Ability to Repay and Qualified Mortgage Standards Under the Truth in Lending Act (Regulation Z) (Concurrent Proposal)

Forms and Documents

Document	Type	Status	Availability
PRA Supporting Statement - ATR-QM Concurrent -FINAL.pdf	Supporting Statement A	Uploaded 2013-05-29	Available

IC Document Collections

IC ID	Collection	Type	Status	Form
205622	One-Time Costs: Record Retention Requirement (Non-Depository Institutions & Privately-Insured Credit Unions)		Unchanged
205621	One-Time Costs: Ability-to-Repay Verification and Documentation Requirements (Non-Depository Institutions & Privately-Insured Credit Unions)		Unchanged
205620	One-Time Costs: Record Retention Requirement (Depository Institutions)		Unchanged
205619	One-Time Costs: Ability-to-Repay Verification and Documentation Requirements (Depository Institutions)		Unchanged

ICR Details

OMB Control No: 3170-0035	ICR Reference No: 201305-3170-002
Status: Historical Active	Previous ICR Reference No: 201301-3170-009
Agency/Subagency: CFPB	Agency Tracking No: 3170-0015
Title: Ability to Repay and Qualified Mortgage Standards Under the Truth in Lending Act (Regulation Z) (Concurrent Proposal)
Type of Information Collection: New collection (Request for a new OMB Control Number)	Common Form ICR:  No
Type of Review Request: Regular
OIRA Conclusion Action: Approved without change	Conclusion Date: 07/12/2013
	Date Received in OIRA: 06/12/2013
Terms of Clearance:

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	07/31/2016	36 Months From Approved
Responses	5,998	0	0
Time Burden (Hours)	1,564	0	0
Cost Burden (Dollars)	0	0	0

---

Abstract: The Dodd-Frank Act amended the Truth in Lending Act (TILA) to mandate minimum standards for consideration of a consumer's repayment ability for creditors originating certain closed-end, residential mortgages. 15 U.S.C. 1639c. New TILA section 129C generally prohibits a creditor from making a residential mortgage loan unless the creditor makes a reasonable and good faith determination, based on verified and documented information, that the consumer has a reasonable ability to repay the loan according to its terms. To provide creditors more certainty about their potential liability under the ability-to-repay standards while protecting consumers from unaffordable loans, the Dodd-Frank Act creates a presumption of compliance with the ability-to-pay requirement when creditors make

---

Authorizing Statute(s): US Code: 15 USC 1601 Name of Law: The Truth in Lending Act (TILA)
  

Citations for New Statutory Requirements: None

---

Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
3170-AA34	Final or interim final rulemaking	78 FR 35429	06/12/2013

---

Federal Register Notices & Comments

Did the Agency receive public comments on this ICR? No

---

Number of Information Collection (IC) in this ICR: 4

IC Title	Form No.	Form Name
One-Time Costs: Ability-to-Repay Verification and Documentation Requirements (Non-Depository Institutions & Privately-Insured Credit Unions)
One-Time Costs: Record Retention Requirement (Non-Depository Institutions & Privately-Insured Credit Unions)
One-Time Costs: Ability-to-Repay Verification and Documentation Requirements (Depository Institutions)
One-Time Costs: Record Retention Requirement (Depository Institutions)

---

ICR Summary of Burden

	Total Approved	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	5,998	0	0	5,998	0	0
Annual Time Burden (Hours)	1,564	0	0	1,564	0	0
Annual Cost Burden (Dollars)	0	0	0	0	0	0

Burden increases because of Program Change due to Agency Discretion: Yes

Burden Increase Due to: Changing Regulations

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: The Dodd-Frank Act created new TILA section 129C, which establishes minimum standards for consideration of a consumer's repayment ability for creditors originating certain closed-end, residential mortgages. 15 U.S.C. 1639c. Under the ability-to-repay requirements, a creditor is prohibited from making a covered mortgage loan unless the creditor makes a reasonable and good faith determination, at or before consummation, based on verified and documented information, that the consumer will have a reasonable ability to repay the loan, according to its terms, including any mortgage-related obligations (such as property taxes and mortgage insurance). To provide creditors more certainty about their potential liability under the ability-to-repay standards while protecting consumers from unaffordable loans, the Dodd-Frank Act creates a presumption of compliance with the ability-to-repay requirement when creditors make

---

Annual Cost to Federal Government: $0

Does this IC contain surveys, censuses, or employ statistical methods? No

Is the Supporting Statement intended to be a Privacy Impact Assessment required by the E-Government Act of 2002? No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? Yes

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

Is this ICR related to the Pandemic Response? Uncollected

---

Common Form ICR:  No

---

On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).

The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(i) Why the information is being collected;

(ii) Use of information;

(iii) Burden estimate;

(iv) Nature of response (voluntary, required for a benefit, or mandatory);

(v) Nature and extent of confidentiality; and

(vi) Need to display currently valid OMB control number;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.

Certification Date: 06/12/2013

---