View Rule

View EO 12866 Meetings Printer-Friendly Version     Download RIN Data in XML

CFPB RIN: 3170-AA11 Publication ID: Spring 2014 
Title: Amendments to TILA Concerning Appraisals  
Abstract: The CFPB has participated in interagency rulemaking processes with the Board of Governors of the Federal Reserve System (Board), the Office of the Comptroller of the Currency (OCC), the Federal Deposit Insurance Corporation (FDIC), the National Credit Union Administration (NCUA), and the Federal Housing Finance Agency (FHFA) (collectively, the Agencies) to develop proposed regulations to implement the amendments made by the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) to the Truth in Lending Act (TILA) concerning appraisals. The amendments made by the Dodd-Frank Act to TILA require creditors to obtain an appraisal, including a physical property visit by a certified appraiser, before extending higher-risk mortgage loans. The TILA amendments also contain new provisions concerning appraisal independence and charging of customary and reasonable fees. As required by the Dodd-Frank Act, the Board published an interim final rule implementing the mandatory requirements relating to appraisal independence and the charging of customary and reasonable fees on October 28, 2010. Under TILA, this rule is deemed an interagency rule. Through the interagency process, the Agencies on January 18, 2013, issued a final rule (published in the Federal Register on February 13, 2013) relating to appraisal requirements for higher-risk mortgages. The Agencies amended Regulation Z, which implements TILA, to provide that, for mortgages with an annual percentage rate that exceeds the average prime offer rate by a specified percentage, unless an exemption applies (such as for qualified mortgages and certain other types of transactions specified in the final rule), creditors must obtain an appraisal or appraisals meeting certain specified standards, provide applicants with a notification regarding the use of the appraisals, and give applicants a copy of the written appraisals used. The Agencies on December 12, 2013, issued a final rule (published in the Federal Register on December 26, 2013) adopting additional exemptions from this rule for certain refinance transactions, smaller-dollar loans, and certain manufactured housing transactions. 
Agency: Consumer Financial Protection Bureau(CFPB)  Priority: Substantive, Nonsignificant 
RIN Status: Previously published in the Unified Agenda Agenda Stage of Rulemaking: Completed Actions 
Major: No  Unfunded Mandates: No 
CFR Citation: 12 CFR 1026   
Legal Authority: 15 USC 1639e    15 USC 1639h   
Legal Deadline:
Action Source Description Date
Final  Statutory    01/21/2013 
Action Date FR Cite
Interim Final Rule With Request For Public Comment (Appraisal Independence)  10/28/2010  75 FR 66554   
Interim Final Rule Comment Period End (Appraisal Independence)  12/27/2010 
NPRM (Higher-Risk Mortgages)  09/05/2012  77 FR 54722   
NPRM Comment Period End (Higher-Risk Mortgages)  10/15/2012 
Final Rule (Higher-Risk Mortgages)  02/13/2013  78 FR 10368   
Supplemental NPRM (Higher-Risk Mortgages)  08/08/2013  78 FR 48547   
Supplemental NPRM Comment Period End (Higher-Risk Mortgages)  09/09/2013 
Final Rule (Higher-Risk Mortgages)  12/26/2013  78 FR 78519   
Regulatory Flexibility Analysis Required: No  Government Levels Affected: None 
Federalism: No 
Included in the Regulatory Plan: No 
RIN Data Printed in the FR: No 
Related Agencies: Joint: FRS, TREAS/OCC, FDIC, NCUA, FHFA; 
Agency Contact:
David Friend
Office of Regulations
Consumer Financial Protection Bureau
Phone:202 435-7700

Owen Bonheimer
Office of Supervision Policy
Consumer Financial Protection Bureau
Washington, DC 20552
Phone:202 435-7700