News
    News

    FASB Proposes to Delay Implementation of Insurance Contracts Standard

    FASB issued a proposed Accounting Standards Update that would grant insurance companies, adversely affected by the COVID-19 pandemic, an additional year to implement the Accounting Standards Update No. 2018-12 on targeted improvements to accounting for long-duration insurance contracts, or LDTI (Topic 944).

    July 09, 2020 WebPage Regulatory News
    News

    EBA Calls on Resolution Authorities to Consider Impact of COVID Crisis

    EBA published a statement on resolution planning in light of the COVID-19 pandemic.

    July 09, 2020 WebPage Regulatory News
    News

    ESMA Updates Reporting Manual on European Single Electronic Format

    ESMA updated the reporting manual on the European Single Electronic Format (ESEF).

    July 09, 2020 WebPage Regulatory News
    News

    BCBS and FSB Set Out Recommendations for Benchmark Transition

    BCBS and FSB published a report on supervisory issues associated with benchmark transition.

    July 09, 2020 WebPage Regulatory News
    News

    APRA Updates Regulatory Approach to Loan Deferrals Amid COVID Crisis

    APRA updated the regulatory approach for loans subject to repayment deferrals amid the COVID-19 crisis.

    July 09, 2020 WebPage Regulatory News
    News

    IAIS Sets Out Recommendations for Benchmark Transition for Insurers

    IAIS published a report on supervisory issues associated with benchmark transition from an insurance perspective.

    July 09, 2020 WebPage Regulatory News
    News

    BCBS Finalizes Revisions to Credit Valuation Adjustment Risk Framework

    BCBS Finalizes Revisions to Credit Valuation Adjustment Risk Framework

    July 08, 2020 WebPage Regulatory News
    News

    PRA Statement on Application of Matching Adjustment Amid Crisis

    PRA published a statement to insurers that clarifies the approach to application of the matching adjustment during COVID-19 crisis.

    July 07, 2020 WebPage Regulatory News
    News

    EBA Provides Clarity on Implementation of Certain COVID-19 Policies

    EBA published a report on the implementation of selected COVID-19 policies within the prudential framework for banking sector.

    July 07, 2020 WebPage Regulatory News
    RESULTS 1 - 10 OF 5452