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RESPA and the Truth In Lending Act

The Dodd - Frank Wall Street Reform and Consumer Protection Act requires the new Bureau of Consumer Financial Protection to combine consumer disclosures under RESPA and TILA into one form.

On May 17, 2011, the Consumer Financial Protection Bureau (CFPB) outlined an extensive process for public and industry review that will include multiple "pre comment" opportunities. Those with an interest in this process should sign up for reminders at the link below. After they finish the pre-comment period, the CFPB will issue a proposed rule.

View forms and provide comments during the process.


The Real Estate Settlement Procedures Act (RESPA) was enacted in 1974 to provide consumers with improved disclosures of settlement costs and to reduce the costs of closing by the elimination of referral fees and kickbacks. Through the years, the Department of Housing and Urban Development (HUD) has issued regulations and policy statements to provide RESPA guidance to industry and consumers alike.

On November 17, 2008, HUD published a new final rule “To Simplify and Improve the Process of Obtaining Mortgages and Reduce Consumer Settlement Costs.” The rule mandates use of a new Good Faith Estimate (GFE) and HUD-1 which went into effect on January 1, 2010.


Congress enacted the Truth in Lending (TILA) based on findings that economic stability would be enhanced and competition among consumer credit providers would be strengthened by the informed use of credit resulting from consumers' awareness of the cost of credit. One of the purposes of TILA is to provide meaningful disclosure of credit terms to enable consumers to compare credit terms available in the marketplace more readily and avoid the uninformed use of credit.