The Consumer Financial Protection Bureau (CFPB) finalized the delay of the mandatory compliance date of the General Qualified Mortgage (QM) final rule to Oct. 1, 2022 (from July 1, 2021) Tuesday. The CFPB proposed the delay in February, and CUNA submitted comments with concerns about the uncertainty caused by the CFPB’s stated intention to review and revise the General QM definition.
CUNA believes the CFPB’s statement that it will review this rule and may initiate another rulemaking will have “a significant chilling effect” on compliance efforts to implement the General QM Final Rule on the part of creditors, their vendors, and secondary market participants.
The letter strongly urged the CFPB, if it does initiate another rulemaking process, to finalize an implementation period in line with these recommendations to prevent disruption of the market and to protect consumers.
CUNA also wrote to Treasury Secretary Janet Yellen last week noting that the delay of the mandatory compliance date of General QM final rule conflicts with policy changes issued by Fannie Mae and Freddie Mac prompted by a Preferred Stock Purchase Agreement issued by Treasury. Those policies require implementation of the rule by July 1, 2021.