Washington, DC (PRWEB) June 03, 2015
Independent Community Bankers of America® (ICBA) President and CEO Camden R. Fine released this statement following the Consumer Financial Protection Bureau’s announcement on its implementation of the TILA-RESPA Integrated Disclosure (TRID) rule, which takes effect Aug. 1.
“While ICBA appreciates the CFPB’s announcement that it will be sensitive to progress made by institutions that have focused on making a good-faith effort to comply with the bureau’s TILA-RESPA Integrated Disclosure rule, ICBA prefers a more defined enforcement and liability grace period through 2015 for those complying in good faith with this complex regulation. Community banks will continue to face challenges in complying with the regulation, especially those banks that have not yet received the necessary software updates to their loan processing and closing systems from service providers. These banks will face the prospect of completing installation, testing and employee training in a too-short period of time.
“As ICBA has advocated in letters and meetings with the CFPB and with Congress, such a grace period would allow the bureau to address issues with the rule, such as liability provisions under the RESPA-TILA integration, and provide additional guidance. For that reason, ICBA has also supported legislation introduced in the House, H.R. 2213, that would provide an enforcement and liability grace period for those making a good-faith effort to comply with the TRID regulation. Community bankers remain concerned that the implementation challenges could have negative consequences for some borrowers.
“ICBA will continue working with the CFPB and Congress to support a successful implementation of the TRID regulation.”
The Independent Community Bankers of America®, the nation’s voice for more than 6,000 community banks of all sizes and charter types, is dedicated exclusively to representing the interests of the community banking industry and its membership through effective advocacy, best-in-class education and high-quality products and services. For more information, visit http://www.icba.org.