On August 4, 2016, the CFPB issued its final mortgage servicing rule pursuant to
Regulation X of the Real Estate Settlement Procedures Act (RESPA)
and Regulation Z of the Truth in Lending Act (TILA). The final rule
provides greater foreclosure protections to borrowers and requires
further transparency between borrowers and mortgage servicers. The
final rule provides borrowers with more guidance on the status of
their loss mitigation efforts, and also expands the protections
borrowers' successors in interest (i.e., the
borrowers' surviving family members).
In January 2013, the CFPB pursuant to its authority under the
Dodd-Frank Wall Street Reform and Consumer Protection Act,
established rules for mortgage servicers. Thereafter, in November
2014, the CFPB proposed amendments, and last week, on August 4,
2016, the CFPB issued its new rule for mortgage servicers, adopting
many of the amendments proposed in November 2014. Below is an
overview of some of the more important
