Small-entity compliance guide on ATR/QM rule updated by bureau

Updates to the small-entity compliance guide on the ability-to-repay/qualified mortgage (QM) rule were issued Tuesday by the federal agency for consumer financial protection.

The updated guide from the Consumer Financial Protection Bureau (CFPB) reflects amendments to last year’s final rules to extend the government-sponsored enterprise (GSE) patch, or what the bureau now calls the “temporary GSE QM rule,” used for loans that are eligible for purchase or guarantee by Fannie Mae or Freddie Mac; creating a seasoned QM definition; and revising what is now called the general QM definition.

The CFPB announced its compliance guide updates in an email that also included a statement regarding potential future action on the seasoned QM rule and revised general QM rule. The bureau is considering whether to revoke or revise the seasoned QM rule and is planning to propose a delay in the July 1 mandatory compliance date for the general QM rule; this delay, if finalized, would also affect the expiration of the temporary GSE QM rule.

Ability-to-Repay and Qualified Mortgage Rule Small-Entity Compliance Guide, February 2021

RR: CFPB may ‘revisit’ seasoned QM final rule, will ‘shortly’ propose delayed compliance date for general QM rule (Feb. 24, 2021)