CFPB Director Says Bureau Will Examine TRID Effectiveness
January 17, 2019
The new director of the Consumer Financial Protection Bureau (CFPB) indicated the bureau plans to examine how title fees are disclosed under the TILA-RESPA Integrated Disclosure (TRID) rule.
In a letter to Sen. John Hoeven (R-N.D.), CFPB Director Kathleen Kraninger said the bureau shares the congressman’s goal that consumers should receive clear and accurate information regarding the cost of their real estate transactions.
Hoeven and other senators informed Director Kraninger in a December letter that under current regulation, the CFPB does not allow title insurance companies to disclose available discounts for loan policies on the government mandated disclosures. This results in the inaccurate disclosure of title insurance premiums in about half of the states.
Director Kraninger indicated that under the Dodd-Frank Act, the CFPB is required to assess significant rules it issues and publish a report on its findings within five years of the rule’s effective date. In her letter, Kraninger wrote that the bureau plans to launch an assessment of the TRID rule, “which will provide an opportunity for the bureau to study whether the rule has been effective in achieve its states purposes.”
“This assessment includes assuring that consumers are provided with timely and understandable information to make responsible decisions about financial transactions,” Kraninger wrote.
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