The CFPB adopted rules amending the General Qualified Mortgage (QM) definition under the QM/ATR provisions set forth in the federal Truth-in-Lending Act. Among other things, the rule adoption removes the General QM loan definition’s 43% DTI limit and replaces it with price-based thresholds. The rule adoption also permanently adopts the temporary amendments to the General QM definition and the GSE QM definition announced on October 20, 2020. The adopted rules become effective 60 days after publication in the Federal Register (around March 10, 2021). The mandatory compliance date for the adopted rules is July 1, 2021.
Click to view the CFPB Rule Adoption – General QM-ATR Update: https://www.tenaco.com/wp-content/uploads/2020/12/CFPB-Rule-Adoption-General-QM-ATR-Update.pdf
