Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Washington
NEW: NCUA Reg Alert Covers QM Rule
ALEXANDRIA, Va. (1/2/14, UPDATED: 3:20 P.M. ET)--Credit unions that make closed-end consumer loans secured by a dwelling must comply with the Consumer Financial Protection Bureau's new Ability-to-Repay/Qualified Mortgage (ATR/QM) rule for loan applications received on or after Jan. 10, the National Credit Union Administration reminds in its first Regulatory Alert on 2014.

The rule requires credit unions to assess a member's ability to repay for virtually all closed-end residential mortgage loans secured by the member's dwelling and provides your credit union with certain protections from legal liability for compliance with the rule, the agency said in a release.

The NCUA alert includes details on:
  • Which loans are covered by the rule;
  • Basic ability-to-repay requirements;
  • How QMs provide a safe harbor;
  • The different types of QMs;
  • Caps on QM points and fees;
  • How QMs protect against liability;
  • What makes a QM loan higher priced;
  • When prepayment penalties are allowed for QM loans; and
  • What other guidance has been made available.
A supervisory letter with compliance guidance for credit unions and instructions for agency examiners will be released soon, the agency added.

NewsNow will feature more on this release in tomorrow's issue.
Other Resources

NCUA Release
RSS print
News Now LiveWire
.@USATODAY print edition features #creditunion membership march to #100mm. Zoom in on lower left hand corner #NewsNow http://t.co/Xv8fyX7ces
13 minutes ago
No special assessment for ASI member #creditunions in 2014. See #NewsNow http://t.co/NwL9eJwbiQ
25 minutes ago
.@MICreditUnions is recruiting member #creditunions to participate in a campaign to help state residents thrive in retirement.
35 minutes ago
#NewsNow: How @MyCUgov makes financial education resources available (Pt1 in a 2-Pt series) http://t.co/XzvD5sj8Am
38 minutes ago
Consumer spending, income slip in July #Market #NewsNow http://t.co/GHFviIePLS
2 hours ago