2680 South Val Vista Drive, Suite 101
Gilbert, AZ 85295
My Blog
THE NEW CFPB RULE
Posted On: September 18th, 2015 4:40PM
The new Consumer Financial Protection Bureau Rule:
Only three Changes require the new 3 day rule.
1. The annual percentage rate increases by more than 1/8 of a percentage for fixed rate loans or 1/4 of a percentage for adjustable rate loans. A decrease in annual percentage rate will not require a 3 day review if it is based on changes to interest rate or other fees.
2. A prepayment penalty is added, making it expensive to refinance or sell.
3. The loan product changes in anyway, such as a loan with interest only payments or a switch from fixed rate to adjustable rate mortgage.
The new rule is geared toward changes in the loan, not changes with fees such as commisssions, prorations, taxes or amounts paid into escrow.
