Institutions originating fewer than 100 closed-end mortgage loans in either of the two preceding calendar years will not have to report data about closed-end mortgage loans, beginning July 1, according to a final rule scheduled to be published Tuesday.
In filings with the Federal Register Monday, the Consumer Financial Protection Bureau (CFPB) said its amendments to Regulation C (which implements the Home Mortgage Disclosure Act, HMDA) would also set the threshold for reporting data about open-end lines of credit at 200 open-end lines of credit, effective Jan. 1, 2022. The current, temporary threshold is 500 open-end lines of credit.
A year ago, the bureau reopened the comment period on amendments to HMDA reporting under Reg C. It also proposed two alternatives to permanently increase the coverage threshold from 25 to either 50 or 100 closed-end mortgage loans. For open-end lines of credit, the proposal extended for two years the current temporary coverage threshold of 500 open-end lines of credit. The bureau said once that extension expires, it proposes that the open-end threshold would be set permanently at 200 open-end lines of credit.
In the final rule scheduled to be published Tuesday, the bureau has ultimately adopted the 100 closed-end mortgage loan reporting and adopted the 200 open-end lines of credit threshold.
Last year, the bureau said the changes are are aimed at providing relief to smaller lenders (such as credit unions and community banks) from HMDA’s data reporting requirements.
Final rule and interpretation: Home Mortgage Disclosure (Regulation C)