June 14, Regulatory Updates

Transcription

1 June 14, 2015 Regulatory Updates TILA-RESPA Integrated Disclosure Rule As of August 1, 2015, financial institutions will no longer use the Good Faith Estimate (GFE), the early Truth in Lending (TIL) disclosure, the HUD-1 Settlement Statement, and the final TIL disclosure for most consumer real estate secured transactions. When Congress adopted the Dodd-Frank Act in 2010, it included a directive for the newly established Consumer Financial Protection Bureau (CFPB) to develop and publish a single, integrated disclosure for use in most residential mortgage loans (15 U.S.C. 1604(b); 12 U.S.C. 2603(a)). This integrated disclosure is intended to combine the disclosures made to consumers pursuant to the requirements of the Truth-in- Lending Act (TILA) and the Real Estate Settlement Procedures Act (RESPA). The CFPB s extensive testing and rulemaking led to the creation of two new disclosures: The Loan Estimate Disclosure: the Loan Estimate Disclosure replaces RESPA s Good Faith Estimate (GFE) and the Early TIL Disclosure statement, and combines the information provided by these two disclosures into a single integrated form; and The Closing Disclosure: the Closing Disclosure form replaces the HUD-1 Settlement Statement and the Final TIL Disclosure, and provides a single integrated statement of the costs of a mortgage lending transaction. The new disclosures are incorporated into the following courses: 1. Consumer Installment Loan Compliance Overview 2. Flood Insurance 3. IRS Reporting for Real Estate Transactions 4. Mortgage Fraud Awareness Act 5. The SAFE Act 6. Real Estate Settlement Procedures Act: Regulation X 7. Real Estate Settlement Procedures Act: Regulation X Refresher 8. Residential Mortgage Residential Mortgage A-B-C: Mortgage Regulations 10. Reverse Mortgage BankersEdge Course Updates 1

2 11. Second Lien Real Estate Mortgage Loan 12. Subprime and Predatory lending 13. Truth in Lending Act - Regulation Z 14. Truth in Lending Act - Regulation Z Refresher 15. TILA - Beyond Basics - Certain Mortgage Loans 16. TILA - Closed-End Residential Real Estate Loans 17. TILA - Home Equity Lines of Credit (HELOC) 18. TILA - Installment Loans - Non-Real Estate Secured 19. TILA - Open-End Loans/Credit Cards Course Maintenance Anti-Terrorism Overview Deposit Compliance Overview DI - Diversity Awareness Electronic Funds Transfer Act Refresher GLB Privacy (Opt Out) Introduction to Compliance for Tellers LS Working Capital Plain and Simple - A Step-By-Step Guide to the New Integrated Disclosures Reserve Requirements: Regulation D Servicemembers Civil Relief Act Suspicious Activity Report Detailed Changes for Each Course Anti-Terrorism Overivew - Artisan Tech republish only. No changes to course content. Deposit Compliance Overview - Artisan - 26 Deposit Compliance Basics/Rules and Regulations/P2 Bug in page template printed the text twice. Corrected. Below is what the corrected page should look like: Truth-in-Savings Act The Federal Reserve Board enacted the Truth in Savings Act (TISA) in Regulation DD, which BankersEdge Course Updates 2

3 implements the TISA, became effective in Effective June 2014, the Federal Reserve Board repealed its Regulation DD as a result of the Dodd-Frank transfer of rulemaking authority to the Consumer Financial Protection Bureau. The Truth-in-Savings Act enables consumers to make informed decisions when shopping for deposit accounts at financial institutions. The Act allows consumers to compare interest-earning potential and fees, just as they might compare the price, style, and features of a car. The Act requires that institutions provide consumers (but not businesses) specific account information in a standard form before opening the account or, in cases where the account holder is not present when the account is opened, the institution shall mail or deliver the disclosures no later than 10 business days after the account is opened or the service provided, whichever is earlier. Keep in mind that for consumers that open accounts online, disclosures need to be provided prior to the opening of the account or the service provided. The disclosures provide information about: Interest rates Annual percentage yields Fees Other terms for deposit accounts DI - Diversity Awareness - Artisan 1878 Race, Ethnic Identity, and Diversity/Discrimination/p5 A bug in the page template caused the text to display twice. Deleted the extra text. Text should only display: Institutional Racism The most commonly discussed form of racism is the individual kind, whereby a person discriminates against others based on race, such as a taxi driver refusing to pick up African-American passengers. But there is another form of racism that is much more subtle yet equally discriminatory. It is known as institutional racism. Institutional or systemic racism is a form of racism that is structured into political and social institutions such as schools or clubs. It occurs when organizations, institutions, or governments discriminate, either deliberately or indirectly, against certain groups of people to limit their rights. This form of racism reflects the cultural assumptions of the dominant group, so that the practices of that group are seen as the norm to which others should conform. It regularly and systematically benefits certain ethnic and cultural groups and marginalizes others. Electronic Funds Transfer Act Refresher - Artisan The change history in the Refresher was not as complete as the Master course. Added the changes performed in BankersEdge Course Updates 3

4 GLB Privacy (Opt Out) - Artisan - 33 Privacy Basics/Affiliate or Nonaffiliate/p1 A Stray letter after end of last sentence. Deleted S. An affiliate is any company that controls, is controlled by, or is under common control with another company S. Introduction to Compliance for Tellers - Artisan CU - Introduction to Compliance for Tellers For Credit Unions - 108V3R Introduction to Compliance for Tellers - 094V3R Disputed Activity/Errors and Disputes/P1 Acronym for Electronic Funds Transfer (EFT) had the letters transposed in one case. Corrected. Disputes are situations where a customer does not believe he or she is responsible for paying an electronic funds transfer (EFT) or credit card transaction charged to their account. There can be many reasons for this, including, but not limited to: EFAA and Reg CC Learning Object title had read EFFA. Corrected to read EFAA LS Working Capital - Artisan Rollover not working correctly - Issue is with Artisan finding package assets embedded in Javascript. Developed workaround. BankersEdge Course Updates 4

5 Plain and Simple - A Step-By-Step Guide to the New Integrated Disclosures - Artisan Test question challenged and found in error. Deleted Question Q12. Reserve Requirements : Regulation D - Artisan - 45 CU - Reserve Requirements : Regulation D - Artisan Reserve Requirement Basics/Regulation D/P2 Corrected grammar missed when course was changed with cancelling of Reg Q. Old title read: How do Regulation D and Q relate to the reserve requirements Now reads How does Regulation D relate to the reserve requirements? Servicemembers Civil Relief Act (SCRA) Artisan - 53 CU - Servicemembers Civil Relief Act (SCRA) Artisan Servicemembers Civil Relief Act (SCRA) - 122V3R Interest Rate reduction/overview/p1 Pop up box text reads: Why Learn about the Six Percent Rule Especially for financial institutions, the six percent interest rate rule is important to understand because it is one of the most widely known benefits under the SCRA. This provision reduces the pre-service interest rate on consumer loans and mortgages six percent under certain circumstances. Customer feedback indicates some confusion on the application of the six percent rate. Changed to read: Why Learn about the Six Percent Rule Especially for financial institutions, the six percent interest rate rule is important to understand because it is one of the most widely known benefits under the SCRA. This provision reduces the pre-service interest rate on consumer loans and mortgages to six percent under certain circumstances. Suspicious Activity Report - Artisan - 71 Tech republish only. No change to course content. BankersEdge Course Updates 5

6 Digital University - CUEdge V1 No changes made during this period. BankersEdge Course Updates 6