The CFPB has set a date of August 1, 2015 for implementation of the TILA-RESPA Integrated Disclosure Rule. This sets new Loan Estimate and Closing Disclosure rules with the aim to make mortgage disclosure easier for borrowers to understand and use. The biggest changes that borrowers will see will be in the requirements for lenders to get certain information to the borrower within a certain amount of time after the application is made and before the loan is closed.

The new rule also puts lenders in a position of ultimate responsibility. Lenders will not only be responsible for their disclosures, but also the actions of all third party vendors that are used in closing the loan, notably title companies. In some cases this will affect who the borrower will be getting their information from and how they will be receiving it.

The HUD-1 Settlement Statement will now be called the Closing Disclosure and will be a 5 page document combining the HUD, Truth in Lending statement and Good Faith Estimate. Lenders will use a new Loan Estimate form to give borrowers an idea of the terms of their proposed loan.

In the coming months this site will continue to update the changes that are being made. In the meantime you can check out the CFPB website for the TILA-RESPA Integrated Disclosure Rule for more information.