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CFPB Director Kathy Kraninger Tuesday spoke during the Women in Housing and Finance's 2020 Annual Symposium and provided updates on the bureau's recent housing policy efforts related to the Home Mortgage Disclosure Act (HMDA) and qualified mortgage (QM) rule. NAFCU Senior Regulatory Compliance Counsel Jennifer Aguilar and Senior Regulatory Affairs Counsel Kaley Schafer attended the virtual event.

In addition, Kraninger discussed ways to help consumers amid the coronavirus pandemic and the bureau’s perspective on fair lending as it relates to paycheck protection program (PPP) loans.

On HMDA, the CFPB in April issued its final rule to increase the reporting threshold for closed-end dwelling secured loans from 25 loans in the preceding two calendar years to 100 loans, which took effect July 1. Since then, it has released an updated version of its HMDA Small Entity Compliance Guide and new FAQs to clarify reporting requirements.

Kraninger also gave an update on the bureau's efforts to amend the general QM definition and provide an extension of the government-sponsored enterprise (GSE) patch until the new definition is finalized. She also announced the bureau's proposed rule related to seasoned qualified mortgages, released Tuesday afternoon, under which a loan would be converted to a QM if the borrower makes on-time payments over a certain amount of time.

On PPP, Kraninger said the bureau is reviewing whether fair lending practices should be applied to the program's loans; she indicated more information will be forthcoming. The PPP's authorization expired earlier this month, though Congress is considering ways to continue and improve the program in its Phase 4 negotiations.

The CFPB has also been active during the coronavirus pandemic to provide relief to financial institutions that are working with borrowers and resources to consumers on how to navigate the pandemic. During Tuesday's event, Kraninger encouraged institutions to amplify educational resources related to COVID-19 and consumers to work with their loan servicers if they are experiencing financial hardships.

Kraninger is slated to speak at NAFCU's upcoming Virtual Congressional Caucus; learn more about the event and register now.