By David Lykken
Special to MPA
Recently, there has been speculation that a grace period may be given to the industry for the implementation of the TILA RESPA Integrated Disclosure rules. Some have lobbied for such a grace period in order to have a more seamless transition into the new standards. Even though the industry has had nearly two years to make these adjustments, should we still get a grace period?
On my Lykken on Lending broadcast last week, I was talking this over with a cohost--Alice Alvee of Indecomm Mortgage U--and she made some interesting points. Maybe there are questions the industry had that just got answered too late. As a result, perhaps there has been some lag in the implementing the appropriate programming for lenders. Maybe the industry hasn't been completely clear on how to make the transition for that entire two years and we at least deserve some leniency in making errors as we attempt to implement the new procedures for TRID.
Here's my thinking: we can hope for an extension of some sort but we shouldn't expect it. While we may support and join the lobby for more time, we still need to make sure we're doing everything we can to prepare as if no grace will be given. Will you be prepared for TRID by this Fall? If not, there are plenty of training programs out there to help you prepare in a hurry. I would recommend them checking them out. As they say, hope for the best, but plan for the worst.
A regular contributor on CNBC and Fox Business News, David also hosts a successful weekly radio program called “Lykken On Lending” that is heard each Monday at noon (Central Standard Time) by thousands of mortgage professionals . Recently, he started producing a one-minute video called “Today’s Mortgage Minute” that appears on hundreds of television, radio and newspaper websites daily across the United States.