Newsroom

FOR IMMEDIATE RELEASE
May 25, 2011

WASHINGTON –– National Association of Federal Credit Unions (NAFCU) Executive Vice President of Government Affairs Dan Berger, Vice President of Regulatory Affairs and General Counsel Carrie Hunt and Associate Director of Regulatory Affairs Dillon Shea and a team of credit union leaders met today with Assistant Director for Community Banks and Credit Unions Elizabeth Vale of the Consumer Financial Protection Bureau (CFPB) to discuss prototype mortgage disclosure forms that would replace existing disclosures required under the Truth in Lending Act (TILA) and the Real Estate Settlement Procedures Act (RESPA).

"We welcomed the opportunity to meet with the CFPB to underscore the vital role credit unions play in meeting their members' mortgage needs. The prototype forms the CFPB released are a positive first step in simplifying an increasingly complex mortgage disclosure regime," said Shea. "Given the current regulatory environment, there are a number of major policy issues and technical matters that need to be addressed as the process evolves. NAFCU appreciates the CFPB's collaborative approach to this process and looks forward to working with the agency in the coming months with the goal of reducing regulatory burdens for credit unions."

Credit union participants included Lynette Smith of Washington Gas Light FCU, Naghmeh Hannon of Lafayette FCU, Kristy Guice of NRL FCU, Faith Miller and Katie Gillogly of State Department FCU, Cynthia Ryan of Bank-Fund Staff FCU, Karen Pearson of Navy FCU and Jennifer Mullin of Northwest FCU.

The group also discussed how to ensure the information disclosed can be better understood. In addition, discussion also focused on technical issues such as placement and explanation of the APR disclosure, how to present the components included in the total monthly payment and how to explain closing costs (some of which may vary among different third-party settlement service providers).

The CFPB is accepting input on the proposed mortgage disclosure forms through a "Know Before You Owe" project that will be conducted online and in forums in key cities throughout the U.S.

Under the Dodd-Frank Act, the CFPB must issue proposed forms and implementing regulations by July 2012.

NAFCU is the only national organization that focuses exclusively on federal issues affecting credit unions, representing its members before the federal government and the public.

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Contact:Patty Briotta|703-842-2820|pbriotta@nafcu.org