The Consumer Financial Protection Bureau's (CFPB) TILA-RESPA Integrated Disclosures (TRID) "Know Before You Owe" rule integrates federal mortgage forms required under the Truth-in-Lending Act (TILA) and Real Estate Settlement and Procedures Act (RESPA). A Loan Estimate replaces the Good Faith Estimate and early TIL disclosure, while a Closing Disclosure replaces the HUD-1 and final TIL disclosure. This rule went into effect on October 3, 2016.
The Consumer Financial Protection Bureau on July 29 released amendments to TRID. The proposed changes correct technical problems, add clarity and incorporate informal guidance provided by the bureau in webinars into the official staff commentary. The amendments do not correct the inaccurate disclosure of title insurance premiums. The CFPB will accept comments to the proposed amendments until Oct. 18, 2016. Click here for more information.
The CFPB has created a several resources and tools to help financial institutions, service providers, and other entities understand and implement these rules.
CFPB Rule & Forms
TRID Final Rule for Integrated Mortgage Disclosures
Read the entire rule from the CFPB
Loan Estimate Example
When a homebuyer receives a Loan Estimate, it should reflect a particular loan discussed with a lender.
Closing Disclosure Example
Lenders are required to provide your Closing Disclosure three business days before your scheduled closing.
Guide to the Loan Estimate and Closing Disclosure
The Bureau updates this guide on a periodic basis to reflect finalized clarifications to the rule which impacts guide content, as well as administrative updates.
Small Entity Compliance Guide
This guide highlights issues that small creditors, and those that work with them, might find helpful to consider when implementing the rule.
Models and Samples of Completed Forms
Resources to help industry participants understand, implement, and comply with the Know Before You Owe mortgage disclosure rules.
CFPB Factsheets & Resources
Factsheet for Integrated Mortgage Disclosures
Factsheet on the proposed "Know Before You Owe" rule
CFPB Testing Process
Factsheet on the CFPB's testing process for the proposed "Know Before You Owe" rule.
TILA RESPA Integration Disclosure Timeline Example
Illustration, in calendar form, the process and timing of disclosures for an example real estate purchase transaction under the TILA RESPA Integrated Disclosure rule.
TRID Training Resources from ALTA
The TILA-RESPA Integrated Disclosures Rule Training DVD
ALTA's Land Title Institute created a training DVD to help you prepare for the disclosures. This 2 1/2 hour training DVD includes six modules that will help you understand the disclosures, including an introduction, what led to the development of the new disclosures, a step-by-step explanation of the Loan Estimate and Closing Disclosure, a discussion on how business processes have changed, walk through how business relationships have changed and how data will be shared, and additional resources and next steps.
Additional TRID Documents & Resources
ALTA Settlement Statements
ALTA has developed standardized ALTA Settlement Statements for title insurance and settlement companies to use to itemize all the fees and charges that both the homebuyer and seller must pay during the settlement process of a housing transaction. Settlement statements are currently used in the marketplace in conjunction with the federal HUD-1. The ALTA Settlement Statement is not meant to replace the Consumer Financial Protection Bureau's Closing Disclosure, which went into effect on Oct. 3, 2015. Four versions of the ALTA Settlement Statement are available.
This information is not a substitute for legal advice, is for your reference only, and is not intended to represent the only approach to any particular issue. This information should not be construed as legal, financial or business advice, and users should consult legal counsel and subject-matter experts to be sure that the policies adopted and implemented meet the requirements unique to your company.
Freddie Mac and Fannie Mae have released a common industry dataset, called the Uniform Closing Dataset, which leverages and maps to Mortgage Industry Standards Maintenance Organization (MISMO) data standards, to support implementation of the Closing Disclosure.
- Fannie Mae Uniform Closing Dataset resources
- Freddie Mac Uniform Closing Dataset resources
- UCD Tutorial
TRID Presentations & Webinars
This Is What It Looks LikeAugust 2015
- Download a copy of the presentation
- TRID Preparedness Checklist
- Title & Lender TRID Processes Questionnaire
- Download a copy of the presentation
Follow ALTA's blog for updates and analysis of the rule, as well as answers to questions about the disclosures that were submitted to ALTA. Sample posts:
- Loans that the Integrated Mortgage Disclosures Must be Used
- How to Comply with the Closing Disclosure's Three-day Rule
What You Can Do
Join the Title Action Network to keep up-to-date about the rule and how you can take action.
Report RESPA Violations
If you want to report a possible violation of the Real Estate Settlement and Procedures Act (RESPA), email firstname.lastname@example.org. Include any evidence and contact information so that investigators may contact you. To the extent consistent with law enforcement needs, the Bureau will not disclose your identity and will maintain confidentiality as permitted by federal laws.