CFPB Issues Statement on QM Rule Compliance Deadlines

As the Consumer Financial Protection Bureau considers whether to revisit its recent final rules regarding the definition of Qualified Mortgage and the establishment of a “seasoned QM” category of loans, it issued a statement today addressing the compliance deadlines associated with these rules. The statement also addresses the temporary “GSE patch” that was set to expire on the compliance date of the General QM final rule.

“The bureau is considering whether to initiate a rulemaking to revisit the Seasoned QM Final Rule,” the statement noted. “If the bureau decides to do so, it expects that it will consider in that rulemaking whether any potential final rule revoking or amending the Seasoned QM Final Rule should affect covered transactions for which an application was received during the period from March 1, 2021, until the effective date of such a final rule.”

In addition, the bureau said that it “expect to issue shortly a proposed rule that would delay the July 1, 2021 mandatory compliance date of the General QM final rule.” Creditors would then be able to use “either the current General QM loan definition or the revised General QM loan definition for applications received during the period from March 1, 2021, until the delayed mandatory compliance date,” the CFPB said. The GSE patch would also remain in effect until the new mandatory compliance date, or until the GSEs exited conservatorship prior to that date.

The CFPB also updated its small entity compliance guide and other compliance aids on the QM rule.