HMDA exemption up, remittance reg delayed

  • Bookmark and Share
  • RSS Feed
  • Email a friend
  • Print this page

Jan. 2, 2013 – The CFPB has raised the asset-size threshold for lenders exempt from Home Mortgage Disclosure Act reporting and proposed a delay in its international remittance rule, according to notices published in the Dec. 31 Federal Register.

Credit unions with $42 million or less in assets as of  Dec. 31, 2012, are not required to collect home mortgage loan data during 2013 under Regulation C, which implements HMDA. Non-exempt institutions must still collect and report the data on mortgage loan/application registers. Last year, the asset-size threshold for exempt institutions was $41 million.

The CFPB also has a proposed rule out for comment on changes in the bureau’s final rule on international remittances. That proposal includes a delayed implementation date for the entire reg.

The CFPB published its final remittance rule last year with a Feb. 7, 2013, effective date. It’s taking comments until Jan. 15 on the delay in implementation and until Jan. 30 on a limited number of proposed rule changes. CFPB proposes to delay implementation of the entire rule until 90 days after the proposed revisions are finalized.

Last fall, CFPB Director Richard Cordray reached out to NAFCU President and CEO Fred Becker to seek input on the regulatory burden the remittance rule posed to credit unions. During that call, Cordray noted particular interest in the extent to which the rule would cause credit unions to cease offering international remittances.

Currently, the CFPB rule exempts institutions handling no more than 100 remittances a year form the new requirements. NAFCU has suggested that it be raised to 600 transactions a year. It has warned that under the current threshold, credit unions that handle a small number of remittances could be forced to cease offering the service to avoid the added compliance burden.

NAFCU continues to seek further improvements in the rule. It is preparing a Regulatory Alert for members.