CFPB’s New Mortgage Disclosure Initiatives Gaining Traction

""The Consumer Financial Protection Bureau"":http://www.consumerfinance.gov/ has a strong supporter in the ""National Association of Exclusive Buyer Agents"":http://www.naeba.org/ (NAEBA). Recently reviewing the updated mortgage disclosure forms produced by the CFPB, the NAEBA responded to the government organization with a letter of commendation.

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Citing the CFPB's thorough attention to potential borrowers needs within the new paperwork, which was created as part of the ""Know Before You Owe"" campaign, the NAEBA released its statement noting the efforts of the organization. However, the NAEBA also submitted some suggestions to the CFPB based on its evaluation of the mortgage disclosure forms.

The group's recommendations included more clear and transparent home loan forms, an expansion of the paperwork's cost calculations from five up to 10 years, better separation of lender versus non-lender costs within the document, clarification of the time-sensitive nature of price comparisons, and improved information regarding the early stages of

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shopping for a mortgage. The NAEBA also expressed its support for a future CFPB initiative that would give consumers an online calculator to perform price comparisons and take an extended look at the accumulated cost of the mortgage loan over time.

Michael Crowley, the current NAEBA president, said of the CFPB's new disclosure forms, ""The Consumer Financial Protection Bureau stands as a strong partner in our efforts to help consumers understand the complexities of the home buying process.├âÔÇÜ├é┬áIn seeking to provide everyone with all the information they need in clear, transparent English, their work serves the interests of both business and consumers. ├âÔÇÜ├é┬áIt's a win-win.""

The commentary from the NAEBA comes on the heels of a previously released report the organization delivered to the CFPB's former acting director, Elizabeth Warren, calling for regulations to help facilitate the conversation between consumers and agents. Statements from the NAEBA reflect the group's objective, which is raising the awareness, responsibility, and compliance of borrowers throughout the mortgage process, with a special focus on pre-acquisition measures.

Continuing his commentary on the matter, Crowley said, ""In the wake of the debt ceiling debate, it is clear that many political leaders in Washington, D.C., have overlooked one quick and easy solution to boosting housing sales and reducing foreclosures. That solution is increased transparency and simplicity in the mortgage disclosure process. ├âÔÇÜ├é┬áFortunately, the Consumer Financial Protection Bureau, as part of its requirements under Dodd-Frank, has taken critical steps to promote this solution through their 'Know Before You Owe' campaign.""