Sens. Warner, Scott Urge CFPB to Consider QM Rule Delay

Sens. Mark Warner (D-Va.) and Tim Scott (R-S.C.) today urged the Consumer Financial Protection Bureau to reconsider its decision to postpone the effective date for the General Qualified Mortgage final rule from July 1, to Oct. 1, 2022, and extend the temporary “GSE patch.” The lawmakers raised concerns about a recent announcement from the GSEs, which confirmed that “they will not purchase QM loans under the GSE patch after July 1, 2021.”

Warner and Scott also echoed similar sentiments raised by the American Bankers Association in a comment letter earlier this month, including that the final rule “was developed as part of a multi-year, data-driven process that included a broad coalition of financial institutions, consumer advocate groups, and civil rights organizations. . . . We urge the bureau to allow the General QM final rule to proceed as intended and commit to a longer-term approach to monitoring the broader housing market implications of mortgage lending under the rule.

The CFPB this afternoon released its final rule, officially postponing the rule until Oct. 1, 2022.