Alert October 21, 2008

FRB Issues Rule That Changes Regulation C Price Reporting Requirements

The FRB published a final rule that amends Regulation C by revising the rules for reporting price information on higher-priced mortgage loans. The rule facilitates regulatory compliance by conforming the test for rate spread reporting under Regulation C to the definition of “higher-priced mortgage loans” under Regulation Z. The rule is effective October 1, 2009. Compliance is mandatory for loan applications taken on or after that date and for loans that close on or after January 1, 2010 (regardless of their application dates). Click here for the rule.