Richard Cordray, director of the Consumer Financial Protection Bureau (CFPB), recently joined Elizabeth Mendenhall, vice president-elect of the National Association of Realtors (NAR), to roll out a set of new online tools to help consumers prepare for the upcoming Know Before You Owe initiative, which will go into effect Oct. 3.
According to the CFPB, these new tools are meant to improve customers' understanding of the mortgage process, aid in comparison shopping and eliminate any surprises at the closing table.
‘Realtors play an important role in keeping consumers educated about changes in the home buying process, and that includes rules related to the Know Before You Owe initiative,’ says NAR's Mendenhall. ‘The journey to homeownership begins with Realtors, and CFPB's new online tools are a great resource for agents to help clients shop for a mortgage and prepare for the changes coming their way.’
This toolkit includes a guide to the new closing forms, a closing factsheet, a disclosure timeline and educational videos for consumers' use.
The event also hosted a panel of industry experts, including Patricia McClung, the CFPB's assistant director for mortgage markets.