By Linda Prevost | The New York Times
New rules intended to make mortgage terms more transparent and easier for consumers to understand are scheduled to take effect on Aug. 1. But although the changes have been in the works for almost two years, the lending industry says it is not prepared for the shift.
So with two months to go, banks are asking for a delay in enforcement.
Outwardly, the new requirements seem fairly simple. Instead of the four different mortgage disclosure forms now required under the Truth in Lending and Real Estate Settlement Procedures Acts, borrowers will receive an initial Loan Estimate at the time of application, and a Closing Disclosure shortly before they sign off.
