The Mortgage Assistance Relief Service
Rule was created under section 626 of the 2009 Omnibus
Appropriations Act, Pub. L. No. 111-8, published as the MARS rule
under 16 CFR 322, and clarified by section 511 of the Credit Card
Accountability and Responsibility and Disclosure Act of 2009, Pub.
L. No. 111-24 (Credit CARD Act). The Dodd-Frank act (Pub. L.
111-203, Sec. 1097) transfers rulemaking authority and shared
enforcement authority to the CFPB under 12 CFR 1015. This rule
covers Mortgage Assistance Relief Service providers, which are
for-profit services which assist consumers who are struggling to
meet mortgage obligations and/or avoid foreclosure. The required
disclosures under Regulation O 12 CFR 1015 assist prospective
purchasers of Mortgage assistance relief services (MARS) in making
well-informed decisions and avoiding deceptive and unfair acts and
practices. The information that must be kept under Regulation O's
recordkeeping requirements is used by the Consumer Financial
Protection Bureau (CFPB) and the Federal Trade Commission (FTC) for
enforcement purposes and to ensure compliance by MARS providers
with Regulation O. The information is requested only on a
case-by-case basis.
PL:
Pub.L. 111 - 8 626 Name of Law: Omnibus Appropriations Act of
2009
PL:
Pub.L. 111 - 24 511 Name of Law: Credit Card Accountability and
Responsibility and Disclosure Act of 2009
PL:
Pub.L. 111 - 203 1097 Name of Law: Dodd-Frank Wall Street
Reform and Consumer Protection Act
Prior to this analysis, the
CFPB and FTC's ongoing burden for Regulation O was approximately
65,000 hours annually, of which one half, 32,500 hours, were
allocated to the CFPB. The drop in burden hours reflects a
significant reduction in the estimated MARS providers and the lack
of one-time startup costs associated with new entrants into the
market (due to the fact that there are not expected to be any new
market entrants in the next three years), as well as the lack of
rule modification and regulatory litigation related to non-attorney
MARS providers. The decrease in the estimated number of MARS
providers is consistent with this regulation causing a reduction in
apparent providers of mortgage relief services, which were not in
fact providing legitimate relief services. These providers were
sometimes mistaken for legitimate MARS providers (causing
overestimation). The cost burden results from CFPB including a
small materials cost which we feel more accurately represents the
costs of these recordkeeping and disclosure requirements.
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:
(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;
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.
Change Request - Remove Cost Burden.docx
3170-0007 MARS (O) 2015 renewal SS-30day-final.pdf
Regulation O Recordkeeping and Disclosure Requirements