To All SLG Clients and Affiliates.
From: Spencer Scheer
Date: August 4, 2016
Subject: Client Alert: From the Scheer Law Group:
CFPB Finalizes Amendments and Updates to Mortgage Servicing Rules and Issues Advisory Opinion on FDCPA conflicts with Servicing Rules
Today, the CFPB finished what it started back in 2014, and finalized Amendments and updates to the existing TILA/RESPA Mortgage Servicing Rules. The CFPB also issued an advisory Ruling and established a Safe Harbor for mortgage servicers, insulating them from FDCPA liability for certain actions taken in conformity with the requirements of the new servicing rules.
The changes are far reaching and substantial. Affected lenders and servicers must take note of them and prepare. The good news is that most of the provisions of the final rule will take effect 12 months after publication in the Federal Register. The provisions relating to successors in interest and the provisions relating to periodic statements for borrowers in bankruptcy will take effect 18 months after publication in the Federal Register. This gives time to prepare and implement policies and procedures. Believe me, you need to have them and they will need to be updated to show compliance with the new rules and amendments.
The following are some of the issues addressed. Go the SLG website at www.scheerlawgroup.com for more information.. SLG had previously provided ongoing coverage of the proposed changes. Many of the prior proposed changes to the rules originally proposed in 2014, have been implemented in the new rules. However, there have been substantial changes since then and the new rules must be reviewed carefully. SLG will be providing its clients and affiliates with a detailed analysis of the changes in the coming months to help prepare and effectively implement the changes.
For more expansive description of the changes from the CFPB and a link to the entire rules changes, click here: CFPBSummaryofAmendmentstoServicingRules(8416)
Please call me if you would like to discuss.
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