CFPB Seeks Comment on Loan Originator Rules

The Consumer Financial Protection Bureau (“CFPB”) is conducting a review of Regulation Z’s Loan Originator Rules (the “Rules”) pursuant to section 610 of the Regulatory Flexibility Act.  Regulation Z, which implements the Truth in Lending Act (TILA), includes certain requirements regarding loan originator compensation. The CFPB is seeking comment on the Rules, in particular the economic impact of the Rules on small entities.  

Specifically, the CFPB is asking for input on the following topics:

• The continued need for the Rules;

• The complexity of the Rules;

• The extent to which the Rules overlap, duplicate or conflict with other Federal rules and/or state and local rules; and

• The degree to which technology, market conditions, or other factors have changed since the Rules were last evaluated, including the economic impact of the Rules on small entities and how the impact of the Rules differ by origination channel, product type or other market segment. 

The Notice and Request for comment was published in the Federal Register today, and any comments must be received on or before May 1, 2023, 45 days after publication.  To read the notice, please visit CFPB Notice of Review and Request for Comment - Loan Originator Rules.