CFPB TRID Sec. 16.6 - What does the rule on disclosing the Partial Payment Policy in mortgage transfer notices require?

Compliance > Regulation Z - TILA / TRID Specific > General Info
Q:  What does the rule on disclosing the Partial Payment Policy in mortgage transfer notices require?
 
A:  If a creditor is required by existing Regulation Z to provide mortgage transfer notices when the ownership of a mortgage loan is being transferred, the creditor must include in the notice information related to the partial payment policy that will apply to the mortgage loan.
 
This post-consummation Partial Payment Policy Disclosure is required for a closed-end consumer credit transaction secured by a dwelling or real property, other than a reverse mortgage. As defined by Regulation Z, a dwelling includes, but is not limited to, a mobile home or a cooperative unit. (§ 1026.2(a)(19))
 
 
This information can be found in the CFPB's TILA-RESPA Integrated Disclosure rule compliance guide - http://www.consumerfinance.gov/regulatory-implementation/tila-respa/
 

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