The CFPB recently issued revised versions of the small entity compliance guides for the Loan Originator Rule and the Home Ownership and Equity Protection Act Rule.
While some of the most well-known provisions of the Loan Originator Rule are the provisions addressing loan originator compensation, the rule also defines the concept of a loan originator and addresses qualification and other requirements related to loan originators.
Among the changes, the guide for the Loan Originator Rule is revised to reflect: the broadening of an exemption from the concept of a loan originator with regard to retailers of manufactured and modular homes and their employees made by the Economic Growth, Regulatory Relief and Consumer Protection Act, which was adopted earlier this year; the process for contacting the CFPB with informal inquiries about the rule; and that the TILA/RESPA Integrated Disclosure rule is now in effect.
Among the various changes, the guide for the HOEPA Rule is revised to reflect: the broadening of the exemption from the concept of a loan originator made by the act, as this can affect the requirement to include loan originator compensation in points and fees for purposes of the points and fees threshold under the HOPEA rule; and the process for contacting the CFPB without informal inquiries about the rule.
The current version of the guide was issued in March 2016, and the version of the guide on the CFPB’s website includes a notice that the guide has not been updated to reflect the act.