The Consumer Financial Protection Bureau announced it is extending by three days the comment period on its notice of proposed rulemaking to create a new category of seasoned qualified mortgages. The comment period was changed from Sept. 28, 2020 to Oct. 1, 2020 in order to accommodate Yom Kippur.
The bureau on Aug. 18, 2020 announced the notice of proposed rulemaking to create seasoned qualified mortgages to encourage innovation and help ensure access to responsible, affordable credit in the mortgage market.
The notice of proposed rulemaking states that to be considered a seasoned qualified mortgage, the loan would have to be a first-lien, fixed-rate covered transaction that has met specific performance requirements for more than a 36-month seasoning period. Seasoned qualified mortgages would only be available for covered transactions that have no more than two 30-day delinquencies and no delinquencies of 60 or more days at the end of the seasoning period.