CFPB announces eClosing pilot program participants

more+
less-

The CFPB has announced the participants for its mortgage eClosing pilot program, a three-month pilot set to begin later this year. The CFPB’s plans to conduct the pilot were unveiled at a forum on the mortgage closing process held in April 2014, together with the CFPB’s release of a report on the “major pain points associated with the closing process” and guidelines for the pilot program.

The pilot program is intended to explore how the increased use of technology during the mortgage closing process can address those “pain points,” affect consumer understanding and engagement, and save time and money for participants. It is part of the CFPB’s “Know Before You Owe” mortgage initiative.

The CFPB has described the 12 participants it has selected for the pilot as “a mix of technology vendors providing eClosing solutions, and creditors that have contracted to close loans using those solutions.”

The eClosing features that the CFPB plans to study in the pilot include (1) how pre-closing educational materials such as document summaries, term definitions, or process explanations can help improve the closing process for consumers, including whether the order of the documents changes the consumer experience, (2) various technologies that would let consumers see the entire package of closing documents ahead of time, and (3) how eClosings can help consumers and industry “save time and money by preventing last-minute surprises and unnecessary bottlenecks caused by outdated processes.”


DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Ballard Spahr LLP | Attorney Advertising

Written by:

more+
less-

Ballard Spahr LLP on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:

Sign up to create your digest using LinkedIn*

*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.
×
Loading...
×
×