Reporting Tier 1 Annual Reporter

Reporting, Recordkeeping, and Disclosure Requirements Associated with CFPB’s Home Mortgage Disclosure Act Loan/Application Register Required by Regulation C

GuideToHMDAReporting_2022

Reporting Tier 1 Annual Reporter

OMB: 7100-0247

⚠️ Notice: This form may be outdated. More recent filings and information on OMB 7100-0247 can be found here:

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EDITION EFFECTIVE JANUARY 1, 2021
(For HMDA Submissions due March 1, 2022)

A GUIDE TO

HMDA
Reporting
Getting It Right!
Federal Financial Institutions
Examination Council

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2021
Edition

A GUIDE T O HMDA

Reporting: Getting It Right!

Edition effective January 1, 2021 (for HMDA submissions due March 1,
2022)

This edition of the Guide is the comprehensive edition for the 2021 calendar
year data (due March 1, 2022). Appendices include:

Last Edited:
March 22, 2021

▪

Overview of Data Requirements Chart;

▪

HMDA Small Entity Compliance Guide;

▪

Instructions on Collection of Data on Ethnicity, Race, and Sex;

▪

Step-by-Step Charts Summarizing Transactional and Institutional Coverage;

▪

Partial Exemptions Charts;

▪

Data Fields and Data Points Chart;

▪

Regulation C, 12 CFR Part 1003;

▪

Official Interpretations to Regulation C, 12 CFR Part 1003;

▪

Federal HMDA Reporting Agencies; and

▪

HMDA Poster.

Contents

Foreword ......................................................................................... I
Summary of Requirements .......................................................... 1
Institutional Coverage: Who Must Report? ........................................................... 1
Transactional Coverage: What Is Reported? ........................................................ 10
Compilation of Reportable Data: What Is Reported? ........................................... 32
Recording, Reporting, and Disclosure: When is it Reported? ............................. 34

Appendices .................................................................................. 42
Overview of Data Requirements Chart ................................................................ A-1
HMDA Small Entity Compliance Guide .............................................................. B-1
Instructions on Collection of Data on Ethnicity, Race, and Sex ...................... C-1
Institutional Coverage Chart .............................................................................. D-1
Transactional Coverage Chart ........................................................................... E-1
Partial Exemptions Charts ................................................................................. F-1
Data Fields and Data Points Chart .................................................................... G-1
Regulation C ....................................................................................................... H-1
Official Interpretations to Regulation C ............................................................. I-1
Federal HMDA Reporting Agencies ....................................................................J-1
HMDA Poster ...................................................................................................... K-1

Foreword

A Guide to HMDA Reporting: Getting It Right! will assist you in complying with the
Home Mortgage Disclosure Act (HMDA) as implemented by the Consumer Financial
Protection Bureau’s Regulation C, 12 CFR Part 1003 (Regulation C). The purpose of
this Guide is to provide an easy-to-use summary of certain key requirements. This
Guide does not provide detailed information about the HMDA submission process, or
file, data, and edit specifications. Information about those topics may be found on the
FFIEC’s Resources for HMDA Filers website, available at ffiec.cfpb.gov and
www.ffiec.gov/hmda/.
The Foreword and Summary of Requirements sections of the Guide were developed
by the Federal Financial Institutions Examination Council (FFIEC) — the Board of
Governors of the Federal Reserve System (Board), the Consumer Financial Protection
Bureau (CFPB), the Federal Deposit Insurance Corporation (FDIC), the National Credit
Union Administration (NCUA), the Office of the Comptroller of the Currency (OCC),
and the State Liaison Committee (SLC) — and the U.S. Department of Housing and
Urban Development (HUD). The appendices include, in addition to Regulation C and
its Official Interpretations, certain HMDA compliance materials developed and issued
exclusively by the CFPB and not by the FFIEC or its other member agencies.
Financial institutions may wish to consult and rely upon additional compliance
resources that their Federal supervisory agencies may offer. Contact information for
each agency is available in Appendix J.
This edition of the Guide incorporates the amendments made to HMDA by the DoddFrank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act)1 and the

Dodd-Frank Wall Street Reform and Consumer Protection Act, Public Law 111-203, 124 Stat.
1376, 2097-2101 (2010).

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Economic Growth, Regulatory Relief, and Consumer Protection Act (The 2018 Act).2
The Dodd-Frank Act amended HMDA, transferred rulewriting authority to the CFPB
and expanded the scope of information that must be collected, reported, and disclosed
under HMDA, among other changes. In October 2015, the CFPB issued the 2015
HMDA Rule implementing the Dodd-Frank Act amendments to Regulation C.3 The
2015 HMDA Rule modified the types of institutions and transactions subject to
Regulation C, the types of data that institutions are required to collect, and the
processes for reporting and disclosing the required data.4
On August 24, 2017, the CFPB issued a 2017 HMDA Rule to further amend
Regulation C to make technical corrections and clarify and amend certain requirements
adopted by the 2015 HMDA Rule.5
The 2018 Act amended HMDA by adding partial exemptions from HMDA’s
requirements for certain transactions made by certain insured depository institutions

Public Law, No. 115-174, 132 Stat. 1296 (2018). The President signed the Economic Growth,
Regulatory Relief, and Consumer Protection Act into law on May 24, 2018.

Home Mortgage Disclosure (Regulation C), 80 FR 66128 (Oct. 28, 2015) (2015 HMDA Rule).

2015 HMDA Rule, 80 FR 66128-29. For more information on the specific changes made by
the 2015 amendments to Regulation C, review the Executive Summary for the 2015 HMDA
Rule, available at www.consumerfinance.gov/documents/5218/201510_cfpb_hmdaexecutive-summary.pdf. Further, Section 2 of the HMDA Small Entity Compliance Guide,
available in Appendix B of this Guide, also provides an overview of these changes.

Home Mortgage Disclosure (Regulation C), 82 FR 43088 (Sept. 13, 2017) (2017 HMDA
Rule). For more information on the specific changes made by the 2017 technical corrections
and clarifications to Regulation C, review the Executive Summary, available at
www.consumerfinance.gov/documents/5206/201707_cfpb_hmda-executivesummary.pdf.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

and insured credit unions. On August 31, 2018, the CFPB issued a 2018 HMDA Rule
to implement and clarify changes made by the 2018 Act.6
On October 10, 2019, the Bureau issued a 2019 HMDA Rule to extend the temporary
threshold for reporting data about open end lines of credit and implement and further
clarify the partial exemptions created by the 2018 Act.7
On April 16, 2020, the Bureau issued a 2020 HMDA Rule to adjust the thresholds for
reporting data about closed-end mortgage loans, effective July 1, 2020, and the
thresholds for reporting data about open-end lines of credit, effective January 1, 2022.8

III

83 FR 45325 (Sept. 7, 2018).

84 FR 57946 (Oct. 29, 2019).

85 FR 28364 (May 12, 2020).

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

The Summary of Requirements reviews HMDA’s purposes and data collection,
reporting, and disclosure requirements. It provides a high level summary of:
▪

The institutions covered by Regulation C.

▪

The transactions covered by Regulation C.

▪

The information that covered institutions are required to collect, record, and
report.

▪

The requirements for reporting and disclosing data.

This Guide is not a substitute for HMDA or Regulation C. Regulation C and its
official interpretations (also known as the commentary) are the definitive sources of
information regarding their requirements. Regulation C and its commentary are
available in Appendix H and I of this Guide and at
www.consumerfinance.gov/policy-compliance/rulemaking/regulations/1003/.
Additionally, this Guide is not a substitute for the requirements for filing the reportable
data. The Filing Instructions Guide (FIG) is the definitive source for information
regarding the filing requirements and is available at ffiec.cfpb.gov.9

The Federal HMDA reporting agencies (the Board, CFPB, HUD, FDIC, NCUA, and OCC),
referred to as the “appropriate Federal agency” in Regulation C, agreed that, beginning on
January 1, 2018, all HMDA filers will file their HMDA data with the CFPB. The CFPB will
process the HMDA data for the Federal HMDA reporting agencies and the FFIEC, and
prepare and make available data products to the general public on behalf of the Federal
HMDA reporting agencies and the FFIEC. For HMDA data reporting beginning in 2018, a
web-based data submission and edit-check system (the HMDA Platform) is available to
process HMDA data. For a financial institution to submit its file, it must be in pipe delimited
format. For more information on the format and how to submit the file, review the Filing
Instructions Guide.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Feedback
The FFIEC welcomes suggestions for changes or additions that might make this Guide
more helpful.
Write to:
FFIEC
3501 Fairfax Drive
Room B-7081a
Arlington, VA 22226
Send an e-mail to: [email protected]

Questions
If, after reviewing the resources in this Guide, you have a question regarding a
specific provision of the regulation, or have questions about how to file HMDA data,
please email [email protected] with your specific question, identifying the filing
year you are referencing, and, when applicable, the section(s) of the regulation
related to your question. You can also submit the inquiry online using the form
available at hmdahelp.consumerfinance.gov. The information you provide will
permit the CFPB to process your request or inquiry. You may also contact your
appropriate Federal HMDA reporting agency (see Appendix J to this Guide).

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

Generally, this Guide will point you to the relevant resources that discuss:
▪

The institutions covered by Regulation C.

▪

The transactions covered by Regulation C.

▪

The information that covered institutions are required to collect, record, and
report.

▪

Institutional

The requirements for reporting and disclosing data.

The material can be found after the introduction in the referenced appendix section.

Coverage
▪ Coverage Generally

Institutional Coverage: Who Must Report?

▪ Coverage Tests
▪ Exemptions Based on
State Law

INSTITUTIONAL COVERAGE GENERALLY
An institution is required to comply with Regulation C only if it is a “financial institution”

▪ Mergers and

as that term is defined in Regulation C. The definition of financial institution includes

Acquisitions

both depository financial institutions and nondepository financial institutions, as those

Transactional
Coverage

terms are separately defined in Regulation C. 12 CFR 1003.2(g).
An institution uses these two definitions, which are outlined below, as coverage tests to
determine whether it is a financial institution that is required to comply with Regulation

Compilation of

C. For the purposes of this Guide, the term “financial institution” refers to an institution

Reportable Data

that is either a depository financial institution or a nondepository financial institution
that is subject to Regulation C.

Recording, Reporting,
and Disclosure

Where to Look: Regulation C’s institutional coverage criteria are found within the
definition of “financial institution,” located at 12 CFR 1003.2(g) and the associated commentary,
available in Appendix H and I of this Guide. You may also want to review section 3 of the
HMDA Small Entity Compliance Guide in Appendix B and the Institutional Coverage Chart in
Appendix D of this Guide.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

INSTITUTIONAL COVERAGE TESTS

DEPOSITORY FINANCIAL INSTITUTIONS
A bank, savings association, or credit union is a depository financial institution and
subject to Regulation C if it meets ALL of the following:
1. Asset-Size Threshold. On the preceding December 31, the bank, savings

Institutional

association, or credit union had assets in excess of the asset-size threshold published

Coverage

annually in the Federal Register, included in the official interpretations, 12 CFR Part

▪ Coverage Generally
▪ Coverage Tests
▪ Exemptions Based on
State Law
▪ Mergers and
Acquisitions

Transactional
Coverage

1003, Comment 2(g)-2, and posted on the CFPB’s website. 12 CFR 1003.2(g)(1)(i).
The phrase “preceding December 31” refers to the December 31 immediately
preceding the current calendar year. For example, in 2021, the preceding December
31 is December 31, 2020. Comment 2(g)-1.
2. Location Test. On the preceding December 31, the bank, savings association, or
credit union had a home or branch office located in a metropolitan statistical area
(MSA). 12 CFR 1003.2(g)(1)(ii).
For purposes of this location test, a branch office for a bank, savings association, or
credit union is an office: (a) of the bank, savings association, or credit union (b) that is

Compilation of

considered a branch by the institution’s Federal or State supervisory agency. For

Reportable Data

purposes of Regulation C, an automated teller machine or other free-standing
electronic terminal is not a branch office regardless of whether the supervisory agency

Recording, Reporting,

would consider it a branch. 12 CFR 1003.2(c)(1). A branch office of a credit union is

and Disclosure

any office where member accounts are established or loans are made, whether or not
an agency has approved the office as a branch. Comment 2(c)(1)-1.
3. Loan Activity Test. During the preceding calendar year, the bank, savings
association, or credit union originated at least one home purchase loan or refinancing
of a home purchase loan secured by a first lien on a one-to four-unit dwelling. 12 CFR
1003.2(g)(1)(iii). For more information on whether a loan is secured by a dwelling, is a
home purchase loan, or is a refinancing, see 12 CFR 1003.2(f), (j), and (p) and

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

associated commentary; and Sections 4.1.1.2 and 5.7 of the HMDA Small Entity

Requirements

Compliance Guide available in Appendix B of this Guide.
4. Federally Related Test. The bank, savings association, or credit union:
a. Is federally insured; or
b. Is federally regulated; or

Institutional

c. Originated at least one home purchase loan or refinancing of a home purchase

Coverage

loan that was secured by a first lien on a one- to-four-unit dwelling and also (i)

▪ Coverage Generally

was insured, guaranteed or supplemented by a Federal agency or (ii) was

▪ Coverage Tests

intended for sale to the Federal National Mortgage Association (Fannie Mae) or

▪ Exemptions Based on

the Federal Home Loan Mortgage Corporation (Freddie Mac).
12 CFR 1003.2(g)(1)(iv).

State Law
▪ Mergers and
Acquisitions

Transactional
Coverage

5. Loan-Volume Threshold. The bank, savings association, or credit union meets or
exceeds either the closed-end mortgage loan or the open-end line of credit loanvolume threshold in each of the two preceding calendar years. Effective July 1, 2020,
a bank, savings association, or credit union that originated at least 100 closed-end
mortgage loans in each of the two preceding calendar years, or originated at least 500
open-end lines of credit in each of the two preceding calendar years meets or exceeds

Compilation of

the loan-volume threshold.10

Reportable Data
When the bank, savings association, or credit union determines whether it meets

Recording, Reporting,

these loan-volume thresholds, it does not count transactions excluded by

and Disclosure

12 CFR 1003.3(c)(1) through (10) and (13). 12 CFR 1003.2(g)(1)(v). Closed-end
mortgage loans, open-end lines of credit, and these excluded transactions are
discussed below in TRANSACTIONAL COVERAGE: WHAT IS REPORTED?.

Effective January 1, 2022, the open-end line of credit loan-volume threshold will be set at
200 open-end lines of credit in each of the two preceding calendar years. See Home
Mortgage Disclosure (Regulation C), 85 FR 28364 (May 12, 2020).

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

When determining if it meets the loan-volume thresholds, a bank, savings association,

Requirements

or credit union only counts closed-end mortgage loans and open-end lines of credit
that it originated. Only one institution is deemed to have originated a specific closedend mortgage loan or open-end line of credit under Regulation C, even if two or more
institutions are involved in the origination process. Only the institution that is deemed
to have originated the transaction under Regulation C counts it for purposes of the
Loan-Volume Threshold. Comment 2(g)-5; see also Comments 4(a)-2 through -4.

Institutional

These requirements are discussed below in TRANSACTIONS INVOLVING MULTIPLE

Coverage

ENTITIES.

▪ Coverage Generally
▪ Coverage Tests
▪ Exemptions Based on
State Law
▪ Mergers and
Acquisitions

Regulation C also includes a separate test to ensure that financial institutions that
meet only the closed-end mortgage loan threshold are not required to report their
open-end lines of credit, and that financial institutions that meet only the open-end line
of credit threshold are not required to report their closed-end mortgage loans.
12 CFR 1003.3(c)(11) and (12).11 For more information, see HMDA Small Entity
Compliance Guide, Section 4.1.2 available in Appendix B of this Guide.

Transactional
Coverage
Compilation of
Reportable Data
Recording, Reporting,
and Disclosure

If a financial institution is required under Regulation C to report only closed-end mortgage
loans, it may optionally report open-end lines of credit that are excluded because the financial
institution does not meet the transactional threshold for open-end lines of credit but that
would otherwise be covered loans. Similarly, if a financial institution is required under
Regulation C to report only open-end lines of credit, it may optionally report closed-end
mortgage loans that are excluded because the financial institution does not meet the
transactional threshold for closed-end mortgage loans but that would otherwise be covered
loans. However, if it chooses to optionally report either closed-end mortgage loans or openend lines of credit, the financial institution must report all such transactions that would
otherwise be covered loans for that calendar year. Comments 3(c)(11)-2 and 3(c)(12)-2.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

NONDEPOSITORY FINANCIAL INSTITUTIONS

Requirements
Under Regulation C, a for-profit mortgage-lending institution other than a bank,
savings association, or credit union is a nondepository financial institution and subject
to Regulation C if it meets BOTH of the following:
1. Location Test. The institution had a home or branch office in a metropolitan

Institutional

statistical area (MSA) on the preceding December 31. 12 CFR 1003.2(g)(2)(i). The

Coverage

phrase “preceding December 31” refers to the December 31 immediately preceding
the current calendar year. For example, in 2021, the preceding December 31 is

▪ Coverage

December 31, 2020. Comment 2(g)-1

▪ Coverage Tests
▪ Exemptions Based on
State Law
▪ Mergers and
Acquisitions

For purposes of this location test, a branch office of a nondepository financial
institution is any one of the institution’s offices at which the institution takes from the
public applications for covered loans. A nondepository financial institution is also
deemed to have a branch office in an MSA if, in the preceding calendar year, it
received applications for, originated, or purchased five or more covered loans related

Transactional

to property located in that MSA, even if it does not have an office in that MSA. 12 CFR

Coverage

1003.2(c)(2). Covered loans and applications for covered loans are discussed below
in TRANSACTIONAL COVERAGE: WHAT IS REPORTED?.

Compilation of
Reportable Data
Recording, Reporting,
and Disclosure

2. Loan-Volume Threshold. The institution meets or exceeds either the closed-end
mortgage loan-volume threshold or the open-end line of credit loan-volume threshold
in each of the two preceding calendar years. Effective July 1, 2020, an institution that
originated at least 100 closed-end mortgage loans in each of the two preceding
calendar years, or originated at least 500 open-end lines of credit in each of the two
preceding calendar years meets or exceeds the loan-volume threshold.12

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

When an institution determines whether it meets the loan-volume thresholds, it does

Requirements

not count transactions excluded by 12 CFR 1003.3(c)(1) through (10) and (13). 12
CFR 1003.2(g)(2)(ii).

Institutional
Coverage
▪ Coverage Generally
▪ Coverage Tests
▪ Exemptions Based on
State Law
▪ Mergers and
Acquisitions

Closed-end mortgage loans, open-end lines of credit, and these excluded transactions
are discussed below in TRANSACTIONAL COVERAGE: WHAT IS REPORTED?.
When determining if it meets the loan-volume thresholds, an institution only counts
closed-end mortgage loans and open-end lines of credit that it originated. Only one
institution is deemed to have originated a specific closed-end mortgage loan or openend line of credit under Regulation C, even if two or more institutions are involved in
the origination process. Only the institution that is deemed to have originated the
transaction under Regulation C counts it for purposes of the loan volume threshold.

Transactional
Coverage

Comment 2(g)-5; see also Comments 4(a)-2 through -4. These requirements are
discussed below in TRANSACTIONS INVOLVING MULTIPLE ENTITIES.
Regulation C also includes a separate test to ensure that financial institutions that

Compilation of

meet only the 100 closed-end mortgage loan threshold are not required to report their

Reportable Data

open-end lines of credit, and that financial institutions that meet only the 500 open-end
line of credit threshold are not required to report their closed-end mortgage loans.

Recording, Reporting,

12 CFR 1003.3(c)(11) and (12).13 For more information, see the HMDA Small Entity

and Disclosure

Compliance Guide, Section 4.1.2 available in Appendix B of this Guide.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

EXEMPTIONS BASED ON STATE LAW
Regulation C provides that financial institutions may apply for an exemption from
coverage. Specifically, the CFPB may exempt a State-chartered or State-licensed

Institutional

financial institution if the CFPB determines that the financial institution is subject to a

Coverage

State disclosure law that contains requirements substantially similar to those imposed

▪ Coverage
▪ Coverage Tests
▪ Exemptions Based on
State Law
▪ Mergers and
Acquisitions

Transactional
Coverage
Compilation of
Reportable Data
Recording, Reporting,
and Disclosure

by Regulation C and adequate enforcement provisions. Any State-licensed or Statechartered financial institution or association of such institutions may apply to the CFPB
for an exemption. An exempt institution shall submit the data required by State law to
its State supervisory agency. 12 CFR 1003.3(a). A financial institution that loses its
exemption must comply with Regulation C beginning with the calendar year following
the year for which it last reported data under the State disclosure law. 12 CFR
1003.3(b).
MERGERS AND ACQUISITIONS
After a merger or acquisition, the surviving or newly formed institution is subject to
Regulation C if it satisfies the coverage criteria for either a depository financial
institution or a nondepository financial institution. See INSTITUTIONAL COVERAGE TESTS,
above, and Section 3 of the HMDA Small Entity Compliance Guide available in
Appendix B of this Guide.
Annual reporting responsibility for the calendar year after a merger or
acquisition. When determining whether the surviving or newly formed institution is
covered for the calendar year after a merger or acquisition, the surviving or newly
formed institution must consider the combined assets, locations, and lending activities
of the surviving or newly formed entity and the merged or acquired entities or acquired
branches. Comment 2(g)-3.
Annual reporting responsibility for the calendar year of a merger or acquisition.
The following discusses the applicability of Regulation C during the calendar year of a
merger or acquisition:

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

1. If two institutions that are not subject to Regulation C merge but the newly
formed or surviving institution is subject to Regulation C, no data collection is
required for the calendar year of the merger.
2. When a branch office of an institution that is not subject to Regulation C is
acquired by another institution that is not subject to Regulation C, and the
acquisition results in the acquiring institution becoming subject to Regulation C,

Institutional
Coverage

no data collection is required for the calendar year of the acquisition.
3. If an institution that is subject to Regulation C and an institution that is not
subject to Regulation C merge, and the surviving or newly formed institution is

▪ Coverage

subject to Regulation C, for the calendar year of the merger, data collection is

▪ Coverage Tests

required for covered loans and applications handled in the offices of the

▪ Exemptions Based on
State Law
▪ Mergers and
Acquisitions

Transactional
Coverage
Compilation of
Reportable Data
Recording, Reporting,
and Disclosure

institution that was previously subject to Regulation C. For the calendar year of
the merger, data collection is optional for covered loans and applications
handled in offices of the institution that was not previously subject to Regulation
C.
4. When an institution that is subject to Regulation C acquires a branch office of an
institution that is not subject to Regulation C, data collection is optional for
covered loans and applications handled by the acquired branch office for the
calendar year of the acquisition.
5. If an institution that is subject to Regulation C and an institution that is not
subject to Regulation C merge and the surviving or newly formed institution is
not subject to Regulation C, data collection is required for covered loans and
applications handled prior to the merger in the previously covered institution’s
offices. After the merger date, data collection is optional for covered loans and
applications handled in the offices of the institution that was previously covered.
6. When an institution that is not subject to Regulation C acquires a branch office
of an institution that is subject to Regulation C but that acquisition does not
result in the acquiring institution becoming subject to Regulation C, data
collection is required for transactions of the acquired branch office that take
place prior to the acquisition. Data collection by the acquired branch office is

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

optional for transactions taking place in the remainder of the calendar year of

Summary of
Requirements

the acquisition.
7. If two or more institutions that are subject to Regulation C merge and the
surviving or newly formed institution is also subject to Regulation C, data
collection is required for the entire calendar year of the merger. The surviving
or newly formed financial institution files either a consolidated submission or
separate submissions for that calendar year.

Institutional

8. When one institution subject to Regulation C acquires a branch office of another

Coverage

covered institution, data collection is required for the entire calendar year of the

▪ Coverage

merger. Data for the acquired branch office may be submitted by either

▪ Coverage Tests

financial institution. Comment 2(g)-4.

▪ Exemptions Based on

CHANGES TO APPROPRIATE FEDERAL HMDA REPORTING AGENCY OR TIN

State Law
▪ Mergers and
Acquisitions

Under Regulation C, if the appropriate Federal HMDA reporting agency for a financial
institution changes, the financial institution must identify its new appropriate Federal
HMDA reporting agency in its annual submission for the year of the change. For

Transactional

example, if a financial institution’s appropriate Federal HMDA reporting agency

Coverage

changes in February 2021, it must identify its new appropriate Federal HMDA
reporting agency beginning with the annual submission of its 2021 data by March 1,

Compilation of
Reportable Data
Recording, Reporting,
and Disclosure

2022.
If a financial institution obtains a new Tax Identification Number (TIN), it should
provide the new number in its subsequent data submission. For example, if two
financial institutions that previously reported HMDA data merge and the surviving
financial institution retained its Legal Entity Identifier (LEI) but obtained a new TIN,
then the surviving financial institution should report the new TIN with its next HMDA
data submission. Comment 5(a)-5.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

Transactional Coverage: What is Reported?

Requirements
A financial institution is required to collect, record, and report information only for
transactions that are subject to Regulation C. The transactions covered may come
from multiple departments in an institution, including its closed-end loan, open-end
loan, and commercial loan departments. All lines of business will need to be reviewed

Institutional
Coverage

for covered transactions.
Where to Look: Regulation C’s transactional coverage criteria is generally found within
the definition of “Covered Loan,” located at 12 CFR 1003.2(e) and the associated commentary,

Transactional

available in Appendix H and I of this Guide. You may also want to review Section 4 of the

Coverage

HMDA Small Entity Compliance Guide available in Appendix B and the Transactional Coverage

▪ Covered Loans
▪ Reportable Activity
▪ Transaction involving
Multiple Entities
▪ Partial Exemptions

Compilation of
Reportable Data

Chart available in Appendix E of this Guide.

COVERED LOANS
A covered loan can be either a closed-end mortgage loan or an open-end line of
credit, but an excluded transaction cannot be a covered loan. 12 CFR 1003.2(e).
To determine if a transaction is subject to Regulation C, a financial institution should
first determine whether the loan or line of credit involved in the transaction is either a
closed-end mortgage loan or an open-end line of credit. See IS IT A CLOSED-END
MORTGAGE LOAN OR AN OPEN-END LINE OF CREDIT?, below, or Section 4.1.1 of the

Recording, Reporting,

HMDA Small Entity Compliance Guide, available in Appendix B of this Guide. If the

and Disclosure

loan or line of credit is neither a closed-end mortgage loan nor an open-end line of
credit, the transaction does not involve a covered loan, and the financial institution is
not required to report the transaction. If the loan or line of credit is either a closed-end
mortgage loan or an open-end line of credit, the financial institution must determine if
the closed-end mortgage loan or open-end line of credit is an excluded transaction.
See IS IT AN EXCLUDED TRANSACTION?, below, and Section 4.1.2 of the HMDA Small
Entity Compliance Guide, available in Appendix B of this Guide. If the closed-end
mortgage loan or an open-end line of credit is an excluded transaction, it is not a

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

covered loan, and the financial institution is not required to report the transaction. If

Requirements

the loan or line of credit is a closed-end mortgage loan or an open-end line of credit
and is not an excluded transaction, the financial institution may be required to report
the transaction. See REPORTABLE ACTIVITY, below, and Section 4.2 of the HMDA
Small Entity Compliance Guide, available in Appendix B of this Guide.

1. IS IT A CLOSED-END MORTGAGE LOAN OR AN OPEN-END LINE OF
Institutional

CREDIT?

Coverage
A closed-end mortgage loan is:

Transactional
Coverage

1. An extension of credit (See EXTENSION OF CREDIT, below);
2. Secured by a lien on a dwelling (See SECURED BY A LIEN ON A DWELLING, below);

▪ Covered Loans
▪ Reportable Activity
▪ Transaction involving
Multiple Entities

and
3. Not an open-end line of credit. 12 CFR 1003.2(d).
An open-end line of credit is:

▪ Partial Exemptions
1. An extension of credit (See EXTENSION OF CREDIT, below);

Compilation of
Reportable Data

2. Secured by a lien on a dwelling (See SECURED BY A LIEN ON A DWELLING, below);
and
3. An open-end credit plan for which:

Recording, Reporting,

a. The lender reasonably contemplates repeated transactions;

and Disclosure

b. The lender may impose a finance charge from time-to-time on an
outstanding unpaid balance; and
c.

The amount of credit that may be extended to the borrower during the term
of the plan (up to any limit set by the lender) is generally made available to
the extent that any outstanding balance is repaid. 12 CFR 1003.2(o);
12 CFR 1026.2(a)(20).

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

Financial institutions may rely on Regulation Z, 12 CFR 1026.2(a)(20), and its
official commentary when determining whether a transaction is extended under
a plan for which the lender reasonably contemplates repeated transactions, the
lender may impose a finance charge from time-to-time on an outstanding unpaid
balance, and the amount of credit that may be extended to the borrower during
the term of the plan is generally made available to the extent that any
outstanding balance is repaid.

Institutional
Coverage
Transactional

A business-purpose transaction that is exempt from Regulation Z but is otherwise
open-end credit under Regulation Z, 12 CFR 1026.2(a)(20), would be an open-end
line of credit under Regulation C if it is an extension of credit secured by a lien on a
dwelling and is not an excluded transaction. Comment 2(o)-1.

Coverage
▪ Covered Loans
▪ Reportable Activity
▪ Transaction involving
Multiple Entities
▪ Partial Exemptions

Compilation of
Reportable Data

Extension of credit. A closed-end loan or open-end line of credit is not a closed-end
mortgage loan or an open-end line of credit under Regulation C unless it involves an
extension of credit. Individual draws on an open-end line of credit are not separate
extensions of credit. Comment 2(o)-2.
Under Regulation C, an “extension of credit” generally requires a new debt obligation.
Comment 2(d)-2. Thus, for example, a loan modification where the existing debt
obligation is not satisfied and replaced is not generally a covered loan (i.e., closedend mortgage loan or open-end line of credit) under Regulation C. Except as
described below, if a transaction modifies, renews, extends, or amends the terms of

Recording, Reporting,

an existing debt obligation, but the existing debt obligation is not satisfied and

and Disclosure

replaced, the transaction is not a covered loan. It is important to note that Regulation
C defines the phrase “extension of credit” differently than Regulation B, 12 CFR Part
1002. Comment 2(d)-2 and 2(o)-2.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

Regulation C provides two narrow exceptions to the requirement that an “extension of
credit” involve a new debt obligation. The exceptions are designed to capture
transactions that are substantially similar to new debt obligations and should be
treated as such.
1. Assumptions. Assumptions are extensions of credit under Regulation C. A
loan assumption is a transaction in which a financial institution enters into a

Institutional

written agreement accepting a new borrower in place of an existing borrower as

Coverage

the obligor on an existing debt obligation. Regulation C clarifies that
assumptions include successor-in-interest transactions in which an individual

Transactional

succeeds the prior owner as the property owner and then assumes the existing

Coverage

debt secured by the property. Assumptions are extensions of credit even if the
new borrower merely assumes the existing debt obligation and no new debt

▪ Covered Loans

obligation is created. Comment 2(d)-2.i.

▪ Reportable Activity
▪ Transaction involving
Multiple Entities
▪ Partial Exemptions

2. New York CEMAs. Regulation C provides that transactions completed
pursuant to a New York State consolidation, extension, and modification
agreement and classified as a supplemental mortgage under New York Tax
Law Section 255, such that the borrower owes reduced or no mortgage

Compilation of

recording taxes (New York CEMA), is an extension of credit. However, the

Reportable Data

regulation also provides that certain transactions providing new funds that are
consolidated into a New York CEMA are excluded from the HMDA reporting

Recording, Reporting,

requirements. 12 CFR 1003.3(c)(13); Comment 2(d)-2.ii.

and Disclosure

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

Secured by a lien on a dwelling. A loan is not a closed-end mortgage loan and a
line of credit is not an open-end line of credit unless it is secured by a lien on a
dwelling. A dwelling is a residential structure. There is no requirement that the
structure be attached to real property or that it be the applicant’s or borrower’s
residence. Examples of dwellings include:
1. Principal residences;

Institutional

2. Second homes and vacation homes;

Coverage

3. Investment properties;
4. Residential structures attached to real property;

Transactional

5. Detached residential structures;

Coverage

6. Individual condominium and cooperative units;

▪ Covered Loans

7. Manufactured homes or other factory-built homes; and

▪ Reportable Activity

8. Multifamily residential structures or communities, such as apartment buildings,

▪ Transaction involving
Multiple Entities
▪ Partial Exemptions

Compilation of
Reportable Data

condominium complexes, cooperative buildings or housing complexes, and
manufactured home communities. 12 CFR 1003.2(f); Comments 2(f)-1 and -2.
A dwelling is not limited to a structure that has four or fewer units. It also includes a
multifamily dwelling, which is a dwelling that includes five or more individual dwelling
units. A multifamily dwelling includes a manufactured home community.
A loan related to a manufactured home community is secured by a dwelling even if it

Recording, Reporting,

is not secured by any individual manufactured homes, but is secured only by the land

and Disclosure

that constitutes the manufactured home community. However, a loan related to a
multifamily residential structure or community other than a manufactured home
community is not secured by a dwelling unless it is secured by one or more individual
dwelling units. For example, a loan that is secured only by the common areas of a
condominium complex or only by an assignment of rents from an apartment building is
not secured by a dwelling. Comment 2(f)-2. Further, a covered loan secured by five or
more separate dwellings, which are not multifamily dwellings, in more than one
location is not a loan secured by a multifamily dwelling. For example,

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

assume a landlord uses a covered loan to improve five or more dwellings, each with

Requirements

one individual dwelling unit, located in different parts of a town, and the loan is
secured by those properties. The covered loan is not secured by a multifamily
dwelling as defined by § 1003.2(n). Comment 2(n)-3.
The following are not dwellings:

Institutional
Coverage

1. Recreational vehicles, such as boats, campers, travel trailers, or park model
recreational vehicles;
2. Houseboats, floating homes, or mobile homes constructed before June 15,

Transactional
Coverage
▪ Covered Loans
▪ Reportable Activity
▪ Transaction involving
Multiple Entities
▪ Partial Exemptions

1976;
3. Transitory residences, such as hotels, hospitals, college dormitories, or
recreational vehicle parks; and
4. Structures originally designed as a dwelling but used exclusively for commercial
purposes, such as a home converted to a daycare facility or professional office.
Comment 2(f)-3.
A property that is used for both residential and commercial purposes, such as a
building that has apartment and retail units, is a dwelling if the property’s primary use

Compilation of
Reportable Data
Recording, Reporting,
and Disclosure

is residential. Comment 2(f)-4.
A property used for both long-term housing and to provide assisted living or
supportive housing services is a dwelling. However, transitory residences used to
provide such services are not dwellings. Properties used to provide medical care,
such as skilled nursing, rehabilitation, or long-term medical care, are not dwellings. If
a property is used for long-term housing, to provide related services (such as assisted
living), and to provide medical care, the property is a dwelling if its primary use is
residential. Comment 2(f)-5.
A financial institution may use any reasonable standard to determine a property’s
primary use, such as square footage, income generated, or number of beds or units

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

allocated for each use. It may select the standard on a case-by-case basis.

Requirements

Comments 2(f)-4 and -5.

2. IS IT AN EXCLUDED TRANSACTION?
Regulation C does not apply to transactions that are specifically excluded from
coverage. 12 CFR 1003.3(c). Therefore, an excluded transaction is not a covered

Institutional

loan. Regulation C retains and clarifies existing categories of transactions that are

Coverage

excluded from coverage. It also expands the existing exclusion for agricultural loans,
and adds new categories of transactions that are excluded from coverage. Except as

Transactional
Coverage

noted below, effective January 1, 2018, the following are excluded transactions:
1. A closed-end mortgage loan or an open-end line of credit that a financial

▪ Covered Loans

institution originates or purchases in a fiduciary capacity, such as a closed-end

▪ Reportable Activity

mortgage loan or an open-end line of credit that a financial institution originates

▪ Transaction involving

or purchases as a trustee. 12 CFR 1003.3(c)(1); Comment 3(c)(1).

Multiple Entities
▪ Partial Exemptions

2. A closed-end mortgage loan or an open-end line of credit secured by a lien on
unimproved land. 12 CFR 1003.3(c)(2). Generally, a loan or line of credit must
be secured by a dwelling to be a covered loan. Regulation C also lists closed-

Compilation of

end mortgage loans and open-end lines of credit secured only by vacant or

Reportable Data

unimproved land as excluded transactions. However, a loan or line of credit
secured by a lien on unimproved land is deemed to be secured by a dwelling

Recording, Reporting,

(and might not be excluded) if the financial institution knows, based on

and Disclosure

information that it receives from the applicant or borrower at the time the
application is received or the credit decision is made, that the proceeds of that
loan or credit line will be used within two years after closing or account opening
to construct a dwelling on, or to purchase a dwelling to be placed on, the land.
Comment 3(c)(2)-1.
3. A closed-end mortgage loan or an open-end line of credit that is temporary
financing. 12 CFR 1003.3(c)(3). A transaction is excluded as temporary
financing if it is designed to be replaced by separate permanent financing

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

extended to the same borrower at a later time. The separate permanent
financing may be extended by any lender (i.e., by either the lender that
extended the temporary financing or another lender). Comment 3(c)(3)-1. A
construction only loan or line of credit is considered temporary financing and
excluded under Regulation C if the loan or line of credit is extended to a person
exclusively to construct a dwelling for sale. Comment 3(c)(3)-2.
4. The purchase of an interest in a pool of closed-end mortgage loans or open-end

Institutional

lines of credit, such as mortgage-participation certificates, mortgage-backed

Coverage

securities, or real estate mortgage investment conduits. 12 CFR 1003.3(c)(4);
Comment 3(c)(4)-1.

Transactional
Coverage
▪ Covered Loans
▪ Reportable Activity
▪ Transaction involving
Multiple Entities
▪ Partial Exemptions

5. The purchase solely of the right to service closed-end mortgage loans or openend lines of credit. 12 CFR 1003.3(c)(5).
6. The purchase of a closed-end mortgage loan or an open-end line of credit as
part of a merger or acquisition or as part of the acquisition of all of a branch
office’s assets and liabilities. 12 CFR 1003.3(c)(6); Comment 3(c)(6)-1. For
more information on mergers and acquisitions under Regulation C, see
Comments 2(g)-3 and -4. See also HMDA Small Entity Compliance Guide,
Section 8, available in Appendix B of this Guide.

Compilation of
Reportable Data

7. A closed-end mortgage loan or an open-end line of credit, or an application for a
closed-end mortgage loan or open-end line of credit, for which the total dollar
amount is less than $500. 12 CFR 1003.3(c)(7).

Recording, Reporting,
and Disclosure

8. The purchase of a partial interest in a closed-end mortgage loan or an open-end
line of credit. 12 CFR 1003.3(c)(8); Comment 3(c)(8)-1.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

9. A closed-end mortgage loan or an open-end line of credit if the proceeds are
used primarily for agricultural purposes or if the closed-end mortgage loan or
open-end line of credit is secured by a dwelling that is located on real property
that is used primarily for agricultural purposes. 12 CFR 1003.3(c)(9); Comment
3(c)(9)-1. Regulation C directs financial institutions to Regulation Z’s official
commentary for guidance on what is an agricultural purpose. Regulation Z’s
official commentary states that agricultural purposes include planting,

Institutional

propagating, nurturing, harvesting, catching, storing, exhibiting, marketing,

Coverage

transporting, processing, or manufacturing food, beverages, flowers, trees,
livestock, poultry, bees, wildlife, fish or shellfish by a natural person engaged in

Transactional
Coverage

farming, fishing, or growing crops, flowers, trees, livestock, poultry, bees or
wildlife. See Comment 3(a)-8 in the official interpretations of Regulation Z, 12
CFR Part 1026. A financial institution may use any reasonable standard to

▪ Covered Loans

determine the primary use of the property, and may select the standard to apply

▪ Reportable Activity

on a case-by-case basis. Comment 3(c)(9)-1.

▪ Transaction involving
Multiple Entities
▪ Partial Exemptions

Compilation of
Reportable Data

10. A closed-end mortgage loan or an open-end line of credit that is or will be made
primarily for business or commercial purposes, unless it is a home improvement
loan, a home purchase loan, or a refinancing. 12 CFR 1003.3(c)(10). Not all
transactions that are primarily for a business purpose are excluded transactions.
Thus, a financial institution must collect, record, and report data for dwellingsecured, business-purpose loans and lines of credit that are home improvement
loans, home purchase loans, or refinancings if no other exclusion applies. For

Recording, Reporting,

more information on determining whether a loan or line of credit is a home

and Disclosure

purchase loan, home improvement loan, or refinancing, see 12 CFR 1003.2(f),
(i), (j), and (p) and the associated commentary. See also, HMDA Small Entity
Compliance Guide, Section 5.7, available in Appendix B of this Guide.
Regulation C provides that, if a closed-end mortgage loan or an open-end line

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

of credit is deemed to be primarily for a business, commercial, or organizational
purpose under Regulation Z, 12 CFR 1026.3(a), and its official commentary,
then the loan or line of credit also is deemed to be primarily for a business or
commercial purpose. Comment 3(c)(10)-2. For more information and examples
of business-purpose or commercial-purpose transactions that are and are not
covered loans, see Comments 3(c)(10)-3 and -4.
11. Effective July 1, 2020, a closed-end mortgage loan if the financial institution

Institutional

originated fewer than 100 closed-end mortgage loans in either of the two

Coverage

preceding calendar years. 12 CFR 1003.3(c)(11). A financial institution is not
required to collect, record, or report closed-end mortgage loans if it originated

Transactional

fewer than 100 of them in either of the two preceding calendar years. However,

Coverage

the financial institution may still be required to collect and report information
regarding open-end lines of credit, depending on the number of open-end lines

▪ Covered Loans

of credit it originated in the preceding two calendar years. Comment 3(c)(11)-1.

▪ Reportable Activity

For more information on how to determine if a financial institution “originated” a

▪ Transaction involving

particular loan when multiple entities are involved in the transaction, see

Multiple Entities
▪ Partial Exemptions

Compilation of
Reportable Data
Recording, Reporting,
and Disclosure

Comments 4(a)-2 through -4. See also HMDA Small Entity Compliance Guide,
Section 4.2.3, available in Appendix B of this Guide.
A financial institution (including, for purposes of information collected in 2020,
an institution that was a financial institution as of January 1, 2020) may report
applications for, originations of, and purchases of closed-end mortgage loans
that are excluded transactions under 12 CFR 1003.3(c)(11). However a
financial institution that chooses to report such excluded applications,
originations, and purchases must report all such applications it received for
closed-end mortgage loans, all closed-end mortgage loans it originates, and all
closed-end mortgage loans it purchases that would otherwise be covered loans
for a given calendar year. 12 CFR 1003.3(c)(11);

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Comment 3(c)(11)-2. Regulation B permits a financial institution to collect

Summary of

information regarding the ethnicity, race, and sex of an applicant for a closed-

Requirements

end mortgage loan that is an excluded transaction under 12 CFR 1003.3(c)(11),
if the financial institution submits HMDA data concerning such closed-end
mortgage loans and applications or if it submitted such HMDA data for any of
the preceding five calendar years.14
12. An open-end line of credit if the number of open-end lines of credit that the

Institutional

financial institution originated in either of the two preceding calendar years does

Coverage

not meet or exceed the applicable threshold. 12 CFR 1003.3(c)(12); Comment
3(c)(12)-1. Effective January 1, 2018 until December 31, 2021, the applicable

Transactional

threshold is 500 open-end lines of credit.15 During this time period, a financial

Coverage

institution is not required to collect, record, or report open-end lines of credit if it

▪ Covered Loans

originated fewer than 500 of them in either of the two preceding calendar years.

▪ Reportable Activity

For more information on how to determine if a financial institution “originated” a

▪ Transaction involving

particular line of credit when multiple entities are involved in the transaction, see
Comments 4(a)-2 through -4. See also HMDA Small Entity Compliance Guide,

Multiple Entities

Section 4.2.3, available in Appendix B of this Guide.

▪ Partial Exemptions

A financial institution may report applications for, originations of, or purchases of

Compilation of

open-end lines of credit that are excluded transactions under 12 CFR

Reportable Data

1003.3(c)(12). However, a financial institution that chooses to report such
excluded applications, originations, or purchases must report all applications for

Recording, Reporting,
and Disclosure

Amendments to Equal Credit Opportunity Act (Regulation B) Ethnicity and Race Information
Collection, 82 FR 45680 (Oct. 2, 2017) (October 2017 Regulation B Amendments). This final
rule amends Regulation B to allow creditors flexibility in complying with Regulation B to
facilitate compliance with Regulation C and transition to the 2016 Uniform Residential Loan
Application (URLA).

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

otherwise covered open-end lines of credit that it receives, all otherwise covered

Summary of

open-end lines of credit it originates, and all otherwise covered open-end lines

Requirements

of credit it purchases that would otherwise be covered loans for a given
calendar year. 12 CFR 1003.3(c)(12); Comment 3(c)(12)-2. Regulation B
permits a financial institution to collect information regarding the ethnicity, race,
and sex of an applicant for an open-end line of credit that is an excluded
transaction under 12 CFR 1003.3(c)(12), if it submits HMDA data concerning

Institutional

such open-end lines of credit and applications or if it submitted such HMDA data

Coverage

for any of the preceding five calendar years.16
13. A transaction that provided (or, in the case of an application, proposed to

Transactional

provide) new funds to the borrower in advance of being consolidated in a New

Coverage

York CEMA classified as a supplemental mortgage under New York Tax Law
section 255. However, the transaction is excluded only if final action on the

▪ Covered Loans

consolidation was taken in the same calendar year as the final action on the

▪ Reportable Activity

new funds transaction. 12 CFR 1003.3(c)(13). Additionally, the transaction is

▪ Transaction involving

excluded only if, at the time that it originated the transaction providing the new

Multiple Entities

funds, the financial institution intended to consolidate the loan into a New York

▪ Partial Exemptions

CEMA. This exclusion does not apply to similar preliminary transactions that
are consolidated pursuant to laws other than New York Tax Law section 255.

Compilation of

Such preliminary transactions under other laws must be reported if they are

Reportable Data

covered loans and are not covered by another exclusion. Comment 3(c)(13)-1.
New funds provided in advance of being consolidated into a New York CEMA

Recording, Reporting,

classified as a supplemental mortgage under New York Tax Law section 255

and Disclosure

are reported only insofar as they form part of the total amount of the reported
New York CEMA. They are not reported as a separate amount. If a New York
CEMA that consolidates an excluded preliminary transaction is carried out in a

October 2017 Regulation B Amendments.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

transaction involving an assumption, the financial institution reports the New
York CEMA and does not report the preliminary transaction separately.
Comment 3(c)(13)-1.
REPORTABLE ACTIVITY
Once a financial institution has determined whether a transaction involves a covered
loan, it must determine whether it has engaged in activity that obligates it to report

Institutional

information about the transaction. Generally, a financial institution is required to

Coverage

report information for actions taken on applications (as that term is defined below) for
covered loans, originations of covered loans, and purchases of covered loans. If a

Transactional

financial institution receives an application and that application results in the financial

Coverage

institution originating a covered loan, the financial institution reports the origination of
the covered loan, and does not separately report the application. For more

▪ Covered Loans

information on when to report information regarding applications and covered loans,

▪ Reportable Activity

see APPLICATIONS, PREAPPROVAL REQUESTS, and ORIGINATIONS AND PURCHASES OF

▪ Transaction involving

COVERED LOANS, below, and Sections 4.2.1 and 4.2.2 of the HMDA Small Entity

Multiple Entities

Compliance Guide, available in Appendix B of this Guide. There are special rules

▪ Partial Exemptions

that apply if multiple entities are involved in the transaction. These special rules are
discussed in TRANSACTION INVOLVING MULTIPLE ENTITIES, below, and Section 4.2.3 of

Compilation of

the HMDA Small Entity Compliance Guide, available in Appendix B of this Guide.

Reportable Data

Certain financial institutions may be eligible for partial exemptions for certain
transactions. If a financial institution is eligible for a partial exemption, then the

Recording, Reporting,

financial institution is not required to collect, record, or report certain data points for

and Disclosure

the transaction that qualifies for the partial exemption. Partial exemptions are
discussed in PARTIAL EXEMPTIONS below and in Section 4.3 of the HMDA Small

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

Entity Compliance Guide, available in Appendix B of this Guide.

APPLICATIONS
For purposes of Regulation C, an application is:
a. an oral or written request

Institutional
Coverage
Transactional

b. for a covered loan
c.

that is made in accordance with procedures the financial institution uses for the
type of credit requested. 12 CFR 1003.2(b)(1).

PREAPPROVAL REQUESTS

Coverage
Under Regulation C, a request for a preapproval may be treated differently than a
▪ Covered Loans

request for a prequalification for certain types of loans. The determination of whether

▪ Reportable Activity

a request is a prequalification request (which is not an application) or a preapproval

▪ Transaction involving

request (which might be an application) is based on Regulation C, not on the labels

Multiple Entities
▪ Partial Exemptions

Compilation of

that a financial institution uses or interpretations of other regulations, such as
Regulation B.
A preapproval request is an application under Regulation C if the request is:

Reportable Data
1. For a home purchase loan;

Recording, Reporting,

2. Not secured by a multifamily dwelling;

and Disclosure

3. Not for an open-end line of credit or for a reverse mortgage; and
4. Reviewed under a preapproval program (see definition of preapproval program
immediately below). 12 CFR 1003.2(b)(2).
A preapproval program for purposes of Regulation C is a program in which the
financial institution:

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

1. Conducts a comprehensive analysis of the applicant’s creditworthiness
(including income verification), resources, and other matters typically reviewed
as part of the financial institution’s normal credit evaluation program; and then
2. Issues a written commitment that: (a) is for a home purchase loan; (b) is valid
for a designated period of time and up to a specified amount; and (c) is subject
only to specifically permitted conditions. 12 CFR 1003.2(b)(2); Comment 2(b)-3.

Institutional

The written commitment issued as part of the preapproval program can be subject to

Coverage

only the following types of conditions:

Transactional
Coverage
▪ Covered Loans

1. Conditions that require the identification of a suitable property;
2. Conditions that require that no material change occur regarding the applicant’s
financial condition or creditworthiness prior to closing; and
3. Limited conditions that (a) are not related to the applicant’s financial condition or

▪ Reportable Activity

creditworthiness and (b) the financial institution ordinarily attaches to a

▪ Transaction involving

traditional home mortgage application. Examples of conditions ordinarily

Multiple Entities

attached to a traditional home mortgage application include requiring an

▪ Partial Exemptions

acceptable title insurance binder or a certificate indicating clear termite
inspection and, if the applicant plans to use the proceeds from the sale of the

Compilation of

applicant’s present home to purchase a new home, a settlement statement

Reportable Data

showing adequate proceeds from the sale of the present home. 12 CFR
1003.2(b)(2); Comment 2(b)-3.

Recording, Reporting,
and Disclosure

A program that a financial institution describes as a “preapproval program” but that
does not satisfy the Regulation C definition is not a preapproval program for purposes
of the regulation. Comment 2(b)-3.
If a financial institution does not regularly use procedures to consider requests but
instead considers requests on an ad hoc basis, the financial institution is not required
to treat the ad hoc requests as having been reviewed under a preapproval program.
However, a financial institution should be generally consistent in following uniform
procedures for considering such ad hoc requests. Comment 2(b)-3.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

Under Regulation C, a financial institution must collect, record, and report data

Requirements

regarding an application it receives if: (1) the application did not result in the financial
institution originating a covered loan; and (2) the financial institution took action on the
application or the applicant withdrew the application while the financial institution was
reviewing it. For example, a financial institution reports information regarding an
application that it denied, that it approved but the applicant did not accept, or that it
closed for incompleteness. 12 CFR 1003.4(a) and 1003.5(a); Comment 4(a)-1.

Institutional
Coverage

If the application results in the financial institution originating a covered loan, the
financial institution reports the covered loan, not the application itself. For more

Transactional

information on reporting applications when multiple entities are involved, see

Coverage

TRANSACTIONS INVOLVING MULTIPLE ENTITIES, below, and in Section 4.2.3 of the HMDA
Small Entity Compliance Guide, available in Appendix B of this Guide.

▪ Covered Loans
▪ Reportable Activity

Although requests under preapproval programs are applications, a financial institution

▪ Transaction involving

reports data regarding a request under a preapproval program only if the preapproval

Multiple Entities
▪ Partial Exemptions

request is denied or approved but not accepted. A financial institution will also report
a request under a preapproval program that results in the financial institution
originating a home purchase loan, but it will be reported as an originated covered

Compilation of

loan. Comment 4(a)-1.ii.

Reportable Data
A financial institution reports the data for an application, including a reportable

Recording, Reporting,
and Disclosure

preapproval request, on its HMDA Loan/Application Register (LAR) for the calendar
year during which it takes action even if the financial institution received the
application in a previous calendar year. Comment 4(a)-1.iv.

ORIGINATIONS AND PURCHASES OF COVERED LOANS
A financial institution must collect, record, and report information regarding
originations and purchases of covered loans. For more information on when a
financial institution reports the origination or purchase of a covered loan when multiple

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

entities are involved, see TRANSACTIONS INVOLVING MULTIPLE ENTITIES, below, and in

Requirements

Section 4.2.3 of the HMDA Small Entity Compliance Guide, available in Appendix B
of this Guide. A purchase includes a repurchase of a covered loan, regardless of
whether the financial institution chose to repurchase the covered loan or was required
to repurchase it because of a contractual obligation and regardless of whether the
repurchase occurred within the same calendar year that the covered loan was
originated or in a different calendar year. Comment 4(a)-5.

Institutional
Coverage

A purchase does not include a temporary transfer of a covered loan to an interim
funder or warehouse creditor as part of an interim funding agreement under which the

Transactional

financial institution that originated the covered loan is obligated to repurchase it for

Coverage

sale to a subsequent investor. Such funding agreements are often referred to as

▪ Covered Loans

“repurchase agreements” and are sometimes used as the functional equivalents of
warehouse lines of credit. Comment 4(a)-5.

▪ Reportable Activity
▪ Transaction involving
Multiple Entities
▪ Partial Exemptions

Compilation of
Reportable Data

TRANSACTIONS INVOLVING MULTIPLE ENTITIES
Only one financial institution reports the origination of a covered loan. If more than
one institution is involved in the origination of a covered loan, the institution that
makes the credit decision approving the application before loan closing or account
opening is responsible for reporting the origination of the covered loan. It is not
relevant whether the loan closed in the reporting financial institution’s name. If more
than one institution approved an application prior to loan closing or account opening

Recording, Reporting,

and one of those institutions purchased the covered loan after closing or account

and Disclosure

opening, the institution that purchased the covered loan after closing or account
opening is responsible for reporting the origination of the covered loan. Comment
4(a)-2.i.
If a financial institution reports a covered loan as an origination, it reports all of the
information required to be reported for the origination of a covered loan, even if the
covered loan was not initially payable to the financial institution that is reporting the
covered loan as an origination. Comment 4(a)-2.i. When reporting a covered loan as

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

an origination, a financial institution cannot rely on exceptions or exclusions that apply

Requirements

to purchased covered loans, but that do not apply to originations of covered loans.
See comment 4(a)-2.i.
In the case of an application for a covered loan that did not result in an origination, a
financial institution reports the action it took on that application if it made a credit
decision on the application or was reviewing the application when the application was

Institutional

withdrawn or closed for incompleteness. For example, the financial institution is still

Coverage

required to report the application if the financial institution denied the application or if
the financial institution approved the application but the applicant did not accept the

Transactional

loan. The financial institution is also required to report the application if the financial

Coverage

institution was reviewing the application when it was withdrawn or the file was closed
for incompleteness. Comment 4(a)-2.ii.

▪ Covered Loans
▪ Reportable Activity

If a financial institution makes a credit decision on a covered loan or application

▪ Transaction involving

through the actions of an agent, the financial institution reports the covered loan or

Multiple Entities
▪ Partial Exemptions

application. State law determines whether one party is the agent of another party.
Comment 4(a)-4.

Compilation of

The following examples illustrate when a financial institution reports certain

Reportable Data

transactions related to covered loans involving multiple entities.

Recording, Reporting,
and Disclosure

EXAMPLES
1. Ficus Bank receives an application for a covered loan from an applicant and
forwards that application to Pine Bank, which reviews and approves the
application prior to closing. The loan closes in Ficus Bank’s name. Pine Bank
purchases the loan from Ficus Bank after closing. Pine Bank is not acting as
Ficus Bank’s agent when it reviews and approves the application. Because
Pine Bank made the credit decision prior to closing, Pine Bank reports the
transaction as an originated covered loan, not as a purchased covered loan.
Ficus Bank does not report the transaction.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

2. Ficus Mortgage Company receives an application for a covered loan from an
applicant and forwards that application to Pine Bank, which reviews and denies
the application before the loan would have closed. Pine Bank is not acting as
Ficus Mortgage Company’s agent when it reviews and denies the application.
Because Pine Bank makes the credit decision, Pine Bank reports the
application as denied. Ficus Mortgage Company does not report the application.
If, under the same facts, the application is withdrawn before Pine Bank makes a

Institutional

credit decision, Pine Bank reports the application as withdrawn, and Ficus

Coverage

Mortgage Company does not report the application.
3. Ficus Bank receives an application for a covered loan from an applicant and

Transactional

approves the application. Ficus Bank closes the loan in its name. Ficus Bank is

Coverage

not acting as Pine Bank’s agent when it approves the application or closes the
loan. Pine Bank does not review the application before closing. Pine Bank

▪ Covered Loans

purchases the covered loan from Ficus Bank. Ficus Bank reports the loan as

▪ Reportable Activity

an originated covered loan. Pine Bank reports the loan as a purchased covered

▪ Transaction involving

loan.

Multiple Entities
▪ Partial Exemptions

Compilation of
Reportable Data
Recording, Reporting,
and Disclosure

4. Pine Bank reviews an application and makes a credit decision to approve a
covered loan using the underwriting criteria provided by Ficus Mortgage
Company. Pine Bank is not acting as Ficus Mortgage Company’s agent, and no
one acting on behalf of Ficus Mortgage Company reviews the application or
makes a credit decision prior to closing. Pine Bank reports the application or, if
the application results in a covered loan, it reports the loan as an originated
covered loan. If the application results in a covered loan and Ficus Mortgage
Company purchases it after closing, Ficus Mortgage Company reports the loan
as a purchased covered loan.
5. Ficus Bank receives an application for a covered loan and forwards it to Aspen
Bank and Pine Bank. Ficus Bank makes a credit decision, acting as Elm Bank’s
agent, and approves the application. Pine Bank makes a credit decision and

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

denies the application. Aspen Bank makes a credit decision approving the
application. The applicant does not accept the loan from Elm Bank. The
applicant accepts the loan from Aspen Bank and credit is extended. Aspen
Bank reports the loan as an originated covered loan. Pine Bank reports the
application as denied. Elm Bank reports the application as approved but not
accepted. Ficus Bank does not report the application.

Institutional
Coverage

PARTIAL EXEMPTIONS
The 2018 Act created partial exemptions from some of HMDA’s requirements for
certain financial institutions. Only certain covered loans and applications are covered

Transactional

under each of the two partial exemptions. The partial exemptions were effective May

Coverage

24, 2018, and apply to the collection, recording, and reporting of HMDA data on or
after that date.

▪ Covered Loans
▪ Reportable Activity
▪ Transaction involving
Multiple Entities
▪ Partial Exemptions

In order to be eligible for a partial exemption, a financial institution must be an:
1. “Insured credit union,” as defined in section 101 of the Federal Credit Union Act,
12 U.S.C. 1752; or
2. “Insured depository institution,” as defined in section 3 of the Federal Deposit

Compilation of
Reportable Data

Insurance Act, 12 U.S.C. 1813.
Additionally, an insured depository institution must not have received less than
satisfactory ratings in its most recent Community Reinvestment Act (CRA)

Recording, Reporting,

performance evaluations to be eligible for a partial exemption. More specifically, an

and Disclosure

insured depository institution must not have received either of the following:
1. A rating of “needs to improve record of meeting community credit needs” during
each of its two most recent examinations under section 807(b)(2) of the CRA; or

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

2. A rating of “substantial noncompliance in meeting community credit needs” on
its most recent examination under section 807(b)(2) of the CRA.

Requirements
The CRA ratings used to determine if an insured depository institution is eligible for a
partial exemption are the institution’s two most recent ratings as of December 31 of
the preceding year.
In order for a partial exemption to apply to an application or covered loan (including a

Institutional

purchased covered loan), an eligible financial institution must also meet the applicable

Coverage

loan-volume threshold. The 2018 HMDA Rule clarified that only loans that are
otherwise reportable under Regulation C count towards the thresholds for partial

Transactional

exemptions. A reportable loan under Regulation C is a loan that meets the definition

Coverage

of closed-end mortgage loan under section 1003.2(d) or open-end line of credit under
section 1003.2(o), and that the transaction is not excluded under section 1003.3(c)(1)

▪ Covered Loans
▪ Reportable Activity
▪ Transaction involving
Multiple Entities
▪ Partial Exemptions

Compilation of
Reportable Data

through (10) or (13).
A partial exemption applies to an eligible financial institution’s applications for
originations of, and purchases of closed-end mortgage loans if the institution
originated fewer than 500 closed-end mortgage loans in each of the two preceding
calendar years.
A partial exemption applies to an eligible financial institution’s applications for,
originations of, and purchases of open-end lines of credit if the institution originated
fewer than 500 open-end lines of credit in each of the two preceding calendar years.

Recording, Reporting,
and Disclosure

The partial exemption for closed-end mortgage loans and the partial exemption for
open-end lines of credit operate independently of one another. Thus, in a given
calendar year, an eligible financial institution may be able to rely on one partial
exemption but not the other. For example, Ficus Bank is an insured depository
institution as defined in Section 3 of the Federal Deposit Insurance Act, and it
received satisfactory ratings in its two most recent CRA examinations as of December
31, 2019. In 2018, Ficus Bank originated 400 closed-end mortgage loans and 510
open-end lines of credit. In 2019, Ficus Bank originated 490 closed-end mortgage
loans and 515 open- end lines of credit. In 2020, a partial exemption applies to Ficus

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

Bank’s closed-end mortgage loan transactions, but a partial exemption does not apply
to Ficus Bank’s open-end line of credit transactions. Additionally, because Ficus Bank
originated at least 500 open-end lines of credit in both 2018 and 2019, Ficus Bank
cannot exclude open-end lines of credit from its reportable transactions in 2020 (i.e.,
they are not excluded transactions).
The 2018 Act created partial exemptions, not complete exclusions. Therefore, if a

Institutional

covered loan or application is covered by a partial exemption, the financial institution

Coverage

is required to collect, record, and report 22 specific data points specified in 12 CFR
1003.4(a)(1) through (38), but is exempt from collecting, recording, and reporting 26

Transactional

other specific data points for that transaction. See Appendix F for a list of data points

Coverage

that do not need to be collected, recorded, or reported if the transaction is covered by
a partial exemption and a list of data points that must be collected, recorded, and

▪ Covered Loans

reported if the transaction is covered by a partial exemption.

▪ Reportable Activity
▪ Transaction involving
Multiple Entities

At its option, an eligible financial institution may voluntarily report any or all of these 26
data points for a covered loan or application covered by a partial exemption.

▪ Partial Exemptions

APPLICATION OF PARTIAL EXEMPTIONS AFTER A MERGER OR ACQUISITION
Compilation of
Reportable Data
Recording, Reporting,
and Disclosure

After a merger or acquisition, the surviving or newly formed institution falls below the
loan threshold described in § 1003.3(d)(2) or (3) if the combined lending activity of the
surviving or newly formed institution and the merged or acquired institutions or
acquired branches falls below the loan threshold described in § 1003.3(d)(2) or (3).
After a merger or acquisition, the surviving or newly formed institution is ineligible for
the partial exemptions if either the surviving or newly formed institution or any of the
merged or acquired institutions received a rating of “needs to improve record of
meeting community credit needs” during each of its two most recent CRA
examinations or a rating of “substantial noncompliance in meeting community credit
needs” on its most recent CRA examination. Comments 3(d)-1 through -3.

Summary of Requirements

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

For more information on the partial exemptions, see Section 4.3 of the HMDA Small
Entity Compliance Guide, available in Appendix B of this Guide.

Institutional
Coverage

Compilation of Reportable Data: What is

Transactional

Reported?

Coverage
Compilation of
Reportable Data
Recording, Reporting,
and Disclosure

Appendix A of this Guide contains a summary of the data points required to be
collected, recorded, and reported beginning in 2018, and where to find specific
guidance in the regulation and commentary on what should be included for each data
point.17 Each data point may correspond to more than one field reported on the
HMDA LAR. Unless a partial exemption applies, there are 48 data points described in
Regulation C and 110 fields reported on the HMDA LAR. One example of a data
point that corresponds to multiple fields is the ethnicity data point. Each applicant and
co-applicant may enter up to five ethnicities on their application. See 12
CFR1003.4(a)(10)(i); Appendix B to Part 1003.
Additional information on the fields and codes used in preparing the HMDA LAR are
provided in the Filing Instructions Guide, available at ffiec.cfpb.gov.
Where to Look: Regulation C’s reportable data criteria are found in 12 CFR 1003.4 and
the associated commentary, available in Appendix H and I of this Guide. You may also want to
review Section 5 of the HMDA Small Entity Compliance Guide available in Appendix B of this
Guide.

Additionally, Section 5 of the CFPB’s HMDA Small Entity Compliance Guide, available in
Appendix B of this Guide, contains a plain language guide for the reportable data, including
examples from the commentary.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

APPLICANT INFORMATION
A financial institution must report information about ethnicity, race, and sex, as well as
age, for applicants who are natural persons. Appendix B to Regulation C provides
instructions on how to collect ethnicity, race, and sex information, and is available in
Appendix H of this Guide. 18

Institutional
Coverage
Transactional
Coverage
Compilation of
Reportable Data
▪ Applicant Information

Recording, Reporting,
and Disclosure

Section 5.1 of the CFPB’s HMDA Small Entity Compliance Guide, available in Appendix B
of this Guide, contains a plain language guide for collecting and reporting application
information. Further, Appendix C of this Guide contains the CFPB’s chart on Collecting
Ethnicity, Race, and Sex.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

Recording, Reporting, and Disclosure: When
is it Reported?
Where to Look: Regulation C’s Recording, Reporting, and Disclosure criteria are found
within 12 CFR 1003.5 and the associated commentary, available in Appendix H and I of this
Guide. You may also want to review Section 6 of the HMDA Small Entity Compliance Guide

Institutional

available in Appendix B of this Guide.

Coverage
RECORDING

Transactional

Regulation C requires a financial institution to record the data about a covered loan or

Coverage

application on a HMDA LAR within 30 calendar days after the end of the calendar
quarter in which the financial institution takes final action on the covered loan or

Compilation of

application. 12 CFR 1003.4(f). A financial institution is not required to record all of its

Reportable Data

HMDA data for a quarter on a single HMDA LAR. Rather, a financial institution may
record data on a single HMDA LAR or may record data on one or more HMDA LARs

Recording,
Reporting, and
Disclosure
▪ Recording
▪ Reporting
▪ Disclosure of Data

for different branches or different loan types (such as home purchase loans or home
improvement loans, or loans on multifamily dwellings). Comment 4(f)-1.
Other State or Federal regulations may require a financial institution to record its data
on a HMDA LAR more frequently. Comment 4(f)-2.
Financial institutions may maintain their quarterly records in electronic or any other
format, provided they can make the information available to their regulatory agencies
in a timely manner upon request. Comment 4(f)-3.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

REPORTING
In addition to the required data discussed in 12 CFR 1003.4 and Section 5 of the
HMDA Small Entity Compliance guide, available in Appendix B of this Guide,
effective January 1, 2019, a financial institution must include the following when it
submits its HMDA data:

Institutional
Coverage
Transactional
Coverage

1. Its name;
2. The calendar year the data submission covers;
3. The name and contact information for a person who can be contacted with
questions about the submission;
4. The financial institution’s appropriate Federal HMDA reporting agency;
5. The total number of entries in the submission;

Compilation of

6. The financial institution’s TIN; and

Reportable Data

7. The financial institution’s LEI. 12 CFR 1003.5(a)(3).

Recording,

If the appropriate Federal HMDA reporting agency for a financial institution changes,
the financial institution must identify its new appropriate Federal HMDA reporting

Reporting, and

agency in its annual submission for the year of the change. Comment 5(a)-2. For

Disclosure

example, if a financial institution’s appropriate Federal HMDA reporting agency

▪ Recording
▪ Reporting
▪ Disclosure of Data

changes in February 2021, it must identify its new appropriate Federal HMDA
reporting agency beginning with its annual submission of 2021 data by March 1, 2022.
If a financial institution obtains a new TIN, it must provide the new TIN in its
subsequent data submissions. For example, if two financial institutions that previously
reported HMDA data merge and the surviving financial institution retained its LEI but
obtained a new TIN, the surviving financial institution reports the new TIN beginning
with its next HMDA data submission. Comment 5(a)-5.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

A financial institution that is a subsidiary of a bank or savings association must

Requirements

complete its own HMDA LAR and submit it, directly or through its parent, to the
appropriate Federal HMDA reporting agency for the subsidiary’s parent. 12 CFR
1003.5(a)(2). A financial institution is a subsidiary of a bank or savings association
(for purposes of reporting HMDA data to the same agency as the parent) if the bank or
savings association holds or controls an ownership interest in the financial institution
that is greater than 50 percent. Comment 5(a)-3.

Institutional
Coverage

ANNUAL REPORTING

Transactional

Regulation C maintains the annual reporting requirement, but requires financial

Coverage
Compilation of
Reportable Data

institutions to submit data electronically in accordance with the procedures published
by the CFPB. 12 CFR 1003.5(a)(5). This Guide does not provide detailed information
about the HMDA submission process, or file, data, and edit specifications. Information
about those topics can be found in the FFIEC’s Help for Filers section, available at
ffiec.cfpb.gov and How to File section, available at www.ffiec.gov/hmda/.

Recording,

Under Regulation C, a financial institution must submit its annual HMDA LAR in

Reporting, and

electronic format to its appropriate Federal HMDA reporting agency by March 1 of the

Disclosure

year following the calendar year for which the data are collected. 12 CFR

▪ Recording
▪ Reporting
▪ Disclosure of Data

1003.5(a)(1)(i). An individual who is an authorized representative of the financial
institution and who has knowledge regarding the submitted data must certify its
accuracy and completeness. 12 CFR 1003.5(a)(1)(i).
A financial institution must retain a copy of its submitted annual HMDA LAR for at
least three years. 12 CFR 1003.5(a)(1)(i). Financial institutions may retain their
annual HMDA LARs in either paper or electronic form. Comment 5(a)-4.
For more information on reporting under Regulation C or on the electronic submission
of data, please see ffiec.cfpb.gov.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

QUARTERLY REPORTING

Requirements
Effective January 1, 2020, Regulation C requires some financial institutions to report
data on a quarterly basis as well as on an annual basis. A financial institution’s
covered loans and applications, excluding purchased covered loans, in calendar year
2020 will determine whether the quarterly reporting requirement will apply to the
financial institution in 2021.

Institutional
Coverage

The quarterly reporting requirement applies to a financial institution that reported at
least 60,000 originated covered loans and applications (combined) for the preceding

Transactional
Coverage
Compilation of
Reportable Data
Recording,

calendar year. The financial institution does not count purchased covered loans when
determining whether the quarterly reporting requirement applies. If quarterly reporting
is required, the financial institution must report all data required to be recorded for the
calendar quarter within 60 calendar days after the end of the calendar quarter. The
quarterly reporting requirement does not apply, however, to the fourth quarter of the
year. A financial institution that is subject to the quarterly reporting requirement
reports its fourth quarter data as part of its annual submission. In its annual
submission, a quarterly reporter will resubmit the data previously submitted for the first

Reporting, and

three calendar quarters of the year, including any corrections to the data, as well as its

Disclosure

fourth quarter data. 12 CFR 1003.5(a)(1)(ii).

▪ Recording
▪ Reporting
▪ Disclosure of Data

This Guide does not provide detailed information about the
quarterly or annual HMDA submission process, or file, data,
and edit specifications. The Filing Instructions Guide as well
as a Supplemental Guide for Quarterly Filers can be found in
the FFIEC’s Help for Filers section, available at ffiec.cfpb.gov and
How to File section, available at www.ffiec.gov/hmda/.Summary of
Requirements

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Institutional

DETERMINING QUARTERLY REPORTING COVERAGE

Coverage
In the calendar year of a merger, Regulation C requires a surviving or newly formed

Transactional
Coverage
Compilation of
Reportable Data

financial institution to report quarterly, beginning with the first quarterly submission due
date after the date of the merger, in certain circumstances. Specifically, the financial
institution must report, if when added, together, the surviving or newly formed financial
institution and all financial institutions that merged reported at least 60,000 originated
covered loans and applications for the preceding calendar year.
In the calendar year of an acquisition, the surviving financial institution is required to

Recording,

report quarterly, beginning with the first quarterly submission due date after the date of

Reporting, and

the acquisition, in certain circumstances. Specifically, the financial institution must

Disclosure

report, if when added together the surviving financial institution and acquired financial
institution(s) or branch office(s) reported at least 60,000 originated covered loans and

▪ Recording

applications for the preceding calendar year. If a financial institution acquires one or

▪ Reporting

more branch offices of another financial institution but does not acquire the financial

▪ Disclosure of Data

institution, it is required to count only the originated covered loans and applications for
the branch offices that it acquired. Comment 5(a)-1.ii.
In the calendar year following a merger or acquisition, the surviving or newly formed
financial institution is required to comply with the quarterly reporting requirements if a
combined total of at least 60,000 originated covered loans and applications is reported
for the preceding calendar year by or for the surviving or newly formed financial
institution and each financial institution or branch office that merged or was acquired.
Comment 5(a)-1.iii.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of
Requirements

DISCLOSURE OF DATA

DISCLOSURE STATEMENT
Under Regulation C, the FFIEC shall provide a notice to the financial institution that
the financial institution’s disclosure statement (aggregated data derived from loanlevel data submitted for the prior calendar year) is available. 12 CFR 1003.5(b)(1). No

Institutional
Coverage
Transactional
Coverage

later than three business days (any calendar day other than a Saturday, Sunday, or
legal public holiday) after receiving notice from the FFIEC, the financial institution
must make available to the public, upon request, a written notice that clearly conveys
that the financial institution’s disclosure statement may be obtained on the CFPB’s
website at www.consumerfinance.gov/hmda. 12 CFR 1003.5(b)(2); Comment 5(b)1. A financial institution’s disclosure statement may also be obtained from
ffiec.cfpb.gov. A financial institution may, but is not required to, use the sample

Compilation of

notice to satisfy Regulation C’s disclosure statement requirement. A copy of the

Reportable Data

sample notice is included as Attachment C of the HMDA Small Entity Compliance
Guide, available in Appendix B of this Guide. The notice may be made available in

Recording,

paper or electronic form. Comment 5(b)-2.

Reporting, and
Disclosure

A financial institution must make the notice available to the public for a period of five
years. 12 CFR 1003.5(d)(1).

▪ Recording
▪ Reporting

At its discretion, a financial institution may also provide its disclosure statement and

▪ Disclosure of Data

impose a reasonable fee for costs incurred reproducing or providing the statement. 12
CFR 1003.5(d)(2). Even if it provides the disclosure statement, a financial institution
must comply with the notice requirement.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

MODIFIED HMDA LAR19

Requirements
Upon request from a member of the public, a financial institution must provide a
written notice regarding the availability of its modified HMDA LAR (the financial
institution’s HMDA LAR, as modified by the CFPB to protect applicant and borrower
privacy). The written notice must clearly convey that the financial institution’s HMDA
LAR, as modified by the CFPB to protect borrower and applicant privacy, may be

Institutional

obtained on the CFPB’s website at www.consumerfinance.gov/hmda. 12 CFR

Coverage

1003.5(c). A financial institution’s HMDA LAR is also available at ffiec.cfpb.gov.

Transactional

A financial institution may, but is not required to, use the sample notice to satisfy

Coverage
Compilation of
Reportable Data
Recording,
Reporting, and

Regulation C’s modified HMDA LAR requirement. Comment 5(c)-2. A copy of the
sample notice is included as Attachment C of the HMDA Small Entity Compliance
Guide, available in Appendix B of this Guide. A financial institution may, but is not
required to, use the same notice for purposes of this disclosure requirement and the
disclosure statement requirement discussed in the DISCLOSURE STATEMENT section
above. See also Section 6.3.1 of the HMDA Small Entity Compliance Guide, available
in Appendix B of this Guide. The notice may be made available in paper or
electronic form. Comment 5(c)-1.

Disclosure
▪ Recording
▪ Reporting
▪ Disclosure of Data

The notice must be made available in the calendar year following the calendar year
for which the financial institution collected data. The notice must be made available
for three years. 12 CFR 1003.5(d)(1). For example, for data that it was required to

On December 21, 2018, the CFPB issued final policy guidance describing modifications the
CFPB intends to apply to the HMDA data, including modifications to protect consumers’
privacy, before the data are made available to the public beginning in 2019. The policy
guidance is available www.consumerfinance.gov/policy-compliance/rulemaking/finalrules/regulation-c-home-mortgage-disclosure-act/

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

Summary of

collect in 2018 a financial institution must make available a notice that its modified

Requirements

HMDA 2018 LAR is available through calendar year 2021. At its discretion, a financial
institution may also provide its HMDA LAR, as modified by the CFPB, and impose a
reasonable fee for any costs incurred to reproduce or provide the data. 12 CFR
1003.5(d)(2). Even if it decides to provide the modified HMDA LAR, a financial
institution must comply with the notice requirement.

Institutional

POSTED NOTICES

Coverage
A financial institution must post, in the lobby of its home office and each branch office

Transactional
Coverage
Compilation of
Reportable Data
Recording,
Reporting, and
Disclosure
▪ Recording
▪ Reporting
▪ Disclosure of Data

physically located in an MSA or Metropolitan Division (MD), a general notice about the
availability of its HMDA data on the CFPB’s website. 12 CFR 1003.5(e). A financial
institution may, but is not required to, use the sample notice to satisfy this
requirement. A copy of the sample posted notice is available in Appendix K of this
Guide and as Attachment C of the HMDA Small Entity Compliance Guide, available in
Appendix B of this Guide. In any case, the notice must clearly convey that the
financial institution’s HMDA data are available on the CFPB’s website at
www.consumerfinance.gov/hmda.20 Comment 5(e)-1.

AGGREGATED DATA
The FFIEC will use the annual data submitted pursuant to Regulation C to make
available aggregated data for each MSA and MD, showing lending patterns by
property location, age of housing stock, and income level, sex, ethnicity, and race.
12 CFR 1003.5(f).

HMDA data submitted by financial institutions are also available at ffiec.cfpb.gov.

2021 EDITION A GUIDE TO HMDA REPORTING: GETTING IT RIGHT!

APPENDIX

Appendix
Intro
A: Overview of Data
Requirements Chart
B: HMDA Small Entity
Compliance Guide
C: Instructions on
Collection of Data on
Ethnicity, Race, and Sex
D: Institutional Coverage
Chart
E: Transactional
Coverage Chart
F: Partial Exemptions
Charts
G: Data Fields and Data

The following appendices provide additional HMDA materials that you may find useful,

Points Chart

including certain implementation resources provided by the CFPB that are also
available at www.consumerfinance.gov/policy-compliance/guidance/hmda-

H: Regulation C

implementation/.

I: Official Interpretations

Financial institutions may wish to consult with their Federal supervisory agencies

to Regulation C

regarding additional compliance resources that the agencies may offer. Agency

J: Federal HMDA
Reporting Agencies
K: HMDA Poster

websites and contact information can be found below in Appendix J.

Appendix

APPENDIX A:

Overview of Data Requirements Chart

This following chart developed by the CFPB is intended to be used as a reference tool

Points Chart

for data points required to be collected, recorded, and reported under Regulation C,
as amended by the 2015 HMDA Rule, 2017 HMDA Rule, and the 2018 Act that was
further implemented by the 2019 HMDA Rule. Relevant regulation and commentary
sections are provided for ease of reference. The chart also incorporates the
information found in Section 4.2.2 of the 2021 FIG for ease of reference. Finally, the
chart provides when to report “not applicable,” and the code used for reporting “not
applicable” from Section 4 of the 2021 FIG for ease of reference. This chart does not
provide data fields or enumerations used in preparing the HMDA LAR. For more
information on preparing the HMDA LAR, please see ffiec.cfpb.gov.

H: Regulation C
I: Official Interpretations
to Regulation C
J: Federal HMDA
Reporting Agencies
K: HMDA Poster

Effective January 1, 2021

Reportable HMDA Data: A Regulatory and Reporting Overview Reference Chart for
HMDA Data Collected in 2021 a
This chart is intended to be used as a reference tool for data points required to be collected, recorded, and reported under Regulation C, as amended by the HMDA Rules issued on October 15,
2015, on August 24, 2017, on October 1 0, 2019, and on April 1 6, 2020. a Relevant regulation and commentary sections are provided for ease of reference. The chart also incorporates the
information found in Section 4.2.2 of the 2021 Filing Instructions Guide and provides when to report not applicable or exempt, including the codes used for reporting not applicable or exempt
from section 4 of the 2021 Filing Instructions Guide for ease of reference. This chart does not provide data fields or enumerations used in preparing the HMDA loan/application register
(LAR). For more information on preparing the HMDA LAR, please see http://ffiec.cfpb.gov.

Data point
(1) Legal Entity
Identifier (LEI)

Regulation C
references
§ 1003.4(a)(1)(i)(A)

Description

Filing instructionsb

Identifier issued to the
financial institution (FI)
by a utility endorsed by
the Global LEI
Foundation or LEI
Regulatory Oversight
Committee

Enter your financial institution’s LEI.
Example: If your institution’s LEI is 10BX939C5543TQA1144M,
enter 10BX939C5543TQA1144M.

Reporting “Not Applicable” c or “Exempt”d

T h is is a com pliance aid issued by the Consumer Financial Protection Bu reau. The Bureau published a policy statement on com pliance a ids, available at consumerfinance.gov/policy-com pliance/rulemaking/finalr u les/policy-statement-com pliance-aids, that explains the Bureau’s a pproach to com pliance aids.
1

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Effective January 1, 2021

Data point
(2) Universal
Loan Identifier
(ULI) or NonUniversal Loan
Identifier (NULI)

Regulation C
references
§ 1003.4(a)(1)(i),
Comments
4(a)(1)(i)-1 through 5, and appendix C

Description

Filing instructionsb

ULI: Identifier assigned
to identify and retrieve
a loan or application
that contains the FI’s
LEI, an internally
generated sequence of
characters, and a
check digit

ULI. Assign and report a ULI that:

NULI: Identifier
assigned to identify a
loan or application

Reporting “Not Applicable” c or “Exempt”d

1. Begins with the financial institution’s Legal Entity Identifier as defined
in § 1003.4(a)(1)(i)(A).
2. Follows the Legal Entity Identifier with up to 23 additional characters
to identify the covered loan or application, which:
 May be letters, numerals, or a combination of letters and
numerals;
 Must be unique within the financial institution; and
 Must not include any information that could be used to directly
identify the applicant or borrower.
3. Ends with a two-character check digit that is calculated using the
ISO/IEC 7064, MOD 97-10 as it appears on the International Standard
ISO/IEC 7064:2003, which is published by the International
Organization for Standardization (ISO).
A check digit can be generated by:
 Using the check digit tool. Information regarding the check digit
tool will be located at https://ffiec.cfpb.gov/tools/check-digit; or
 Applying the procedures provided in appendix C to Regulation
C.
ULI Example:

10BX939c5543TQA1144M999143X99
LEI

Loan or
Application
Identifier

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Check
Digit

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d

NULI. If not reporting a ULI per the 2018 HMDA Rule, assign and
report a NULI that:
1. Is composed of up to 22 characters, which may include letters,
numerals, or a combination of letters and numerals.
2. Is unique within the insured depository institution or insured credit
union.
3. Does not include any information that could be used to directly
identify the applicant or borrower.
NULI Example:

999143X

(3) Application
Date

§ 1003.4(a)(1)(ii),
Comments
4(a)(1)(ii)-1 through 3

Date the application
was received or the
date on the application
form

Enter, in numeral form, the date the application was received or the
date shown on the application form by year, month, and day, using
YYYYMMDD format.
Example: If the application was received on July 21, 2021, enter
20210721.

(4) Loan Type

§ 1003.4(a)(2),
Comment 4(a)(2)-1

Whether the loan or
application is insured
by the Federal Housing
Administration,
guaranteed by the
Department of
Veterans Affairs, Rural
Housing Service, or
Farm Service Agency

Indicate the type of covered loan or application by entering:
 Code 1—Conventional (not insured or guaranteed by FHA, VA,
RHS, or FSA)
 Code 2—Federal Housing Administration insured (FHA)
 Code 3—Veterans Affairs guaranteed (VA)
 Code 4—USDA Rural Housing Service or Farm Service Agency
guaranteed (RHS or FSA)

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Enter “NA” for purchased covered loans,
§ 1003.4(a)(1)(ii).

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d
To report not applicable, enter “Code 5” for
purchased covered loans where origination took
place prior to January 1, 2018, Comment 4(a)(3)-6.

(5) Loan
Purpose

§ 1003.4(a)(3),
Comments 4(a)(3)-1
through -6

Whether the
transaction is for home
purchase, home
improvement,
refinancing, cash-out
refinancing, or another
purpose

Indicate the purpose of the covered loan or application by entering:
 Code 1—Home purchase
 Code 2—Home improvement
 Code 31—Refinancing
 Code 32—Cash-out refinancing
 Code 4—Other purpose
 Code 5—Not applicable

(6) Preapproval

§ 1003.4(a)(4),
Comments 4(a)(4)-1
and -2

Whether the
transaction involved a
preapproval request for
a home purchase loan
under a preapproval
program

Indicate preapproval for a covered loan or application by entering:
 Code 1—Preapproval requested
 Code 2—Preapproval not requested

(7) Construction
Method

§ 1003.4(a)(5),
Comments 4(a)(5)-1
through -3

Whether the dwelling is
site-built or a
manufactured home

Indicate the construction method for the dwelling by entering:
 Code 1—Site-built
 Code 2—Manufactured home

(8) Occupancy
Type

§ 1003.4(a)(6),
Comments 4(a)(6)-1
through -5

Whether the property
will be used as a
principal residence,
second residence, or
investment property

Indicate the occupancy type by entering:
 Code 1—Principal residence
 Code 2—Second residence
 Code 3—Investment property

(9) Loan
Amount

§ 1003.4(a)(7),
Comments 4(a)(7)-1
through -9

Amount of the loan or
the amount applied for

Enter, in dollars, the amount of the covered loan, or the amount applied
for, as applicable.
Example: If the loan amount is $110,500, enter 110500 or
110500.00. If the loan amount is $110,500.24, enter 110500.24.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Effective January 1, 2021

Data point
(10) Action
Taken and (11)
Action Taken
Date

Regulation C
references
§ 1003.4(a)(8),
Comments
4(a)(8)(i)-1 through 14 and 4(a)(8)(ii)-1
through -6

Description

Filing instructionsb

Type and date of
action the FI took on
the loan, application, or
preapproval request

ACTION TAKEN. Indicate the action taken on the covered loan or
application by entering:
 Code 1—Loan originated
 Code 2—Application approved but not accepted
 Code 3—Application denied
 Code 4—Application withdrawn by applicant
 Code 5—File closed for incompleteness
 Code 6—Purchased loan
 Code 7—Preapproval request denied
 Code 8—Preapproval request approved but not accepted

Reporting “Not Applicable” c or “Exempt”d

ACTION TAKEN DATE. Enter, in numeral form, the date of action
taken by year, month, and day, using YYYYMMDD format.
Example: If the action taken date is July 21, 2021, enter 20210721.
(12) Property
Address

§ 1003.4(a)(9)(i),
Comments 4(a)(9)-1
through -5 and
4(a)(9)(i)-1 through 3

Address of the property
securing the loan (or
proposed to secure a
loan)

STREET ADDRESS. Enter the street address of the property as one
(1) data field. U.S. Postal Service Publication 28, Subsections 231–239,
can be used as a guide for formatting the street address to help
improve geocoding accuracy. Address components include, as
applicable, the following individual items:
 Primary Address Number
 Predirectional
 Street Name
 Prefix
 Suffix
 Postdirectional
 Secondary Address Identifier, such as apartment
 Secondary Address, such as apartment number
CITY. Enter the city of the property as one (1) data field.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Enter “NA” in each of the property address fields
for:
 Covered loans or applications if the property
address of the property securing the covered
loan is not known (e.g., the property did not
have a property address at closing, or the
property address was not provided to the
institution before the application was denied,
withdrawn, or closed for incompleteness),
Comment 4(a)(9)(i)-3;
 Covered loans or applications if a site of a
manufactured home has not been identified,
Comment 4(a)(9)-5.

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d

STATE. Enter the two letter state code of the property as one (1) data
field.
ZIP CODE. Enter the ZIP code of the property as one (1) data field.

STATE ONLY: For transactions for which State
reporting is not required under § 1003.4(a)(9)(i), a
financial institution may not report not applicable
for the Property Address State unless the
institution is permitted to report not applicable for
State for Property Location. See below for when
you may report not applicable for Property
Location.

NON-STANDARD ADDRESSING. U.S. Postal Service Publication 28,
Subsection 24, 25, and 29, respectively, can be used as guides for
formatting non-standard style addressing including rural route, Highway
Contract Route, and Puerto Rico addresses to increase the accuracy
for geocoding.
The following address formats are generally not preferred:
 General Delivery addresses, such as General Delivery, Anytown,
CA 90049-9998.
 Post Office Box addresses, such as P.O. Box 100 Anytown, CA
90049-9998.
 Spelled-out numbers, such as Four Hundred Fifty Six W
Somewhere Ave Apt Two Hundred One.
(13), (14), and
(15) Property
Location

§ 1003.4(a)(9)(ii),
Comments 4(a)(9)-1
through -5,
4(a)(9)(ii)-1,
4(a)(9)(ii)(A)-1,
4(a)(9)(ii)(B)-1 and 2, and 4(a)(9)(ii)(C)1 and -2

Location of the
property securing the
loan (or proposed to
secure a loan) by state,
county, and census
tract

COUNTY. Enter the five-digit Federal Information Processing
Standards (FIPS) numerical code for the county. Do not use commas.
Example: Enter 06037 for the FIPS code for Los Angeles County,
CA.
CENSUS TRACT. Enter the 11-digit census tract number as defined by
the U.S. Census Bureau. Do not use decimals.
Example: Enter 06037264000 for a census tract within Los
Angeles County, CA.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Enter “Exempt” in the Street Address, City, and
Zip Code fields if, pursuant to the 2018 HMDA
Final Rule, if your institution is not reporting
Property Address.

Enter “NA” for:
 Applications only if the state, county, or census
tract in which the property is located is not
known before the application is denied,
withdrawn, or closed for incompleteness,
Comments 4(a)(9)(ii)(A)-1, 4(a)(9)(ii)(B)-2, and
4(a)(9)(ii)(C)-2;
 Covered loans or applications if a site of a
manufactured home has not been identified,
Comment 4(a)(9)-5;

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d

STATE. Enter the two letter state code of the property as one (1) data
field.



Covered loans or applications if the property is
not located in an Metropolitan Statistical Area
(MSA) or Metropolitan Division (MD) in which
the institution has a home or branch office and
the institution is not required to report data on
small business, small farm, and community
development lending under regulations that
implement the Community Reinvestment Act of
1977, § 1003.4(a)(9)(ii) and § 1003.4(e);
CENSUS TRACT ONLY: Covered loans or
applications if the property is located in a
county with a population of 30,000 or less
according to the most recent decennial census
conducted by the U.S. Census Bureau, §
1003.4(a)(9)(ii)(C).

NOTE: For transactions for which State, county, or
census tract reporting is not required under
§ 1003.4(a)(9)(ii) or § 1003.4(e), financial
institutions may report that the requirement is not
applicable, or they may voluntarily report the State,
county, or census tract information, Comment
4(a)(9)(ii)-1.
STATE ONLY: For transactions for which State
reporting is not required under § 1003.4(a)(9)(ii), a
financial institution may not report not applicable
for the Property Location State unless the

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d
institution is permitted to report not applicable for
Property Address. See above for when you may
report not applicable for Property Address.

(16) Ethnicity,

§ 1003.4(a)(10)(i),
Comments
4(a)(10)(i)-1 and -2
and appendix B

Applicant’s or
borrower’s ethnicity,
race, and sex, and if
information was
collected by visual
observation or
surname

ETHNICITY OF APPLICANT OR BORROWER. Indicate the ethnicity
of the applicant or borrower, or of the first co-applicant or co-borrower,
as applicable, by entering up to five (5):
 Code 1—Hispanic or Latino
o Code 11—Mexican
o Code 12—Puerto Rican
o Code 13—Cuban
o Code 14—Other Hispanic or Latino
NOTE: If the applicant or borrower, or any co-applicant or coborrower, did not select Code 14, but provided an other Hispanic
or Latino ethnicity(ies) in the Ethnicity Free Form Text Field for
Other Hispanic or Latino, your institution is permitted, but not
required, to report Code 14 in one of the Ethnicity of Applicant or
Borrower data fields. This will be counted as one of the five (5)
reported ethnicities, whether or not you also choose to report
Code 14 as one of the Ethnicity of Applicant or Borrower, or
Ethnicity of Co-Applicant or Co-Borrower, data fields. See below
for information about the Ethnicity Free Form Text Field for
Other Hispanic or Latino.
 Code 2—Not Hispanic or Latino
 Code 3—Information not provided by applicant in mail, internet, or
telephone application
NOTE: Use Code 3 if the applicant or borrower, or co-applicant
or co-borrower does not provide the information in an application

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

To report not applicable, enter “Code 4” for
Ethnicity of Applicant or Borrower and “Code
3” for Ethnicity Collected on the Basis of Visual
Observation or Surname for:




Purchased covered loans for which the
financial institution chooses not to report the
applicant’s or co-applicant’s ethnicity, race, and
sex, appendix B;
Covered loans or applications when applicant
or co-applicant is not a natural person,
appendix B.

NOTE: Use Code 3 for Ethnicity Collected on
the Basis of Visual Observation or Surname if
the financial institution received the application
prior to January 1, 2018, and the financial
institution chooses not to report whether the
ethnicity of the applicant or borrower, or of the first
co-applicant or co-borrower, as applicable, was
collected on the basis of visual observation or
surname, Comment 4(a)(10)(i)-2.

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb



taken by mail, internet, or telephone. Leave the remaining
Ethnicity of Applicant or Borrower data fields blank.
Code 4—Not applicable
NOTE: Use Code 4 if the requirement to report the applicant’s or
borrower’s ethnicity does not apply to the covered loan or
application that your institution is reporting. Leave the remaining
Ethnicity of Applicant or Borrower data fields blank.
Code 5—No co-applicant
NOTE: Use Code 5 in the co-applicant field if there are no coapplicants or co-borrowers. Leave the remaining Ethnicity of
Applicant or Borrower data fields blank.

If there is more than one co-applicant or co-borrower, provide the
required information only for the first co-applicant or co-borrower listed
on the collection form.
Do not enter the same code more than once for the applicant or
borrower, or any co-applicant or co-borrower, as applicable, for any
covered loan or application.
If fewer than five (5) ethnicities are provided by the applicant or
borrower, or by any co-applicant or co-borrower, leave the remaining
Ethnicity of Applicant or Borrower data fields blank.
ETHNICITY FREE FORM TEXT FIELD. Enter the specific other
Hispanic or Latino ethnicity(ies) not listed above, if provided by the
applicant or borrower, or by any co-applicant or co-borrower, as
applicable. For example, enter Argentinean, Colombian, Dominican,
Nicaraguan, Salvadoran, or Spaniard, and so on, if provided by the
9

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Reporting “Not Applicable” c or “Exempt”d

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb
applicant or borrower, or by any co-applicant or co-borrower, as
applicable. Enter more than one other Hispanic or Latino ethnicity, if
provided by the applicant or borrower, or by any co-applicant or coborrower, as applicable. The maximum number of characters for this
field is 100 characters, including spaces. If the applicant or borrower,
or any co-applicant or co-borrower, did not provide an other Hispanic
or Latino ethnicity(ies), leave this field blank.
ETHNICITY COLLECTED ON THE BASIS OF VISUAL
OBSERVATION OR SURNAME. Indicate whether the ethnicity of the
applicant or borrower, or of the first co-applicant or co-borrower, as
applicable, was collected on the basis of visual observation or surname
by entering:
 Code 1—Collected on the basis of visual observation or surname
 Code 2—Not collected on the basis of visual observation or
surname
 Code 3—Not applicable
NOTE: Use Code 3 if the requirement to report the applicant’s or
borrower’s ethnicity does not apply to the covered loan or
application that your institution is reporting.
 Code 4—No co-applicant
NOTE: Use Code 4 in the co-applicant field if there are no coapplicants or co-borrowers
If there is more than one co-applicant or co-borrower, provide the
required information only for the first co-applicant or co-borrower listed
on the collection form.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Reporting “Not Applicable” c or “Exempt”d

Effective January 1, 2021

Data point
(17) Race

Regulation C
references
§ 1003.4(a)(10)(i),
Comments
4(a)(10)(i)-1 and -2
and appendix B

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d

Applicant’s or
borrower’s ethnicity,
race, and sex, and if
information was
collected by visual
observation or
surname

RACE OF APPLICANT OR BORROWER. Indicate the race of the
applicant or borrower, or of the first co-applicant or co-borrower, as
applicable, by entering up to five (5):
 Code 1—American Indian or Alaska Native
NOTE: If the applicant or borrower, or any co-applicant or coborrower, did not select Code 1, but provided the name of the
applicant’s or borrower’s American Indian or Alaska Native
Enrolled or Principal Tribe(s) in the Race Free Form Text Field
for American Indian or Alaska Native Enrolled or Principal
Tribe, your institution is permitted, but not required, to report
Code 1 in one of the Race of Applicant or Borrower data fields.
Each reported race will be counted as one of the five (5)
reported races, whether or not you also choose to report Code 1
as one of the Race of Applicant or Borrower, or Race of CoApplicant or Co-Borrower, data fields. See below for information
about the Race Free Form Text Field for American Indian or
Alaska Native Enrolled or Principal Tribe.
 Code 2—Asian
o Code 21—Asian Indian
o Code 22—Chinese
o Code 23—Filipino
o Code 24—Japanese
o Code 25—Korean
o Code 26—Vietnamese
o Code 27—Other Asian
NOTE: If the applicant or borrower, or any co-applicant or
co-borrower, did not select Code 27, but provided the name
of the applicant’s or borrower’s other Asian race(s) in the
Race Free Form Text Field for Other Asian, your

To report not applicable, enter “Code 7” for Race
of Applicant or Borrower and “Code 3” for Race
Collected On The Basis Of Visual Observation
Or Surname for:

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020



NOTE: Use Code 3 if the financial institution
received the application prior to January 1, 2018,
and the financial institution chooses not to report
whether the race of the applicant or borrower, or
of the first co-applicant or co-borrower, as
applicable, was collected on the basis of visual
observation or surname.

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb




institution is permitted, but not required, to report Code 27
in one of the Race of Applicant or Borrower data fields.
Each reported race will be counted as one of the five (5)
reported races, whether or not you also choose to report
Code 27 as one of the Race of Applicant or Borrower, or
Race of Co-Applicant or Co-Borrower, data fields. See
below for information about the Race Free Form Text Field
for Other Asian.
Code 3—Black or African American
Code 4—Native Hawaiian or Other Pacific Islander
o Code 41—Native Hawaiian
o Code 42—Guamanian or Chamorro
o Code 43—Samoan
o Code 44—Other Pacific Islander
NOTE: If the applicant or borrower, or any co-applicant or
co-borrower, did not select Code 44, but provided the name
of the applicant’s or borrower’s other Pacific Islander
race(s) in the Race Free Form Text Field for Other
Pacific Islander, your institution is permitted, but not
required, to report Code 44 in one of the Race of Applicant
or Borrower data fields. Each reported race will be counted
as one of the five (5) reported races, whether or not you
also choose to report Code 44 as one of the Race of
Applicant or Borrower, or Race of Co-Applicant or CoBorrower, data fields. See below for information about the
Race Free Form Text Field for Other Pacific Islander.
Code 5—White
Code 6—Information not provided by applicant in mail, internet, or
telephone application

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Reporting “Not Applicable” c or “Exempt”d

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb



NOTE: Use Code 6 if the applicant or borrower, or co-applicant
or co-borrower does not provide the information in an application
taken by mail, internet, or telephone. Leave the remaining Race
of Applicant or Borrower data fields blank.
Code 7—Not applicable
NOTE: Use Code 7 if the requirement to report the applicant’s or
borrower’s race does not apply to the covered loan or application
that your institution is reporting. Leave the remaining Race of
Applicant or Borrower data fields blank.
Code 8—No co-applicant
NOTE: Use Code 8 in the co-applicant field if there are no coapplicants or co-borrowers. Leave the remaining Race of
Applicant or Borrower data fields blank.

Do not enter the same code more than once for the applicant or
borrower, or any co-applicant or co-borrower, as applicable, for any
covered loan or application.
If fewer than five (5) races are provided by the applicant or borrower, or
by any co-applicant or co-borrower, leave the remaining Race of
Applicant or Borrower data fields blank.
RACE FREE FORM TEXT FIELDS.
 RACE FREE FORM TEXT FIELD FOR AMERICAN INDIAN OR
ALASKAN NATIVE ENROLLED OR PRINCIPAL TRIBE. Enter
the name of the applicant’s or borrower’s American Indian or
Alaska Native enrolled or Principal Tribe(s), if provided by the
applicant or borrower, or by any co-applicant or co-borrower, as
applicable in the Race Free Form Text Field for American
13

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Reporting “Not Applicable” c or “Exempt”d

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb



Indian or Alaskan Native Enrolled or Principal Tribe. For
example, enter Navajo if provided by the applicant or borrower, or
by any co-applicant or co-borrower, as applicable. Enter more
than one American Indian or Alaska Native Enrolled or Principal
Tribe, if provided by the applicant or borrower, or by any coapplicant or co-borrower, as applicable. The maximum number of
characters for this field is 100 characters, including spaces. If the
applicant or borrower, or any co-applicant or co-borrower did not
provide an American Indian or Alaska Native Enrolled or Principal
Tribe(s), leave the Race Free Form Text Field for American
Indian or Alaska Native Enrolled or Principal Tribe field blank.
RACE FREE FORM TEXT FIELD FOR OTHER ASIAN. Enter the
specific other Asian race(s) not listed above, if provided by the
applicant or borrower, or by any co-applicant or co-borrower, as
applicable in the Race Free Form Text Field for Other Asian.
For example, enter Hmong, Laotian, Thai, Pakistani, or
Cambodian, and so on, if provided by the applicant or borrower, or
by any co-applicant or co-borrower, as applicable. Enter more
than one other Asian race, if provided by the applicant or borrower,
or by any co-applicant or co-borrower, as applicable. The
maximum number of characters for this field is 100 characters,
including spaces. If the applicant or borrower, or any co-applicant
or co-borrower, did not provide another Asian race(s), leave the
Race Free Form Text Field for Other Asian field blank.
RACE FREE FORM TEXT FIELD FOR OTHER PACIFIC
ISLANDER. Enter the specific Other Pacific Islander race(s) not
listed above, if provided by the applicant or borrower, or by any coapplicant or co-borrower, as applicable in the Race Free Form
Text Field for Other Pacific Islander. For example, enter Fijian,

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Reporting “Not Applicable” c or “Exempt”d

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb
or Tongan, and so on, if provided by the applicant or borrower, or
by any co-applicant or co-borrower, as applicable. Enter more
than one Other Pacific Islander race, if provided by the applicant or
borrower, or by any co-applicant or co-borrower, as applicable.
The maximum number of characters for this field is 100 characters,
including spaces. If the applicant or borrower, or any co-applicant
or co-borrower, did not provide an Other Pacific Islander race(s),
leave the Race Free Form Text Field for Other Pacific Islander
field blank.
RACE COLLECTED ON THE BASIS OF VISUAL OBSERVATION OR
SURNAME. Indicate whether the race of the applicant or borrower, or of
the first co-applicant or co-borrower, as applicable, was collected on the
basis of visual observation or surname by entering:
 Code 1—Collected on the basis of visual observation or surname
 Code 2—Not collected on the basis of visual observation or
surname
 Code 3—Not applicable
NOTE: Use Code 3 if the requirement to report the applicant’s or
borrower’s race does not apply to the covered loan or application
that your institution is reporting.
 Code 4—No co-applicant
NOTE: Use Code 4 in the co-applicant field if there are no coapplicants or co-borrowers.
If there is more than one co-applicant or co-borrower, provide the
required information only for the first co-applicant or co-borrower listed
on the collection form.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Reporting “Not Applicable” c or “Exempt”d

Effective January 1, 2021

Data point
(18) Sex

Regulation C
references
§ 1003.4(a)(10)(i),
Comments
4(a)(10)(i)-1 and -2
and appendix B

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d

Applicant’s or
borrower’s ethnicity,
race, and sex, and if
information was
collected by visual
observation or
surname

SEX OF APPLICANT OR BORROWER. Indicate the sex of the
applicant or borrower, or of the first co-applicant or co-borrower, as
applicable, by entering:
 Code 1—Male
 Code 2—Female
 Code 3—Information not provided by applicant in mail, internet, or
telephone application
NOTE: Use Code 3 if the applicant or co-applicant does not
provide the information in an application taken by mail, internet,
or telephone.
 Code 4—Not applicable
NOTE: Use Code 4 if the requirement to report the applicant’s or
borrower’s sex does not apply to the covered loan or application
that your institution is reporting.
 Code 5—No co-applicant
NOTE: Use Code 5 in the co-applicant field if there are no coapplicants or co-borrowers.
 Code 6—Applicant selected both male and female
NOTE: Use Code 6 if the applicant or co-applicant selected both
male and female.
If there is more than one co-applicant or co-borrower, provide the
required information only for the first co-applicant or co-borrower listed
on the collection form.

To report not applicable, enter “Code 4” for Sex of
Applicant or Borrower and “Code 3” for Sex
Collected on the Basis of Visual Observation or
Surname for:

SEX COLLECTED ON THE BASIS OF VISUAL OBSERVATION OR
SURNAME. Indicate whether the sex of the applicant or borrower, or of
the first co-applicant or co-borrower, as applicable, was collected on the
basis of visual observation or surname by entering:

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020



Purchased covered loans for which the financial
institution chooses not to report the applicant’s
or co-applicant’s ethnicity, race, and sex,
appendix B;
Covered loans or applications when applicant
or co-applicant is not a natural person,
appendix B.

NOTE: Use Code 3 if the financial institution
received the application prior to January 1, 2018,
and the financial institution chooses not to report
whether the sex of the applicant or borrower, or of
the first co-applicant or co-borrower, as applicable,
was collected on the basis of visual observation or
surname.

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb






Reporting “Not Applicable” c or “Exempt”d

Code 1—Collected on the basis of visual observation or surname
Code 2—Not collected on the basis of visual observation or
surname
Code 3—Not applicable
NOTE: Use Code 3 if the requirement to report the applicant’s or
borrower’s sex does not apply to the covered loan or application
that your institution is reporting.
Code 4—No co-applicant
NOTE: Use Code 4 in the co-applicant field if there are no coapplicants or co-borrowers.

If there is more than one co-applicant or co-borrower, provide the
required information only for the first co-applicant or co-borrower listed
on the collection form.
(19) Age

§ 1003.4(a)(10)(ii),
Comments
4(a)(10)(ii)-1 through
-5

Applicant’s or
borrower’s age

Enter, in numeral form, the age, in years, of the applicant or borrower,
or of the first co-applicant or co-borrower, as applicable. Age is
calculated, as of the application date, as the number of whole years
derived from the date of birth shown on the application form.
Example: If the applicant or borrower is 24 years old, enter 24.
Or, enter:
 Code 8888—Not applicable
 Code 9999—No co-applicant
NOTE: Use Code 9999 in the co-applicant field if there are no
co-applicants or co-borrowers.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

To report not applicable, enter “Code 8888” for:
 Purchased covered loans for which the
financial institution chooses not to report the
applicant’s or co-applicant’s age, Comment
4(a)(10)(ii)-3;
 Covered loans or applications when applicant
or co-applicant is not a natural person,
Comment 4(a)(10)(ii)-4.

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d

If there is more than one co-applicant or co-borrower, provide the
required information only for the first co-applicant or co-borrower listed
on the collection form.

(20) Income

§ 1003.4(a)(10)(iii),
Comments
4(a)(10)(iii)-1
through -10

If credit decision is
made, gross annual
income relied on in
making the credit
decision;
Or, if a credit decision
was not made, the
gross annual income
relied on in processing
the application

Enter, in dollars, the gross annual income relied on in making the credit
decision, or if a credit decision was not made, the gross annual income
relied on in processing the application. Round all dollar amounts to the
nearest thousand (round $500 up to the next $1,000).
Example: If the income amount is $35,500, enter 36.

Enter “NA” for:
 Covered loans or applications for which the
credit decision did not consider, or would not
have considered income, § 1003.4(a)(10)(iii);
Comment 4(a)(10)(iii)-6;
 Covered loans or applications when applicant
or co-applicant is not a natural person,
Comment 4(a)(10)(iii)-7;
 Covered loan is secured by, or application is
proposed to be secured by, a multifamily
dwelling, Comment 4(a)(10)(iii)-8;
 Purchased covered loans for which the
financial institution chooses not to report the
income, Comment 4(a)(10)(iii)-9;
 Covered loan to, or an application from, the
institution’s employees to protect their privacy,
even if the institution relied on their income in
making the credit decision, Comment
4(a)(10)(iii)-3.

(21) Type of
Purchaser

§ 1003.4(a)(11),
Comments 4(a)(11)1 through -10

Type of entity that
purchased the loan

Indicate the type of entity purchasing a covered loan from your
institution within the same calendar year that your institution originated
or purchased the loan by entering:
 Code 0—Not applicable
 Code 1—Fannie Mae

To report not applicable, enter “Code 0” for:
 Applications that were denied, withdrawn,
closed for incompleteness, or approved but not
accepted by the applicant, Comment 4(a)(11)10;

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb










(22) Rate
Spread

§ 1003.4(a)(12),
Comments 4(a)(12)1 through -9

Difference between the
annual percentage rate
and average prime
offer rate for a
comparable transaction

Code 2—Ginnie Mae
Code 3—Freddie Mac
Code 4—Farmer Mac
Code 5—Private securitizer
Code 6—Commercial bank, savings bank, or savings association
Code 71—Credit union, mortgage company, or finance company
Code 72—Life insurance company
Code 8—Affiliate institution
Code 9—Other type of purchaser

Enter, as a percentage, to at least three (3) decimal places, the
difference between the covered loan’s annual percentage rate (APR)
and the average prime offer rate (APOR) for a comparable transaction
as of the date the interest rate is set.
Numbers calculated to beyond three (3) decimal places may either be
reported beyond three (3) decimal places (up to fifteen (15) decimal
places), or rounded or truncated to three (3) decimal places. Decimal
place trailing zeros may either be included or omitted.
 If the APR exceeds the APOR, enter a positive number.
Example: If the APR is 3.678% and the APOR is 3.25%, enter
0.428. If the APR is 4.560% and the APOR is 4.25%, enter either
0.31 or 0.310.
 If the APR is less than the APOR, enter a negative number.
Example: If the APR 3.1235% and the APOR is 3.25%, enter
-0.1265. Alternatively, the rate spread may be truncated to
-0.126 or rounded to -0.127.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Reporting “Not Applicable” c or “Exempt”d




Preapproval requests that were denied or
approved but not accepted by the applicant,
Comment 4(a)(11)-10;
Originated or purchased covered loans that the
financial institution did not sell during that same
calendar year, Comment 4(a)(11)-10.

Enter “NA” for:
 Covered loans that are assumptions, reverse
mortgages, purchased loans, or are not subject
to Regulation Z, § 1003.4(a)(12)(i); Comment
4(a)(12)-7;
 Applications that did not result in an origination
other than approved but not accepted,
Comment 4(a)(12)-7;
 Applications approved but not accepted, if no
disclosures under Regulation Z are required,
Comment 4(a)(12)-8.
Enter “Exempt” if, pursuant to the 2018 HMDA
Final Rule, your institution is not reporting Rate
Spread.

Effective January 1, 2021

Data point

Regulation C
references

(23) HOEPA
Status

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d

§ 1003.4(a)(13),
Comment 4(a)(13)-1

Whether the loan is a
high-cost mortgage
under the Home
Ownership and Equity
Protection Act
(HOEPA)

Indicate whether the covered loan is a high-cost mortgage under
Regulation Z, § 1026.32(a) by entering:
 Code 1—High-cost mortgage
 Code 2—Not a high-cost mortgage
 Code 3—Not applicable

To report not applicable, enter “Code 3” for:
 Covered loans not subject to the Home
Ownership and Equity Protection Act (HOEPA)
of 1994, as implemented in Regulation Z,
§ 1026.32(a), § 1003.4(a)(13); Comment
4(a)(13)-1;
 Applications that did not result in originations,
Comment 4(a)(13)-1.

(24) Lien Status

§ 1003.4(a)(14),
Comments
4(a)(14)-1 and -2

Whether the property is
a first or subordinate
lien

Indicate the lien status of the property securing the covered loan, or in
the case of an application, proposed to secure the covered loan, by
entering:
 Code 1—Secured by a first lien
 Code 2—Secured by a subordinate lien

(25) Credit
Score

§ 1003.4(a)(15),
Comments 4(a)(15)1 through -7

Credit score(s) relied
on and the name and
version of the credit
scoring model

CREDIT SCORE OF APPLICANT OR BORROWER. Enter, in numeral
form, the credit score, or scores relied on in making the credit decision
for the applicant or borrower, or of the first co-applicant or co-borrower,
as applicable. If Regulation C requires your institution to report a single
score that corresponds to multiple applicants or borrowers, report the
score in either the applicant field or the co-applicant field.
Or, enter
 Code 1111—Exempt
 Code 7777—Credit score is not a number
NOTE: Use Code 7777 if your institution relied on a credit score
that is not a number (e.g., a credit score of “Meets Threshold”).
Code 7777 should not be used if a credit scoring model that
produces numeric credit scores returns a result stating that the
credit score could not be determined.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

To report not applicable, enter “Code 8888” for
Credit Score of Applicant or Borrower or “Code
9” for Name and Version of Credit Scoring
Model for:





Purchased covered loans, § 1003.4(a)(15)(i);
Comment 4(a)(15)-6;
Transactions for which no credit decision was
made (e.g., files closed for incompleteness, or
if an application was withdrawn before a credit
decision was made), Comment 4(a)(15)-4;
Transactions for which the credit decision was
made without relying on a credit score,
Comment 4(a)(15)-5;

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb



Code 8888—Not applicable
Code 9999—No co-applicant
NOTE: Use Code 9999 in the co-applicant field if there are no
co-applicants or co-borrowers.
NOTE: If Regulation C requires your institution to report a single score
that corresponds to multiple applicants or borrowers, either report the
credit score in the applicant field, and use Code 8888 in the coapplicant field; or report the credit score in the co-applicant field and
use Code 8888 in the applicant field.

NAME AND VERSION OF CREDIT SCORING MODEL. Indicate the
name and version of the credit scoring model used to generate the
credit score, or scores, relied on in making the credit decision by
entering:
 Code 1111—Exempt
 Code 1—Equifax Beacon 5.0
NOTE: Use Code 1 for Equifax Beacon 5.0, which may also be
known as FICO Score 5.
 Code 2—Experian Fair Isaac Risk Model v2
NOTE: Use Code 2 for Experian Fair/Isaac Risk Model v2, which
may also be known as FICO Score 2 or FICO Classic v2.
 Code 3—TransUnion FICO Risk Score Classic 04
NOTE: Use Code 3 for TransUnion FICO Risk Score Classic 04,
which may also be known as FICO Score 4 or TU-04.
 Code 4—TransUnion FICO Risk Score Classic 98
NOTE: Use Code 4 for TransUnion FICO Risk Score Classic 98,
which may also be known as FICO 98 or TU-98.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Reporting “Not Applicable” c or “Exempt”d


Covered loans or applications when applicant
and co-applicant are not natural persons,
Comment 4(a)(15)-7.

Enter “Code 1111” for Credit Score and Name and
Version of Credit Scoring Model if, pursuant to the
2018 HMDA Rule, your institution is not reporting
Credit Score.

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb








Reporting “Not Applicable” c or “Exempt”d

Code 5—VantageScore 2.0
Code 6—VantageScore 3.0
Code 7—More than one credit scoring model
Code 8—Other credit scoring model
NOTE: If Code 8 is selected in the Name and Version of Credit
Scoring Model Field, enter the specific other credit scoring model
that is not listed above in the Name and Version of Credit
Scoring Model Conditional Free Form Text Field for Code 8.
If Code 8 is not entered, leave this field blank.
Code 9—Not applicable
Code 10—No co-applicant
NOTE: Use Code 10 in the co-applicant field if there are no coapplicants or co-borrowers.

NOTE: If Regulation C requires your institution to report a single score
for a covered loan or application involving multiple applicants or
borrowers, report either (A) the name and version of the credit scoring
model, or that multiple credit scoring models were used, in the
applicant field, and use Code 9 in the co-applicant field; or (B) the
name and version of the credit scoring model, or that multiple credit
scoring models were used, in the co-applicant field, and use Code 9 in
the applicant field.
(26) Reason for
Denial

§ 1003.4(a)(16),
Comments 4(a)(16)1 through -4

Reason(s) the
application was denied

Indicate the principal reason, or reasons, for denial by entering up to
four (4):
 Code 1111—Exempt
 Code 1—Debt-to-income ratio
 Code 2—Employment history
 Code 3—Credit history

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

To report not applicable, enter “Code 10” for
applications that were not denied (e.g., loan is
originated or purchased by the financial institution),
Comment 4(a)(16)-4.

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb









Code 4—Collateral
Code 5—Insufficient cash (downpayment, closing costs)
Code 6—Unverifiable information
Code 7—Credit application incomplete
Code 8—Mortgage insurance denied
Code 9—Other
NOTE: If Code 9 is selected in any Reason for Denial field, enter
the specific other reason(s) for denial not listed above in the
Reason for Denial Conditional Free Form Text Field for Code
9. See below for more information on the Reason for Denial
Conditional Free Form Text Field for Code 9.
Code 10—Not applicable
NOTE: Use Code 10 if the requirement to report reasons for
denial does not apply to the covered loan or application that your
institution is reporting. Leave the remaining Reason for Denial
data fields blank.

Do not enter the same code more than once for any covered loan or
application.
If there are fewer than four principal (4) reasons for denial, leave the
remaining Reason for Denial data fields blank.
MODEL FORM. If your institution uses the model form contained in
appendix C to Regulation B, 12 CFR part 1002 (Form C–1, Sample
Notice of Action Taken and Statement of Reasons), use the following:
 Code 1—Income insufficient for amount of credit requested, and
Excessive obligations in relation to income

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Reporting “Not Applicable” c or “Exempt”d
Enter “Code 1111” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting the Reasons
for Denial. Leave the remaining Reason for Denial
data fields blank.

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb






Reporting “Not Applicable” c or “Exempt”d

Code 2—Temporary or irregular employment, and Length of
employment
Code 3—Insufficient number of credit references provided;
Unacceptable type of credit references provided; No credit file;
Limited credit experience; Poor credit performance with us;
Delinquent past or present credit obligations with others; Number
of recent inquiries on credit bureau report; Garnishment,
attachment, foreclosure, repossession, collection action, or
judgment; and Bankruptcy
Code 4—Value or type of collateral not sufficient
Code 6—Unable to verify credit references; Unable to verify
employment; Unable to verify income; and Unable to verify
residence
Code 7—Credit application incomplete
Code 9—Length of residence; Temporary residence; and Other
reasons specified on the adverse action notice.

REASON FOR DENIAL CONDITIONAL FREE FORM TEXT FIELD
FOR CODE 9. The maximum number of characters for this field is 255
characters, including spaces. If Code 9 is not entered, leave this field
blank.
(27) Total Loan
Costs or Total
Points and Fees

§ 1003.4(a)(17),
Comments
4(a)(17)(i)-1 through
-3 and 4(a)(17)(ii)-1
through -2

Either total loan costs,
or total points and fees
charged

Enter either Total Loan Costs or Total Points and Fees:
 TOTAL LOAN COSTS. Enter, in dollars, the amount of total loan
costs. If the amount is zero, enter 0.
 TOTAL POINTS AND FEES. Enter, in dollars, the total points and
fees charged in connection with the covered loan. If the amount is
zero, enter 0.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Enter “NA” for:
TOTAL LOAN COSTS.
 Applications, Comment 4(a)(17)(i)-1;
 Covered loans that are not subject to Regulation
Z, § 1026.43(c), § 1003.4(a)(17);

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d


Example: If the total loan costs or the total points and fees are
$2,399.04, enter 2399.04.



Covered loans subject to Regulation Z,
§ 1026.43(c) for which a disclosure is not
provided pursuant to § 1026.19(f), §
1003.4(a)(17);
Purchased covered loans for which applications
were received by the selling entity prior to the
effective date of Regulation Z, § 1026.19(f),
Comment 4(a)(17)(i)-2.

TOTAL POINTS AND FEES.
 Applications, Comment 4(a)(17)(ii)-1;
 Covered loans that are not subject to Regulation
Z, § 1026.43(c), Comment 4(a)(17)(ii)-1;
 Covered loans subject to Regulation Z,
§ 1026.43(c) for which a disclosure is provided
pursuant to Regulation Z, § 1026.19(f),
§ 1003.4(a)(17)(ii);
 Purchased covered loans, Comment 4(a)(17)(ii)1.
Enter “Exempt” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Total Loan
Costs or Total Points and Fees.
(28) Origination
Charges

§ 1003.4(a)(18),
Comments
4(a)(18)-1 through -3

Total borrower-paid
origination charges

Enter, in dollars, the total of all itemized amounts that are designated
borrower-paid at or before closing. If the total is zero, enter 0.
Example: If the origination charges are $2,399.04, enter 2399.04.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Enter “NA” for:
 Applications, Comment 4(a)(18)-1;
 Covered loans not subject to Regulation Z,
§ 1026.19(f), § 1003.4(a)(18); Comment
4(a)(18)-1;

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d


Purchased covered loans with applications that
were received by the selling entity prior to the
effective date of Regulation Z, § 1026.19(f),
Comment 4(a)(18)-2.
Enter “Exempt” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Origination
Charges.

(29) Discount
Points

§ 1003.4(a)(19),
Comments 4(a)(19)1 through -3

Points paid to the
creditor to reduce the
interest rate

Enter, in dollars, the points paid to the creditor to reduce the interest
Enter “NA” for:
rate. If no points were paid, leave this field blank.
 Applications, Comment 4(a)(19)-1;
Example: If the amount paid for discount points is $2,399.04, enter  Covered loans not subject to Regulation Z,
2399.04.
§ 1026.19(f), § 1003.4(a)(19); Comment
4(a)(19)-1;
 Purchased covered loans with applications that
were received by the selling entity prior to the
effective date of Regulation Z, § 1026.19(f),
Comment 4(a)(19)-2.
Enter “Exempt” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Discount
Points.

(30) Lender
Credits

§ 1003.4(a)(20),
Comments 4(a)(20)1 through -3

Amount of lender
credits

Enter, in dollars, the amount of lender credits. If no lender credits were
provided, leave this field blank.
Example: If the amount is $1500.24, enter 1500.24.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020




Enter “NA” for:
Applications, Comment 4(a)(20)-1;
Covered loans not subject to Regulation Z,
§ 1026.19(f), § 1003.4(a)(20); Comment
4(a)(20)-1;

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d


Purchased covered loans with applications that
were received by the selling entity prior to the
effective date of Regulation Z, § 1026.19(f),
Comment 4(a)(20)-2.
Enter “Exempt” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Lender
Credits.

(31) Interest
Rate

§ 1003.4(a)(21),
Comments 4(a)(21)1 through -3

Interest rate on the
approved application or
loan

Enter, as a percentage, to at least three (3) decimal places, the interest
rate. Numbers calculated to beyond three (3) decimal places may either
be reported beyond three (3) decimal places or rounded or truncated to
three (3) decimal places. Decimal place trailing zeros may be either
included or omitted.
Example: If the interest rate is 4.125%, enter 4.125.

Enter “NA” for applications that have been denied,
withdrawn, or closed for incompleteness,
Comment 4(a)(21)-2.
Enter “Exempt” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Interest Rate.

If the interest rate is exactly 4.500%, enter 4.5, 4.50, or 4.500.
(32)
Prepayment
Penalty Term

§ 1003.4(a)(22),
Comments 4(a)(22)1 through -2

Term in months of any
prepayment penalty

Enter, in numeral form, the term, in months, of any prepayment penalty.
Enter “NA” for:
Example: If a prepayment penalty may be imposed within the first  Covered loans or applications that are not
24 months after closing or account opening, enter 24.
subject to Regulation Z, § 1026,
§ 1003.4(a)(22); Comment 4(a)(22)-1;
 Covered loans or applications that have no
prepayment penalty, Comment 4(a)(22)-2.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d
Enter “Exempt” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Prepayment
Penalty Term.

(33) Debt-toIncome Ratio

§ 1003.4(a)(23),
Comments 4(a)(23)1 through -7

Ratio of the applicant’s
or borrower’s total
monthly debt to total
monthly income relied
on

Enter, as a percentage, the ratio of the applicant’s or borrower’s total
monthly debt to the total monthly income relied on in making the credit
decision. Use decimal places only if the ratio relied upon uses decimal
places. The HMDA Platform can accept up to fifteen (15) decimal
places and can accept negative numbers for Debt-to-Income Ratio.
Example: If the relied upon debt-to-income ratio is 42.95, enter
42.95, not 43. If, however, your institution rounded the ratio up to
43% and relied on the rounded-up number, enter 43.

Enter “NA” for:
Purchased covered loans, § 1003.4(a)(23);
Comment 4(a)(23)-7;
 Transactions for which no credit decision was
made (e.g., files closed for incompleteness, or if
an application was withdrawn before a credit
decision was made), Comment 4(a)(23)-3;
 Transactions for which the credit decision was
made without relying on debt-to-income ratio,
Comment 4(a)(23)-4;
 Covered loans or applications when applicant
and co-applicant are not natural persons,
Comment 4(a)(23)-5;
 Covered loan secured by, or an application
proposed to be secured by, a multifamily
dwelling, Comment 4(a)(23)-6.



Enter “Exempt” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Debt-toIncome-Ratio.
(34) Combined
Loan-to-Value
Ratio

§ 1003.4(a)(24),
Comments 4(a)(24)1 through -6

Ratio of the total
amount of debt that is
secured by the
property to the value of

Enter, as a percentage, the ratio of the total amount of debt secured by
the property to the value of the property relied on in making the credit
decision. Use decimal places only if the ratio relied upon uses decimal

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020



Enter “NA” for:
Purchased covered loans, § 1003.4(a)(24);
Comment 4(a)(24)-5;

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

the property that was
relied on

places. The HMDA Platform can accept up to fifteen (15) decimal
places for the Combined Loan-to-Value Ratio.
Example: If the relied upon combined loan-to-value ratio is 80.05,
enter 80.05, not 80. If, however, your institution rounded the ratio
down to 80 and relied on the rounded-down number, enter 80.

Reporting “Not Applicable” c or “Exempt”d




Transactions for which no credit decision was
made (e.g., files closed for incompleteness, or if
an application was withdrawn before a credit
decision was made), Comment 4(a)(24)-3;
Transactions for which the credit decision was
made without relying on combined loan-to-value
ratio, Comment 4(a)(24)-4.
Enter “Exempt” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Combined
Loan-to-Value Ratio.

(35) Loan Term

(36) Introductory
Rate Period

§ 1003.4(a)(25),
Comments 4(a)(25)1 through -5

§ 1003.4(a)(26),
Comments 4(a)(26)1 through -5

Number of months
after which the legal
obligation will mature
or terminate

Enter, in numeral form, the number of months after which the legal
obligation will mature or terminate, or would have matured or
terminated.
Example: If the loan term is 360 months, enter 360.

Enter “NA” for covered loan or application without
a definite term, such as a reverse mortgage,
Comment 4(a)(25)-5.

Number of months until
the first date the
interest rate may
change

Enter, in numeral form, the number of months, or proposed number of
Enter “NA” for:
months in the case of an application, until the first date the interest rate  Covered loan or application with a fixed rate,
may change after closing or account opening.
Comment 4(a)(26)-3;
Example: If the introductory rate period is 24 months, enter 24.
 Purchased covered loan with a fixed rate,
Comment 4(a)(26)-4.

Enter “Exempt” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Loan Term.

Enter “Exempt” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Introductory
Rate Period.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Effective January 1, 2021

Data point
(37) NonAmortizing
Features

Regulation C
references
§ 1003.4(a)(27),
Comment 4(a)(27)-1

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d

Whether the
transaction involves a
balloon payment,
interest-only payments,
negative amortization,
or any other type of
non-amortizing feature

BALLOON PAYMENT. Indicate whether the contractual terms include,
or would have included, a balloon payment by entering:
 Code 1111—Exempt
 Code 1—Balloon payment
 Code 2—No balloon payment
INTEREST-ONLY PAYMENTS. Indicate whether the contractual terms
include, or would have included, interest-only payments by entering:
 Code 1111—Exempt
 Code 1—Interest-only payments
 Code 2—No interest-only payments
NEGATIVE AMORTIZATION. Indicate whether the contractual terms
include, or would have included, a term that would cause the covered
loan to be a negative amortization loan by entering:
 Code 1111—Exempt
 Code 1—Negative amortization
 Code 2—No negative amortization
OTHER NON-AMORTIZING FEATURES. Indicate whether the
contractual terms include, or would have included, any term, other than
those described in § 1003.4(a)(27)(i), (ii), and (iii) that would allow for
payments other than fully amortizing payments during the loan term by
entering:
 Code 1111—Exempt
 Code 1—Other non-fully amortizing features
 Code 2—No other non-fully amortizing features

Enter “Code 1111” for Balloon Payment,
Interest-Only Payments, Negative Amortization,
and Other Non-Amortizing Features if, pursuant
to the 2018 HMDA Rule, your institution is not
reporting Non-Amortizing Features.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Effective January 1, 2021

Data point
(38) Property
Value

Regulation C
references

Description

Filing instructionsb

§ 1003.4(a)(28),
Comments 4(a)(28)1 through -4

Value of the property
relied on that secures
the loan

Enter, in dollars, the value of the property securing the covered loan or,
in the case of an application, proposed to secure the covered loan,
relied on in making the credit decision.
Example: If the property value is $350,500, enter 350500.

Reporting “Not Applicable” c or “Exempt”d
Enter “NA” for:
 Transactions for which no credit decision was
made (e.g., files closed for incompleteness, or if
an application was withdrawn before a credit
decision was made), Comment 4(a)(28)-3;
 Transactions for which the credit decision was
made without relying on property value,
Comment 4(a)(28)-4.
Enter “Exempt” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Property
Value.

(39)
Manufactured
Home Secured
Property Type

§ 1003.4(a)(29),
Comments 4(a)(29)1 through -4

Whether the covered
loan is secured by a
manufactured home
and land or a
manufactured home
and not land

Indicate whether the covered loan or application is, or would have
been, secured by a manufactured home and land, or by a
manufactured home and not land, by entering:
 Code 1111—Exempt
 Code 1—Manufactured home and land
 Code 2—Manufactured home and not land
 Code 3—Not applicable

(40)
Manufactured
Home Land
Property Interest

§ 1003.4(a)(30),
Comments 4(a)(30)1 through -6

Information about the
applicant’s or
borrower’s ownership
or leasehold interest in

Indicate the applicant’s or borrower’s land property interest in the land
on which a manufactured home is, or will be, located by entering:
 Code 1111—Exempt
 Code 1—Direct ownership

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

To report not applicable, enter “Code 3” for:
The dwelling related to the property identified is
not a manufactured home, § 1003.4(a)(29);
Comment 4(a)(29)-4.
 The dwelling related to the property identified is
a manufactured home community that is a
multifamily dwelling, Comment 4(a)(29)-2;
Comment 4(a)(29)-4.
Enter “Code 1111” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Manufactured
Home Secured Property Type.



To report not applicable, enter “Code 5” for:
 The dwelling related to the property identified is
not a manufactured home, § 1003.4(a)(30);
Comment 4(a)(30)-6.

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

the land where the
manufactured home is
located






Code 2—Indirect ownership
Code 3—Paid leasehold
Code 4—Unpaid leasehold
Code 5—Not applicable

Reporting “Not Applicable” c or “Exempt”d




The dwelling related to the property identified is
a manufactured home community that is a
multifamily dwelling, Comment 4(a)(30)-4;
Comment 4(a)(30)-6.
A location for the manufactured home related to
a covered loan or application has not been
identified, § 1003.4(a)(30); Comment 4(a)(9)-5.
Enter “Code 1111” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Manufactured
Home Land Property Interest.

(41) Total Units

§ 1003.4(a)(31),
Comments 4(a)(31)1 through -4

Number of individual
dwelling units related
to the property

Enter, in numeral form, the number of individual dwelling units related
to the property securing the covered loan or, in the case of an
application, proposed to secure the covered loan.
Example: If there are five (5) individual dwelling units, enter 5.

(42) Multifamily
Affordable Units

§ 1003.4(a)(32),
Comments 4(a)(32)1 through -6

Number of individual
dwelling units related
to the property that are
income-restricted
under federal, state, or
local affordable
housing programs

Enter, in numeral form, the number of individual dwelling units related
to any multifamily dwelling property securing the covered loan or, in the
case of an application, proposed to secure the covered loan, that are
income-restricted pursuant to Federal, State, or local affordable
housing programs.
Example: If there are five (5) multifamily affordable units, enter 5.
NOTE: Enter “0” for a covered loan or application related to a
multifamily dwelling that does not contain any such income-restricted
individual dwelling units.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Enter “NA” for covered loans or applications where
the property securing the covered loan or, in the
case of an application, proposed to secure the
covered loan is not a multifamily dwelling,
§ 1003.4(a)(32); Comment 4(a)(32)-6.
Enter “Exempt” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Multifamily
Affordable Units.

Effective January 1, 2021

Data point
(43) Application
Channel
(Submission of
Application and
Initially Payable
to Your
Institution)

Regulation C
references
§ 1003.4(a)(33),
Comments 4(a)(33)1, 4(a)(33)(i)-1, and
4(a)(33)(ii)-1 through
-2

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d

Indicators of whether
the application was
submitted directly to
the FI, and whether the
obligation was initially
payable to the FI

SUBMISSION OF APPLICATION. Indicate whether the applicant or
borrower submitted the application directly to your institution by
entering:
 Code 1111—Exempt
 Code 1—Submitted directly to your institution
 Code 2—Not submitted directly to your institution
 Code 3—Not applicable

To report not applicable for Submission of
Application, enter “Code 3”
 Purchased covered loans, § 1003.4(a)(33);

INITIALLY PAYABLE TO YOUR INSTITUTION. Indicate whether the
obligation arising from the covered loan was, or, in the case of an
application, would have been, initially payable to your institution by
entering:
 Code 1111—Exempt
 Code 1—Initially payable to your institution
 Code 2—Not initially payable to your institution
 Code 3—Not applicable

(44) Mortgage
Loan Originator
NMLSR
Identifier

§ 1003.4(a)(34),
Comments 4(a)(34)1 through -4

National Mortgage
Licensing System &
Registry (NMLSR)
identifier for the
mortgage loan
originator

Enter the Nationwide Mortgage Licensing System and Registry
mortgage loan originator unique identifier (NMLSR ID) for the mortgage
loan originator.
Example: If the NMLSR ID for the mortgage loan originator is
123450, enter 123450.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

To report not applicable for Initially Payable to
Your Institution, enter “Code 3”
 Purchased covered loans, § 1003.4(a)(33);
 Applications that were withdrawn, denied, or
closed for incompleteness, if the institution had
not determined whether the covered loans
would have been initially payable to the
institution reporting the applications, Comment
4(a)(33)(ii)-2.
Enter “Code 1111” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Submission
of Application and Initially Payable to Your
Institution.
Enter “NA” for:
 Covered loans or applications in which the
mortgage loan originator is not required to
obtain and has not been assigned an NMLSR
identifier, Comment 4(a)(34)-2.
Enter “NA” or voluntarily report the NMLSR ID for:
 Purchased covered loans that satisfy the
coverage criteria of Regulation Z, § 1026.36(g)
and were originated prior to January 10, 2014,
Comment 4(a)(34)-4;

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d


Purchased covered loans that do not satisfy the
coverage criteria of Regulation Z, § 1026.36(g)
and were originated prior to January 1, 2018,
Comment 4(a)(34)-4.

Enter “Exempt” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Mortgage
Loan Originator NMLSR Identifier.
(45) Automated
Underwriting
System

§ 1003.4(a)(35),
Comments 4(a)(35)1 through -7

Name of the
automated
underwriting system
used by the FI to
evaluate the
application and the
result generated by
that system

AUTOMATED UNDERWRITING SYSTEM. Indicate the automated
underwriting system(s) (AUS) used by your institution to evaluate the
application by entering up to five (5) of the following:
 Code 1111—Exempt
 Code 1—Desktop Underwriter (DU)
 Code 2—Loan Prospector (LP) or Loan Product Advisor
 Code 3—Technology Open to Approved Lenders (TOTAL)
Scorecard
 Code 4—Guaranteed Underwriting System (GUS)
 Code 5—Other
NOTE: If Code 5 is selected in any Automated Underwriting
System field, enter the name of the specific other AUS(s) not
listed above in the AUS Conditional Free Form Text Field for
Code 5. See below for more information on the AUS
Conditional Free Form Text Field for Code 5.
 Code 6—Not applicable
 Code 7—Internal Proprietary System

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

To report not applicable, enter “Code 6” for
Automated Underwriting System and “Code 17”
for Automated Underwriting System Result for:
 Purchased covered loans, § 1003.4(a)(35);
Comment 4(a)(35)-5;
 Transactions for which an AUS, as defined in
§ 1003.4(a)(35)(ii), was not used to evaluate
the application, Comment 4(a)(35)-2 and -4;
 Covered loans or applications when applicant
and co-applicant are not natural persons,
Comment 4(a)(35)-6.
Enter “Code 1111” for Automated Underwriting
System and Automated Underwriting System
Result if, pursuant to the 2018 HMDA Rule, your
institution is not reporting Automated Underwriting
System.

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb
NOTE: If fewer than five (5) automated underwriting systems were
used by your institution to evaluate the application or if Code 6 is
selected, leave the remaining Automated Underwriting System data
fields blank.
AUS CONDITIONAL FREE FORM TEXT FIELD FOR CODE 5. Enter
more than one other Automated Underwriting System, as applicable.
The maximum number of characters for this field is 255 characters,
including spaces. If Code 5 is not entered, leave this field blank.
AUTOMATED UNDERWRITING SYSTEM RESULT. Indicate the
result(s) generated by the automated underwriting system (AUS)
previously indicated by entering:
 Code 1111 —Exempt
 Code 1—Approve/Eligible
 Code 2—Approve/Ineligible
 Code 3—Refer/Eligible
 Code 4—Refer/Ineligible
 Code 5—Refer with Caution
 Code 6—Out of Scope
 Code 7—Error
 Code 8—Accept
 Code 9—Caution
 Code 10—Ineligible
 Code 11—Incomplete
 Code 12—Invalid
 Code 13—Refer
 Code 14—Eligible

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Reporting “Not Applicable” c or “Exempt”d

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb













Code 15—Unable to Determine
Code 16—Other
NOTE: If Code 16 is selected in an Automated Underwriting
System Result field, enter the specific other AUS result(s) not
listed above in the AUS Result Conditional Free Form Text
Field for Code 16. See below for more information on the AUS
Result Conditional Free Form Text Field for Code 16.
Code 17—Not applicable
NOTE: Use Code 17 if the requirement to report an AUS result
does not apply to the covered loan or application that your
institution is reporting. Leave the remaining Automated
Underwriting System Result data fields blank.
Code 18—Accept/Eligible
Code 19—Accept/Ineligible
Code 20—Accept/Unable to Determine
Code 21—Refer with Caution/Eligible
Code 22—Refer with Caution/Ineligible
Code 23—Refer/Unable to Determine
Code 24—Refer with Caution/Unable to Determine

For the following AUS results returned, use the following Codes for
these AUS:
 Federal National Mortgage Association (Fannie Mae) commonly
returns results that correspond to Codes 1, 2, 3, 4, 5, 6, 7, or 15. If
your result(s) differ, report the AUS result(s) received.
 Federal Home Loan Mortgage Corporation (Freddie Mac)
commonly returns results that correspond to Codes 8, 9, 10, 11,
12, or 13. If more than one result is returned on the Feedback

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Reporting “Not Applicable” c or “Exempt”d

Effective January 1, 2021

Data point

Regulation C
references

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d

Certificate, report the Risk Class result. If your result(s) differ,
report the AUS result(s) received.
 FHA TOTAL Scorecard commonly returns results that correspond
to Codes 1, 2, 3, 4, 8, 13, 18 and 19. If your results differ, report
the AUS result(s) received.
 GUS commonly returns results that correspond to Codes 3, 4, 10,
15, 18, 19, 20, 21, 22, 23 or 24. If your result(s) differ, report the
AUS result(s) received.
NOTE: If fewer than five (5) results were generated by the automated
underwriting system(s) previously indicated or Code 17 is used, leave
the remaining Automated Underwriting System Result data fields blank.
AUS RESULT CONDITIONAL FREE FORM TEXT FIELD FOR CODE
16. Enter more than one other Automated Underwriting System Result,
as applicable. The maximum number of characters for this field is 255
characters, including spaces. If Code 16 is not entered, leave this field
blank.

(46) Reverse
Mortgage

§ 1003.4(a)(36)

Indicator of whether
the transaction is for a
reverse mortgage

Indicate whether the covered loan is, or the application is for, a reverse
mortgage by entering:
 Code 1111 —Exempt
 Code 1—Reverse mortgage
 Code 2—Not a reverse mortgage

Enter “Code 1111” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Reverse
Mortgage.

(47) Open-End
Line of Credit

§ 1003.4(a)(37),
Comment 4(a)(37)-1

Indicator of whether
the transaction is for an
open-end line of credit

Indicate whether the covered loan is, or the application is for, an openend line of credit by entering:
 Code 1111 —Exempt
 Code 1—Open-end line of credit
 Code 2—Not an open-end line of credit

Enter “Code 1111” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Open-End
Line of Credit.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Effective January 1, 2021

Data point
(48) Business or
Commercial
Purpose

Regulation C
references
§ 1003.4(a)(38),
Comment 4(a)(38)-1

Description

Filing instructionsb

Reporting “Not Applicable” c or “Exempt”d

Indicator of whether
the transaction is
primarily for a business
or commercial purpose

Indicate whether the covered loan is, or the application is for a covered
loan that will be made, primarily for a business or commercial purpose
by entering:
 Code 1111 —Exempt
 Code 1—Primarily for a business or commercial purpose
 Code 2—Not primarily for a business or commercial purpose

Enter “Code 1111” if, pursuant to the 2018 HMDA
Rule, your institution is not reporting Business or
Commercial Purpose.

a HMDA

filers should r eport the data points described in the HMDA Rule issued on October 15, 2015 and t he HMDA Rule issued on April 24, 2017, a s m odified by the HMDA Rule issued on October 10, 2019, which
im plements and clarifies t he requirem ents of the Econom ic Growth, Regulatory Relief, and Consumer Protection Act for insured depository institutions and insured credit unions r eporting transactions cov ered by a
pa r tial exemption. The HMDA Rule issued on April 1 6, 2020, a djusts Regulation C’s institutional and t ransactional cov erage thresholds for closed-end m ortgage loans and open-end lines of credit.
b T h is column prov ides the information from Section 4.2 of the 2021 Filing In structions Guide. Further information can be found in the 2021 Filing In structions Guide. Som e information may n ot be presented exactly
a s in the 2021 Filing In structions Guide. This chart is not a substitute for the 2021 Filing In structions Guide, which sh ould be consulted.
c T h e “not applicable” portion of this column details the information prov ided in Regulation C about when a data point is considered n ot applicable and the a ppropriate code found in the 2021 Filing In structions Guide
t o sig nify it. If m ore information is n eeded, please review the rule and com mentary specified and the 2021 Filing In structions Guide.
d T h e “exem pt” portion of t his column details when a data point is exempt for insured depository institutions and insured credit unions reporting transactions covered by a partial exemption under the Econom ic
Gr owth, Regulatory Relief, and Consumer Protection Act and the appropriate code found in the 2021 Filing In structions Guide to signify it.

2021 REPORTABLE HMDA DATA: A REGULATORY AND REPORTING OVERVIEW REFERENCE CHART – VERSION 1, OCTOBER 15, 2020

Appendix

APPENDIX B:

HMDA Small Entity Compliance Guide

Intro
A: Overview of Data
Requirements Chart
B: HMDA Small Entity
Compliance Guide
C: Instructions on
Collection of Data on
Ethnicity, Race, and Sex
D: Institutional Coverage
Chart
E: Transactional
Coverage Chart
F: Partial Exemptions
Charts
G: Data Fields and Data
Points Chart
H: Regulation C

The following is a copy of the CFPB’s HMDA Small Entity Compliance Guide, an
easy-to-use summary of Regulation C, as amended by the 2015 HMDA Rule, 2017
HMDA Rule, the 2018 Act that was further implemented by the 2019 HMDA Rule,
and the 2020 HMDA Rule, and to highlight information that financial institutions and
those that work with them might find helpful when complying with Regulation C.

I: Official Interpretations
to Regulation C

This Guide is not a substitute for Regulation C. Regulation C and its official
interpretations (also known as the commentary) are the definitive sources of

J: Federal HMDA

information regarding its requirements. Regulation C and its official interpretations

Reporting Agencies

are available in Appendix H and I of this Guide and at
www.consumerfinance.gov/policy-compliance/rulemaking/regulations/1003/.

K: HMDA Poster

CONSUMER FINANCIAL PROTECTION BUREAU | MAY 2020
OMB CONTROL NO. 3170-0008

Home Mortgage
Disclosure (Regulation C)
Small Entity Compliance Guide

Version Log
The Bureau updates this guide on a periodic basis. Below is a version log noting the history of
this document and its updates:
Date

Version

May 26, 2020

Summary of Changes
Updates to incorporate the content of the 2020 HMDA Thresholds
Final Rule issued on April 16, 2020, including:
•

Institutional coverage and the uniform loan-volume threshold for
closed-end mortgage loans and open-end lines of credit
(Sections 2.1, 3.1, and 9.1)

•

Transactional coverage for closed-end mortgage loans and
open-end lines of credit (Sections 2.2, 4.1.1, 4.1.2, and 9.1)

Updates to incorporate the Bureau’s Statement on Supervisory and
Enforcement Practices Regarding Quarterly Reporting Under the
Home Mortgage Disclosure Act (Sections 2.6, and 6.2)
Miscellaneous administrative changes in various sections.

January 23, 2020

4.0

Updates to incorporate the content of the final rule issued on October 10,
2019, including:
•

Effective date (Section 2)

•

Institutional coverage for open-end lines of credit (Sections 2.1,
3.1, 3.1.1, 3.1.2, 9.1)

•

Transactional coverage for open-end lines of credit (Sections
2.2, 4.1.2, 4.3, 4.3.2)

•

Partial exemptions (Sections 4.3, 4.3.1, 8.5)

•

Non-universal loan identifier (Sections 5.2)

Information about the Bureau’s policy guidance on disclosure of loanlevel HMDA data (Section 2.7).
Deletes text related to 2017 institutional coverage because it is no longer
in effect (Section 2.1, 2.3, 2.5, 5.1.1, 9.1).
Deletes text regarding the collection of race, ethnicity, and sex for
applications taken in 2017 (Section 2.3, 5.1).
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HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Deletes text related to Appendix A of Regulation C because it was
removed from Regulation C in 2019 (Section 2.5).
Miscellaneous administrative changes in various sections.
October 2018

3.0

Updates to reflect Section 104(a) of the Economic Growth, Regulatory
Relief, and Consumer Protection Act (2018 Act) and the interpretive and
procedural rule issued on August 31, 2018 (2018 HMDA Rule), including:
•

General information about Section 104(a) of the 2018 Act and
the 2018 HMDA Rule (Section 1)

•

Key changes and effective date of Section 104(a) of the 2018
Act (Sections 2.1, 2.3, and 4.3)

•

Institutions eligible to rely upon the partial exemptions
created by Section 104(a) of the 2018 Act (Section 4.3.1)

•

Loan-volume thresholds for the partial exemptions (Section

•

Collecting, recording, and reporting data points if a partial

4.3.2)
exemption applies (Sections 4.3.3)
•

Reporting a non-universal loan identifier if a partial exemption
applies (Section 5.2)

•

Reporting other data points affected by the partial exemptions
(Sections 5.4, 5.9, 5.11, 5.12, 5.16, 5.17, and 5.19 through
5.30)

Additional information about which transactions a financial institution
must count when determining if a loan-volume threshold has been met
(Section 4.1.2).
Revisions to the portion of the table describing the loan amount reported
for a counteroffer for an amount different from the amount for which the
applicant applied, if the applicant did not accept or failed to respond.
Also, revisions to the portion of the same table describing the loan
amount reported for an Application that was denied, closed for
incompleteness, or withdrawn (Section 5.8).
Miscellaneous administrative changes in various sections.
October 2017

2.0

Updates to incorporate the content of the final rule issued on August
24, 2017, including changes and clarification regarding:
•

Institutional coverage and the uniform loan-volume threshold for
open-end lines of credit (Sections 2.1, 3.2, and 9.1)

•

Transactional coverage for open-end lines of credit (Sections
2.2, 4.1.2, and 9.1)

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

•

Collection and reporting of applicant information (Sections 2.4,
5.1, 9.2.1, and Attachment A)

•

,Effective date of enforcement provisions for larger volume
reporters (Sections 2.8 and 7)

•

Whether certain installment sales contracts are extensions of
credit for purposes of the HMDA Rule (Section 4.1.1.1)

•

An exclusion from coverage for certain preliminary transactions
that consolidate new funds into a New York CEMA (Sections
4.1.1.1. and 4.1.2)

•

What constitutes a loan secured by a multifamily dwelling under
the HMDA Rule (Sections 4.1.1.2)

•

The exclusion from coverage for temporary financing (Section
4.1.2)

•

Including certain distributions from retirement and other asset
accounts when reporting income (Section 5.1.2)

•

Reporting the ULI and use of check digit tool provided by the
Bureau (Section 5.2)

•

Reporting loan purpose (Section 5.7)

•

Reporting property address and location when certain
information is unknown or unavailable (Section 5.12)

•

Reporting census tract using the geocoding tool provided by the
Bureau (Sections 5.12 and 7)

•

Reporting CLTV when the calculation includes property other
than the Identified Property (Section 5.21)

•

Reporting credit score when there are multiple scores or
multiple applicants (Section 5.22)

•

Securitizers and automated underwriting systems (Section 5.23)

•

Reporting interest rate, rate spread, and certain other data
points when revised or corrected disclosures are provided
(Sections 5.24, 5.26, and 5.28)

•

Reporting the introductory rate (Section 5.25)

•

Reporting rate spread, including for applications that are
approved but not accepted (Section 5.26)

•

Reporting mortgage loan originator identifier for certain
purchased covered loans (Section 5.30)

•

Reporting action taken if there is a counteroffer (Attachment B)

Also, makes miscellaneous administrative changes to various sections
December 2015

1.0

Original Document

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Table of contents
Table of contents ..............................................................................................................4
1.

Introduction ................................................................................................................8
1.1

Purpose of this guide.................................................................................. 9

1.2

Additional implementation resources..................................................... 10

Key changes and effective dates ..........................................................................11
2.1

Institutional coverage ...............................................................................12

2.2 Transactional coverage .............................................................................13
2.3 Required data points.................................................................................15
2.4 Collection and reporting of applicant information................................. 16
2.5

Annual reporting ...................................................................................... 16

2.6 Quarterly reporting ...................................................................................17
2.7

Disclosure requirements.......................................................................... 18

2.8 Enforcement provisions for larger-volume reporters ............................ 19
3.

Institutional coverage .............................................................................................20
3.1

Institutional coverage on or after January 1, 2018 ................................. 20

3.2 Exempt institutions.................................................................................. 24
4.

Transactional coverage ..........................................................................................25
4.1

Covered loans ........................................................................................... 25

4.2 Reportable activity ................................................................................... 36
4.3 Partial exemptions ................................................................................... 42
5.

Reportable data ........................................................................................................50

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

5.1

Applicant information ............................................................................. 50

5.2 Universal loan identifier (ULI) or non-universal loan identifier ........... 58
5.3 Application date ....................................................................................... 61
5.4 Application channel ................................................................................. 62
5.5

Preapproval request................................................................................. 63

5.6 Loan type .................................................................................................. 63
5.7

Loan purpose............................................................................................64

5.8 Loan amount ............................................................................................ 67
5.9 Loan term .................................................................................................68
5.10 Action taken and date ..............................................................................69
5.11 Reasons for denial....................................................................................69
5.12 Property address and property location...................................................71
5.13 Construction method ............................................................................... 73
5.14 Occupancy type ........................................................................................ 74
5.15 Lien status ................................................................................................ 75
5.16 Manufactured home information............................................................ 76
5.17 Property value .......................................................................................... 77
5.18 Total units ................................................................................................ 78
5.19 Multifamily affordable units.................................................................... 79
5.20 Debt-to-income ratio ...............................................................................80
5.21 Combined loan-to-value .......................................................................... 81
5.22 Credit score information.......................................................................... 83
5.23 Automated underwriting system information ........................................ 85
5.24 Interest rate ..............................................................................................88
5.25 Introductory rate period .......................................................................... 91
5.26 Rate spread............................................................................................... 92
5

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

5.27 Non-amortizing features.......................................................................... 97
5.28 Data points for certain loans subject to Regulation Z ............................98
5.29 Transaction indicators ........................................................................... 102
5.30 Mortgage loan originator identifier....................................................... 103
5.31 Type of purchaser................................................................................... 104
6.

Recording and reporting ......................................................................................107
6.1

Recording ............................................................................................... 107

6.2 Reporting................................................................................................ 108
6.3 Disclosure of data.................................................................................... 110
7.

Enforcement provisions .......................................................................................113

Mergers and acquisitions .....................................................................................114
8.1

Determining coverage ............................................................................. 114

8.2 Reporting responsibility for calendar year of merger or acquisition.... 114
8.3 Changes to appropriate Federal agency or TIN ..................................... 115
8.4 Determining quarterly reporting coverage ............................................ 116
8.5 Applicability of partial exemptions under the 2018 Act after a merger or
acquisition ............................................................................................... 117
9.

Practical implementation and compliance considerations.............................119
9.1

Identifying affected institutions, products, departments, and staff ..... 119

9.2 Implementation and compliance management support activities .......123

Attachment A: ...............................................................................................................126
Attachment B: ...............................................................................................................126
6

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Action taken chart........................................................................................... 126
Attachment C: ...............................................................................................................132
Sample notices .................................................................................................132
PAPERWORK REDUCTION ACT

According to the Paperwork Reduction Act of 1995, an agency may not conduct or sponsor, and,
notwithstanding any other provision of law, a person is not required to respond to a collection of
information unless it displays a valid OMB control number. The OMB control number for this
collection is 3170-0008. It expires on November 30, 2022. The information collections created
by the Final Rule published October 28, 2015 at 80 FR 66127 will not become effective until
either three years from the date of publication of the rule or 2020 in the case of certain
information collections. The time required to complete this information collection is estimated
to average between 161 hours and 9,000 hours per response depending on the size of the
institution. The obligation to respond to this collection of information is mandatory per the
Home Mortgage Disclosure Act, 12 U.S.C. 2801-2810, as implemented by the Bureau’s
Regulation C, 12 CFR part 1003. Comments regarding this collection of information, including
the estimated response time, suggestions for improving the usefulness of the information, or
suggestions for reducing the burden to respond to this collection should be submitted to the
Bureau of Consumer Financial Protection (Attention: PRA Office), 1700 G Street NW,
Washington, DC 20552, or by email to [email protected]. The other agencies collecting
information under this regulation maintain OMB control numbers for their collections as
follows: Office of the Comptroller of the Currency (1557–0159), the Federal Deposit Insurance
Corporation (3064–0046), the Federal Reserve System (7100–0247), the Department of
Housing and Urban Development (2502–0529), and the National Credit Union Administration
(3133–0166).

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

1. Introduction
The Home Mortgage Disclosure Act (HMDA), which Congress enacted in 1975, requires certain
financial institutions to collect, record, report, and disclose information about their mortgage
lending activity. Regulation C implements HMDA and sets out specific requirements for the
collection, recording, reporting, and disclosure of mortgage lending information. The datarelated requirements in HMDA and Regulation C serve three primary purposes: (1) to help
determine whether financial institutions are serving their communities’ housing needs; (2) to
assist public officials in distributing public investment to attract private investment; and (3) to
assist in identifying potential discriminatory lending patterns and enforcing antidiscrimination
statutes.
The Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act)
transferred rulemaking authority for HMDA to the Bureau of Consumer Financial Protection
(Bureau), effective July 2011. It also amended HMDA to require financial institutions to report
new data points and authorized the Bureau to require financial institutions to collect, record,
and report additional information. On August 29, 2014, the Bureau published proposed
amendments to Regulation C to implement the Dodd-Frank Act changes and to make additional
changes. The Bureau carefully reviewed and considered the comments it received on its
proposed amendments. On October 15, 2015, the Bureau issued a final rule (2015 HMDA Rule)
amending Regulation C. The 2015 HMDA Rule was published in the Federal Register on
October 28, 2015. On August 24, 2017, the Bureau issued a final rule (2017 HMDA Rule) further
amending Regulation C to make technical corrections and to clarify and amend certain
requirements adopted by the 2015 HMDA Rule. The 2017 HMDA Rule was published in the
Federal Register on September 13, 2017. On May 24, 2018, the President signed the Economic
Growth, Regulatory Relief, and Consumer Protection Act (2018 Act) into law. Effective May 24,
2018, Section 104(a) of the 2018 Act created partial exemptions from some of HMDA’s
requirements for certain covered institutions. On August 31, 2018, the Bureau issued an
interpretive and procedural rule (2018 HMDA Rule) to implement and clarify Section 104(a) of
the 2018 Act. The 2018 HMDA Rule was published in the Federal Register on September 7,
2018. On October 10, 2019, the Bureau issued a final rule (2019 Rule) to extend until January 1,
2022 the current temporary loan-volume threshold for reporting data about open-end lines of
credit and incorporate the 2018 HMDA Rule into Regulation C and implement further the 2018
Act. The 2019 HMDA Rule was published in the Federal Register on October 29, 2019. On
8

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

April 16, 2020, the Bureau issued a final rule (2020 HMDA Thresholds Rule) amending
Regulation C’s institutional and transactional coverage thresholds for closed-end mortgage
loans and open-end lines of credit. The 2020 HMDA Thresholds Rule was published in the
Federal Register on May 12, 2020. In this guide, the 2015 HMDA Rule, 2017 HMDA Rule, 2018
HMDA Rule, 2019 HMDA Rule, and 2020 HMDA Thresholds Rule are collectively referred to as
the HMDA Rule.
Certain terms that are defined in Regulation C are capitalized in this guide for ease of reference.
The definitions for these terms are found in 12 CFR 1003.2.

1.1

Purpose of this guide

The purpose of this guide is to provide an easy-to-use summary of Regulation C to highlight
information that financial institutions and those that work with them might find helpful when
implementing the HMDA Rule.
This guide meets the requirements of Section 212 of the Small Business Regulatory Enforcement
Fairness Act of 1996, which requires the Bureau to issue a small entity compliance guide to help
small entities comply with new regulations. Larger entities may also find this guide useful.
This is a Compliance Aid issued by the Consumer Financial Protection Bureau. The Bureau
published a Policy Statement on Compliance Aids, available at
https://www.consumerfinance.gov/policy-compliance/rulemaking/final-rules/policystatement-compliance-aids/, that explains the Bureau’s approach to Compliance Aids.
Regulation C, the 2015 HMDA Rule, the 2017 HMDA Rule, the 2018 HMDA Rule, the 2019
HMDA Rule, the 2020 HMDA Thresholds Rule, and the Official Interpretations (also known as
the commentary) are the definitive sources of information regarding their requirements. The
2015 HMDA Rule, the 2017 HMDA Rule, the 2018 HMDA Rule, the 2019 HMDA Rule, and the
2020 HMDA Thresholds Rule are available at http://www.consumerfinance.gov/regulatoryimplementation/hmda/.
The focus of this guide is Regulation C and the HMDA Rule. Except when specifically needed to
explain a provision of amended Regulation C, this guide does not discuss other Federal or State
laws that may apply to mortgage lending.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

This guide has examples to illustrate some portions of the HMDA Rule. The examples do not
include all possible factual situations that could illustrate a particular provision, trigger a
particular obligation, or satisfy a particular requirement. Even though an example may identify
a fictitious financial institution as, for example, “Ficus Bank” or “Ficus Mortgage Company,” the
provision or obligation being illustrated in the example may apply to all financial institutions,
including both depository and nondepository financial institutions.
Sometimes this guide will distinguish between the requirements of the HMDA Rule and the
requirements of Regulation C as they apply before a specific part of the HMDA Rule goes into
effect. When making these distinctions, the guide generally refers to the requirements of
Regulation C as they apply before a specific part of the HMDA Rule goes into effect as “current
Regulation C.” However, it should be understood that this means the requirements of
Regulation C as they are before the specific part of the HMDA Rule being discussed goes into
effect, not Regulation C as of any specific date (such as the date the guide is being read).

1.2

Additional implementation resources

Additional resources to help institutions understand and comply with the HMDA Rule are
available on the Bureau’s website at http://www.consumerfinance.gov/regulatoryimplementation/hmda/. These resources include a list of frequently asked questions and
answers on particular topics to assist in understanding and complying with HMDA and
Regulation C.
A person who has a specific regulatory interpretation question about the HMDA Rule after
reviewing these materials may submit the question on the Bureau’s website at
https://reginquiries.consumerfinance.gov/. Bureau staff provide only informal responses to
regulatory inquiries, and the responses do not constitute official interpretations or legal advice.
Generally, Bureau staff is not able to respond to specific inquiries the same business day or
within a particular requested timeframe. Actual response times will vary based on the number
of questions Bureau staff is handling and the amount of research needed to respond to a specific
question.
Technical questions about the HMDA Platform, or the publication of HMDA data
should be directed to [email protected].
10

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

2. Key changes and effective
dates
The HMDA Rule changes: (1) the types of financial institutions that are subject to Regulation C;
(2) the types of transactions that are subject to Regulation C; (3) the data that financial
institutions are required to collect, record, and report; and (4) the processes for reporting and
disclosing HMDA data.
Most provisions of the HMDA Rule took effect on January 1, 2018 and apply to data collected in
2018 and reported in 2019 or later years. The partial exemptions created by the 2018 Act
became effective when the Act was signed into law on May 24, 2018. Further implementation of
the 2018 Act, such as the application of partial exemptions after a merger or acquisition, is
effective January 1, 2020. Certain changes regarding reporting and changes to the enforcement
provisions regarding good faith efforts are effective January 1, 2019. The new quarterly
reporting requirement and changes to the enforcement provisions for larger-volume reporters
are effective January 1, 2020. Additionally, there are institutional and transactional coverage
changes for closed-end mortgage loans that are effective July 1, 2020 and open-end lines of
credit that are effective January 1, 2022. 1
This section summarizes these key changes and provides the effective date for each key change.
For more detailed information on the HMDA Rule’s specific requirements, see Sections 3
through 8.

On April 16, 2020, the Bureau issued the 2020 HMDA Thresholds Rule adjusting Regulation C’s institutional and
transactional coverage thresholds for closed-end mortgage loans and open-end lines of credit. Effective July 1,
2020, the final rule permanently raises the closed-end coverage threshold from 25 to 100 closed-end mortgage
loans in each of the two preceding calendar years. Effective January 1, 2022, when the temporary threshold of 500
open-end lines of credit expires, the final rule sets the permanent open-end threshold at 200 open-end lines of
credit in each of the two preceding calendar years.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

2.1

Institutional coverage

Effective January 1, 2018, for changes to institutional coverage; effective July 1, 2020, for a
change to the loan-volume threshold for covered closed-end mortgage loans; effective January
1, 2022, for a change to the loan-volume threshold for open-end lines of credit
Effective January 1, 2018, the HMDA Rule
adopts a uniform loan-volume threshold

The 2018 Act added partial exemptions to

for all financial institutions. As described
below, the loan-volume threshold for

HMDA. As discussed in Section 4.3, certain

closed-end mortgage loans and open-end

partial exemptions from some of the HMDA

lines of credit adjusts over three effective
dates. First, from January 1, 2018, through
June 30, 2020, a financial institution is not
subject to Regulation C unless it originated
at least 25 covered closed-end mortgage
loans in each of the two preceding calendar
years or at least 500 covered open-end

financial institutions are eligible for these
Rule’s data collection and reporting
requirements. Among other things, in order
to be eligible for a partial exemption, a
financial institution must be either an
insured depository institution as defined in
Section 3 of the Federal Deposit Insurance
Act or an insured credit union as defined in
Section 101 of the Federal Credit Union Act.

lines of credit in each of the two preceding

As discussed in Section 4.3, an insured

calendar years, and it meets other

depository institution with a less than

applicable coverage requirements. Second,

satisfactory Community Reinvestment Act

from July 1, 2020 through December 31,
2021, a financial institution is not subject
to Regulation C unless it originated at least
100 covered closed-end mortgage loans in
each of the two preceding calendar years or
at least 500 covered open-end lines of
credit in each of the two preceding calendar

examination history is not eligible for a
partial exemption.
A financial institution that was subject to
HMDA’s closed-end requirements as of
January 1, 2020, but is no longer subject to
HMDA’s closed-end requirements as of July
1, 2020, because it originated fewer than 100
closed-end mortgage loans during 2018 or

years, and it meets other applicable

2019, may stop collecting, recording, and

coverage requirements. Third, effective

reporting HMDA data as of July 1, 2020.

January 1, 2022, a financial institution is

Such an institution may report voluntarily

not subject to Regulation C unless it
originated at least 100 covered closed-end

HMDA data on closed-end mortgage loans

mortgage loans in each of the two

from 2020 as long as the institution reports
data for the full calendar year 2020.

preceding calendar years or at least 200
12

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

covered open-end lines of credit in each of the two preceding calendar years, and it meets other
applicable coverage requirements.
For depository financial institution coverage, the HMDA Rule maintains Regulation C’s assetsize threshold, location test, federally related test, and loan activity test. For nondepository
financial institutions, the HMDA Rule retains the location test.
For more information regarding which financial institutions are subject to the HMDA Rule, see
Section 3 and the HMDA Institutional Coverage Charts.

2.2

Transactional coverage

Effective January 1, 2018 for data collected on or after January 1, 2018 (to be reported in or
after 2019); effective July 1, 2020 for data collected on or after July 1, 2020 for a change to the
exclusion for closed-end mortgage loans; effective January 1, 2022 for data collected on or
after January 1, 2022 (to be reported in or after 2023) for a change to the exclusion for openend lines of credit.
The HMDA Rule modifies the types of transactions that are subject to Regulation C and
generally adopts a dwelling-secured standard for transactional coverage.
Beginning on January 1, 2018, Regulation C generally applies to consumer-purpose, closed-end
loans and open-end lines of credit that are secured by a dwelling. 12 CFR 1003.2(d), (e), and (o).
A home improvement loan is not subject to Regulation C unless it is secured by a dwelling.
Beginning on January 1, 2018, Regulation C applies to business-purpose, closed-end loans and
open-end lines of credit that are dwelling-secured and are home purchase loans, home
improvement loans, or refinancings. 12 CFR 1003.3(c)(10). For business-purpose transactions,
the HMDA Rule creates a dwelling-secured standard and maintains current Regulation C’s
purpose test.
The HMDA Rule retains existing categories of excluded transactions, clarifies some categories of
excluded transactions, and expands the existing exclusion for agricultural-purpose transactions.
12 CFR 1003.3(c). It also adds new categories of excluded transactions that are designed to
work in tandem with the HMDA Rule’s other changes. For example, from January 1, 2018
through June 30, 2020, closed-end mortgage loans are excluded transactions for a financial
13

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

institution that did not originate 25 or more of them in each of the two preceding calendar years.
Effective July 1, 2020, closed-end mortgage loans are excluded transactions for a financial
institution that did not originate 100 or more of them in each of the two preceding calendar
years. Similarly, open-end lines of credit are excluded transactions for a financial institution
that did not originate a certain number of them in each of the two preceding calendar years.
For 2018, 2019, 2020, and 2021, open-end lines of credit are excluded transactions for a
financial institution that did not originate at least 500 of them in each of the two preceding
calendar years. Effective January 1, 2022, open-end lines of credit are excluded transactions for
a financial institution that did not originate at least 200 of them in each of the two preceding
calendar years. 2
The HMDA Rule expands the types of

The 2018 Act created two partial exemptions:

preapproval requests that are reported, but

one for closed-end mortgage loans and one

also excludes requests regarding some types
of loans from the scope of reportable

for open-end lines of credit. Transactions

preapproval requests. Under the HMDA
Rule, reporting of preapproval requests that
are approved but not accepted is required
instead of optional. However, under the
HMDA Rule, preapproval requests

that are subject to the HMDA Rule and are
covered by a partial exemption are still
subject to some of the HMDA Rule’s
requirements, and certain data points must
be collected, recorded, and reported for such
transactions. For more information on the
partial exemptions, see Section 4.3.

regarding home purchase loans to be
secured by multifamily dwellings,
preapproval requests for open-end lines of credit, and preapproval requests for reverse
mortgages are not reportable.
For more information regarding the transactions that are subject to the HMDA Rule, see Section
4 and the HMDA Transactional Coverage Chart.

A financial institution may collect, record, report, and disclose information, as described in §§ 1003.4 and 1003.5,
for a closed-end mortgage loan excluded under § 1002.3(c)(11) or an open-end line of credit excluded under
§ 1002.3(c)(12) as though it were a covered loan, provided that the financial institution complies with such
requirements for all applications for closed-end mortgage loans or open-end lines of credit that it receives,
originates, and purchases that otherwise would have been covered loans during the calendar year during which final
action is tak en on the excluded closed-end mortgage loan or open-end line of credit.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

2.3

Required data points

Effective January 1, 2018 and applicable to data reported in or after 2019; partial exemptions
effective May 24, 2018 and applicable for collection, recording, and reporting of data on or
after May 24, 2018.
The HMDA Rule adds the data points specified in the Dodd-Frank Act as well as data points that
the Bureau determined will assist in carrying out HMDA’s purposes. For example, the HMDA
Rule adds new data points for age, credit score, automated underwriting information, debt-toincome ratio, unique loan identifier, property value, application channel, points and fees,
borrower-paid origination charges, discount points, lender credits, loan term, prepayment
penalty, and identification of other loan features. 12 CFR 1003.4(a). The HMDA Rule also
modifies some existing data points.
Effective May 24, 2018, the 2018 Act created partial exemptions that permit certain financial
institutions to exclude 26 data points when collecting, recording, and reporting HMDA data for
certain transactions. If a partial exemption applies to a covered transaction, an insured
depository institution or insured credit union may, but is not required to, collect, record, and
report these 26 data points. However, the insured depository institution or insured credit union
must collect, record, and report the remaining 22 data points as required by the HMDA Rule
and otherwise comply with the HMDA Rule for such covered transactions.
Generally, a financial institution collects, records, and reports the new and modified data points
under the HMDA Rule for applications on which final action is taken on or after January 1,
2018. However, if a partial exemption applies, an insured depository institution or insured
credit union is not required to collect, record, or report many of these data points as discussed in
Section 4.3.3.
A financial institution collects, records, and reports the new and modified data points, to the
extent that they apply to purchased loans, for purchases of covered loans that occur on or after
January 1, 2018.
For more information regarding the data points that must be reported under the HMDA Rule,
see Section 5. For more information on the data points that must be reported if a partial
exemption applies to a covered transaction, see Section 4.3.3.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

2.4

Collection and reporting of applicant
information

Effective January 1, 2018 for data collected in or after 2018 (to be reported in or after 2019)
For data collected in or after 2018, the HMDA Rule amends the requirements for collection and
reporting of information regarding an applicant’s or borrower’s ethnicity, race, and sex.
First, the HMDA Rule adds a requirement to report how the institution collected the
information about the applicant’s or borrower’s ethnicity, race, and sex. A financial institution
reports whether or not it collected the information on the basis of visual observation or
surname. 12 CFR 1003.4(a)(10)(i). Financial institutions are required to collect information
about an applicant’s ethnicity, race, and sex on the basis of visual observation or surname when
an applicant chooses not to provide the information for an application taken in person.
Second, financial institutions must permit applicants to self-identify using disaggregated ethnic
and racial subcategories and must report disaggregated information applicants provide.
However, the HMDA Rule does not require or permit financial institutions to use the
disaggregated subcategories when identifying the applicant’s ethnicity and race based on visual
observation or surname. The HMDA Rule includes a new sample data collection form in
appendix B that provides the required aggregated categories and disaggregated subcategories
for ethnicity and race. Appendix B to Part 1003.
For more information regarding the collection and reporting of applicant information under the
HMDA Rule, see Section 5.1.

2.5

Annual reporting

Effective January 1, 2019 for changes requiring electronic submission of HMDA data in 2019
and later years
The HMDA Rule retains the requirement that a financial institution submit its HMDA data to its
appropriate Federal agency by March 1 following the calendar year for which it collected the
data, but requires electronic submission of the data.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

The Bureau developed a new web-based tool for electronically submitting HMDA data. Financial
institutions are required to submit data electronically using the web-based tool beginning in
2018 for data collected in 2017. For more information on the submission tool, see
http://ffiec.cfpb.gov/.
Beginning in 2019, financial institutions are required to submit the new dataset electronically in
accordance with the HMDA Rule, using the new web-based submission tool and revised
procedures available at http://ffiec.cfpb.gov/.
For more information regarding annual reporting under the HMDA Rule, see Section 6.2.1.

2.6

Quarterly reporting

Effective January 1, 2020 for data collected and reported in or after 2020
The HMDA Rule imposes a new quarterly reporting requirement for larger-volume reporters.
In addition to their annual data submission, these larger-volume reporters will also
electronically submit their HMDA data for each of the first three quarters of the year on a
quarterly basis beginning in 2020. 12 CFR 1003.5(a)(1)(ii).
As of March 26, 2020, and until further notice, the Bureau does not intend to cite in an
examination or initiate an enforcement action against any institution for failure to report its
HMDA data quarterly. At a later date, the Bureau will provide information as to how and when
it expects institutions under its jurisdiction to resume quarterly HMDA data submissions.
Entities should continue collecting and recording HMDA data in anticipation of making annual
data submissions. Entities may continue making quarterly HMDA data submissions even
though the Bureau does not intend to cite or take any actions against them if they do not do so.
See the Bureau’s Statement on Supervisory and Enforcement Practices Regarding Quarterly
Reporting Under the Home Mortgage Disclosure Act for more information.
For more information regarding quarterly reporting under the HMDA Rule, see Section 6.2.2.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

2.7

Disclosure requirements

Effective January 1, 2018 for data collected on or after January 1, 2017 (to be reported in or
after 2018)
The HMDA Rule replaces Regulation C’s requirements to provide a disclosure statement and
modified LAR 3 to the public upon request with new requirements to provide notices that the
institution’s disclosure statement and modified LAR are available on the Bureau’s website.
12 CFR 1003.5(b)(2) and (c).
The HMDA Rule also modifies the content of the posting required under Regulation C.
The HMDA Rule includes sample language that financial institutions can use to provide notice
that the institution’s HMDA data are available on the Bureau’s website and to comply with the
posting requirement. These revised disclosure requirements are effective January 1, 2018 and
apply to data collected on or after January 1, 2017 and reported in or after 2018.
The Bureau’s policy guidance on the disclosure of loan-level HMDA data 4 notes that for HMDA
data collected by Financial Institutions in or after 2018 and made available to the public
beginning in 2019, the Bureau intends to modify the public loan-level data to exclude certain
fields and reduce the precision of most of the values reported for certain data fields.
For more information regarding the disclosure requirements under the HMDA Rule,
see Section 6.3.

HMDA requires a financial institution to mak e available to the public, upon request, “loan application register
information” in the form required under Regulation C, and requires the Bureau to determine if deletions from the
information are appropriate to protect applicants’ and borrowers’ privacy interests or to protect financial
institutions from liability under privacy laws. 12 USC 304(j). Prior to being disclosed to the public, LARs must be
modified to remove loan application register information that the Bureau determines should be deleted.

See Disclosure of Loan-Level HMDA Data, 84 FR 649 (Jan. 31, 2019)

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

2.8

Enforcement provisions for largervolume reporters

Effective January 1, 2020
The HMDA Rule provides that inaccuracies or omissions in quarterly reporting are not
violations of HMDA or Regulation C if the financial institution makes a good-faith effort to
report quarterly data timely, fully, and accurately, and then corrects or completes the data prior
to its annual submission. 12 CFR 1003.6(c)(2). For more information regarding the
enforcement provisions of the HMDA Rule, see Section 7.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

3. Institutional coverage
An institution is required to comply with Regulation C only if it is a “financial institution” as that
term is defined in Regulation C.

3.1

Institutional coverage on or after
January 1, 2018

An institution uses two definitions, which are outlined below, as coverage tests to determine
whether it is a financial institution that is required to comply with Regulation C, on or after
January 1, 2018.
These coverage tests include loan-volume thresholds for closed-end mortgage loans and for
open-end lines of credit. For closed-end mortgage loans, the HMDA Rule includes a lower
threshold that is effective from January 1, 2018, through July 1, 2020. Similarly, for open-end
lines of credit, the HMDA Rule includes both a temporary higher threshold that is effective
January 1, 2018 and a lower threshold that takes effect January 1, 2022. These thresholds are
discussed in more detail below.
Although the HMDA Rule is the definitive source regarding the institutional coverage criteria,
an institution may also find the Bureau’s HMDA Institutional Coverage Charts helpful when it is
determining whether it is subject to Regulation C, on or after January 1, 2018.
Throughout the remainder of this guide, an institution that meets the criteria set forth in the
HMDA Rule’s definition of depository financial institution is referred to as a Depository
Financial Institution, and an institution that meets the criteria set forth in the HMDA Rule’s
definition of nondepository financial institution is referred to as a Nondepository Financial
Institution. The capitalized term Financial Institution refers to an institution that is either a
Depository Financial Institution or a Nondepository Financial Institution and that is an
institution that is subject to HMDA Rule.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

3.1.1 Depository financial institutions
Under the HMDA Rule, effective January 1, 2018, a bank, savings association, or credit union is
a Depository Financial Institution, a Financial Institution, and subject to Regulation C if it meets
ALL 5 of the following:
1. Asset-Size Threshold. On the preceding December 31, the bank, savings association, or
credit union had assets in excess of the asset-size threshold published annually in the
Federal Register and posted on the Bureau’s website. The phrase “preceding December 31”
refers to the December 31 immediately preceding the current calendar year. For example, in
2018, the preceding December 31 is December 31, 2017. 12 CFR 1003.2(g)(1)(i).
2. Location Test. On the preceding December 31, the bank, savings association, or credit
union had a home or Branch Office located in an MSA. 12 CFR 1003.2(g)(1)(ii).
For purposes of this location test, a Branch Office for a bank, savings association, or credit
union is an office: (a) of the bank, savings association, or credit union (b) that is considered
a branch by the institution’s Federal or State supervisory agency. For purposes of the
HMDA Rule, an automated teller machine or other free-standing electronic terminal is not a
Branch Office regardless of whether the supervisory agency would consider it a branch.
12 CFR 1003.2(c)(1). A Branch Office of a credit union is any office where member accounts
are established or loans are made, whether or not an agency has approved the office as a
branch. Comment 2(c)(1)-1.
3. Loan Activity Test. During the preceding calendar year, the bank, savings association, or
credit union originated at least one Home Purchase Loan or Refinancing of a Home
Purchase Loan secured by a first lien on a one-to-four-unit Dwelling.
12 CFR 1003.2(g)(1)(iii).
For more information on whether a loan is secured by a Dwelling, is a Home Purchase Loan,
or is a Refinancing of a Home Purchase Loan, see Sections 4.1.1.2 and 5.7.
4. Federally Related Test. The bank, savings association, or credit union:
a. Is federally insured; or

When determining whether it meets these criteria on or after January 1, 2018, a bank , savings association, or credit
union relies on the definitions in the HMDA Rule.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

b. Is federally regulated; or
c. Originated at least one Home Purchase Loan or Refinancing of a Home Purchase Loan
that was secured by a first lien on a one-to-four-unit Dwelling and also (i) was insured,
guaranteed or supplemented by a Federal agency or (ii) was intended for sale to Fannie
Mae or Freddie Mac. 12 CFR 1003.2(g)(1)(iv).
5. Loan-Volume Thresholds. The bank, savings association, or credit union meets or
exceeds either the loan-volume threshold for Closed-End Mortgage Loans or the loanvolume threshold for Open-End Lines of Credit in each of the two preceding calendar years.
Effective January 1, 2018 through June 30, 2020, the loan-volume threshold for Closed-End
Mortgage Loans is 25 Closed-End Mortgage Loans, and effective July 1, 2020, the loanvolume threshold for Closed-End Mortgage Loans is 100 Closed-End Mortgage Loans.
Effective January 1, 2018 through December 31, 2021, the loan-volume threshold for OpenEnd Lines of Credit is 500 Open-End Lines of Credit, and effective January 1, 2022, the
loan-volume threshold for Open-End Lines of Credit is 200 Open-End Lines of Credit.
When the bank, savings association, or credit union determines whether it meets these loanvolume thresholds, it does not count transactions excluded by 12 CFR 1003.3(c)(1) through (10)
and (13). 12 CFR 1003.2(g)(1)(v). These Excluded Transactions are discussed below in Section
4.1.2 in paragraphs 1 through 10 and in paragraph 13. For more information on Closed-End
Mortgage Loans, Open-End Lines of Credit, and Excluded Transactions, see Section 4.1.
When determining if it meets the loan-volume thresholds, a bank, savings association, or credit
union only counts Closed-End Mortgage Loans and Open-End Lines of Credit that it originated.
Only one institution is deemed to have originated a specific Closed-End Mortgage Loan or
Open-End Line of Credit under the HMDA Rule, even if two or more institutions are involved in
the origination process. Only the institution that is deemed to have originated the transaction
under the HMDA Rule counts it for purposes of the loan-volume threshold. Comments 2(g)-5;
see also comments 4(a)-2 through -4. For more information on how to determine whether an
institution is deemed to have originated a transaction under the HMDA Rule, see Section 4.2.3.
The HMDA Rule also includes a separate test to ensure that Financial Institutions that meet
only the Closed-End Mortgage Loan threshold are not required to report their Open-End Lines
of Credit, and that Financial Institutions that meet only the Open-End Line of Credit threshold
are not required to report their Closed-End Mortgage Loans. 12 CFR 1003.3(c)(11) and
(12). For more information, see Section 4.1.2.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

3.1.2 Nondepository financial institutions
Under the HMDA Rule, effective January 1, 2018, a for-profit mortgage-lending institution
(other than a bank, savings association, or credit union) is a Nondepository Financial
Institution, a Financial Institution, and subject to Regulation C if it meets BOTH 6 of the
following:
1. Location Test. The mortgage-lending institution had a home or Branch Office in an MSA
on the preceding December 31. The phrase “preceding December 31” refers to the December
31 immediately preceding the current calendar year. For example, in 2018, the preceding
December 31 is December 31, 2017. 12 CFR 1003.2(g)(2)(i).
For purposes of this location test, a Branch Office of a for-profit mortgage-lending
institution is: (a) any one of the institution’s offices (b) at which the institution takes from
the public Applications for Covered Loans. A mortgage-lending institution is also deemed to
have a Branch Office in an MSA if, in the preceding calendar year, it received Applications
for, originated, or purchased five or more Covered Loans related to property located in that
MSA. 12 CFR 1003.2(c)(2). For more information on Applications and Covered Loans, see
Section 4.
2. Loan-Volume Thresholds. The mortgage-lending institution meets or exceeds either the
Closed-End Mortgage Loan loan-volume threshold or the Open-End Line of Credit loanvolume threshold in each of the two preceding calendar years. Effective January 1, 2018,
through June 30, 2020, the loan-volume threshold for Closed-End Mortgage Loans is 25
Closed-End Mortgage Loans, and effective July 1, 2020, the loan-volume threshold for
Closed-End Mortgage Loans is 100 Closed-End Mortgage Loans. Effective January 1, 2018
through December 31, 2021, the loan-volume threshold for Open-End Lines of Credit is 500
Open-End Lines of Credit, and effective January 1, 2022, the loan-volume threshold for
Open-End Lines of Credit is 200 Open-End Lines of Credit.
.
When an institution determines whether it meets the loan-volume thresholds, it does not count
transactions excluded by 12 CFR 1003.3(c)(1) through (10) and (13). 12 CFR 1003.2(g)(2)(ii).
These Excluded Transactions are discussed below in Section 4.1.2 in paragraphs 1 through 10

When determining whether it meets these criteria on or after January 1, 2018, a mortgage-lending institution relies
on the definitions in the HMDA Rule.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

and paragraph 13. For more information on Closed-End Mortgage Loans, Open-End Lines of
Credit, and Excluded Transactions, see Section 4.1.
When determining if it meets the loan-volume thresholds, a mortgage-lending institution only
counts Closed-End Mortgage Loans and Open-End Lines of Credit that it originated. Only one
institution is deemed to have originated a specific Closed-End Mortgage Loan or Open-End Line
of Credit under the HMDA Rule, even if two or more institutions are involved in the origination
process. Only the institution that is deemed to have originated the transaction under the HMDA
Rule counts it for purposes of the loan-volume threshold. Comment 2(g)-5. See also comments
4(a)-2 through -4. For more information on how to determine whether an institution is deemed
to have originated a transaction under the HMDA Rule, see Section 4.2.3. The HMDA Rule also
includes a separate test to ensure that Financial Institutions that meet only the Closed-End
Mortgage Loan threshold are not required to report their Open-End Lines of Credit, and that
Financial Institutions that meet only the Open-End Line of Credit threshold are not required to
report their Closed-End Mortgage Loans. 12 CFR 1003.3(c)(11) and (12). For more information,
see Section 4.1.2.

3.2

Exempt institutions

Regulation C provides that Financial Institutions may apply for an exemption from coverage,
and the HMDA Rule does not change this provision. Specifically, the Bureau may exempt a
State-chartered or State-licensed Financial Institution if the Bureau determines that the
Financial Institution is subject to a State disclosure law that contains requirements substantially
similar to those imposed by Regulation C and adequate enforcement provisions. Any Statelicensed or State-chartered Financial Institution or association of such institutions may apply to
the Bureau for an exemption. An exempt institution shall submit the data required by State law
to its State supervisory agency. 12 CFR 1003.3(a). A Financial Institution that loses its
exemption must comply with Regulation C beginning with the calendar year following the year
for which it last reported data under the State disclosure law. 12 CFR 1003.3(b).

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

4. Transactional coverage
A Financial Institution is required to collect, record, and report information only for
transactions that are subject to Regulation C. Effective January 1, 2018, the HMDA Rule
changes the types of transactions that are subject to Regulation C. This guide uses the
capitalized term Covered Loan to refer to a loan or line of credit that is subject to Regulation C,
effective January 1, 2018. As of that date, a Financial Institution is required to collect, record,
and report information only for a transaction that involves a Covered Loan, such as the
origination or purchase of a Covered Loan.
A Financial Institution can use Section 4.1 of this guide, below, for assistance in determining
whether a transaction involves a Covered Loan.
After a Financial Institution has determined that a transaction involves a Covered Loan, it can
use Section 4.2 for assistance in determining whether the HMDA Rule requires it to collect,
record, and report information related to the transaction. A Financial Institution can use
Section 4.3 to help it determine if a transaction that involves a Covered Loan is partially exempt
from some of the HMDA Rule’s requirements for collecting, recording, and reporting
information.

4.1

Covered loans

A Covered Loan can be either a Closed-End Mortgage Loan or an Open-End Line of Credit (see
Section 4.1.1), but an Excluded Transaction cannot be a Covered Loan (see Section 4.1.2).
12 CFR 1003.2(e).
To determine if a transaction is subject to amended Regulation C, effective January 1, 2018, a
Financial Institution should first determine whether the loan or line of credit involved in the
transaction is either a Closed-End Mortgage Loan or an Open-End Line of Credit. See Section
4.1.1. If the loan or line of credit is neither a Closed-End Mortgage Loan nor an Open-End Line
of Credit, the transaction does not involve a Covered Loan, and the Financial Institution is not
required to report the transaction. If the loan or line of credit is either a Closed-End Mortgage
Loan or an Open-End Line of Credit, the Financial Institution must determine if the Closed-End
Mortgage Loan or Open-End Line of Credit is an Excluded Transaction. See Section 4.1.2. If the
25

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Closed-End Mortgage Loan or an Open-End Line of Credit is an Excluded Transaction, it is not a
Covered Loan, and the Financial Institution is not required to report the transaction. If the loan
or line of credit is a Closed-End Mortgage Loan or an Open-End Line of Credit and is not an
Excluded Transaction, the Financial Institution may be required to report information related to
the transaction. See Sections 4.2 and 4.3.

4.1.1 Closed-end mortgage loans and open-end lines of
credit
A Closed-End Mortgage Loan is:
1. An extension of credit;
2. Secured by a lien on a Dwelling; and
3. Not an Open-End Line of Credit. 12 CFR 1003.2(d).

An Open-End Line of Credit is:
1. An extension of credit;
2. Secured by a lien on a Dwelling; and
3. An open-end credit plan for which:
a. The lender reasonably contemplates repeated transactions;
b. The lender may impose a finance charge from time-to-time on an outstanding unpaid
balance; and
c. The amount of credit that may be extended to the borrower during the term of the plan
(up to any limit set by the lender) is generally made available to the extent that any
outstanding balance is repaid. 12 CFR 1003.2(o); 12 CFR 1026.2(a)(20).

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Financial Institutions may rely on Regulation Z, 12 CFR 1026.2(a)(20), 7 and its official
commentary when determining whether a transaction is extended under a plan for which the
lender reasonably contemplates repeated transactions, the lender may impose a finance charge
from time-to-time on an outstanding unpaid balance, and the amount of credit that may be
extended to the borrower during the term of the plan is generally made available to the extent
that any outstanding balance is repaid.
A business-purpose transaction that is exempt from Regulation Z but is otherwise open-end
credit under Regulation Z, 12 CFR 1026.2(a)(20), would be an Open-End Line of Credit under
the HMDA Rule if it is an extension of credit secured by a lien on a Dwelling and is not an
Excluded Transaction. Comment 2(o)-1.

4.1.1.1

Extension of credit

A closed-end loan or open-end line of credit is not a Closed-End Mortgage Loan or an Open-End
Line of Credit under the HMDA Rule unless it involves an extension of credit. Depending on the
facts and circumstances, some transactions completed pursuant to installment sales contracts,
such as some land contracts, may not be Closed-End Mortgage Loans because no credit is
extended. Comment 2(d)-2. Individual draws on an Open-End Line of Credit are not separate
extensions of credit. Comment 2(o)-2.
Under the HMDA Rule, an “extension of credit” generally requires a new debt obligation.
Comment 2(d)-2. Thus, for example, a loan modification where the existing debt obligation is
not satisfied and replaced is not generally a Covered Loan (i.e., Closed-End Mortgage Loan or
Open-End Line of Credit) under the HMDA Rule. Except as described below, if a transaction
modifies, renews, extends, or amends the terms of an existing debt obligation, but the existing
debt obligation is not satisfied and replaced, the transaction is not a Covered Loan. It is
important to note that the HMDA Rule defines the phrase “extension of credit” differently than
Regulation B, 12 CFR part 1002. 8 Comment 2(d)-2 and 2(o)-2.
The HMDA Rule provides two narrow exceptions to the requirement that an “extension of
credit” involve a new debt obligation. The exceptions are designed to capture transactions that

Regulation Z, 12 CFR part 1026, implements the Truth in Lending Act.

8 Regulation B, 12 CFR part 1002, implements the Equal

Credit Opportunity Act.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

the Bureau believes are substantially similar to new debt obligations and should be treated as
such.
First, the HMDA Rule maintains Regulation C’s coverage of loan assumptions, even if no new
debt obligation is created. A loan assumption is a transaction in which a Financial Institution
enters into a written agreement accepting a new borrower in place of an existing borrower as the
obligor on an existing debt obligation. The HMDA Rule clarifies that, under Regulation C,
assumptions include successor-in-interest transactions in which an individual succeeds the
prior owner as the property owner and then assumes the existing debt secured by the property.
Assumptions are extensions of credit under the HMDA Rule even if the new borrower merely
assumes the existing debt obligation and no new debt obligation is created. Comment 2(d)-2.i.
Second, the HMDA Rule provides that a transaction completed pursuant to a New York State
consolidation, extension, and modification agreement and classified as a supplemental
mortgage under New York Tax Law Section 255, such that the borrower owes reduced or no
mortgage recording taxes, (New York CEMA) is an extension of credit under the HMDA Rule.
However, the HMDA Rule also provides that certain transactions providing new funds that are
consolidated into a New York CEMA are excluded from the HMDA reporting requirements.
Comment 2(d)-2.ii. See Section 4.1.2 for additional information on the exclusion for certain
transactions consolidated into a New York CEMA.

4.1.1.2

Secured by a lien on a dwelling

A loan is not a Closed-End Mortgage Loan and a line of credit is not an Open-End Line of Credit
unless it is secured by a lien on a Dwelling.
A Dwelling is a residential structure. There is no requirement that the structure be attached to
real property or that it be the applicant’s or borrower’s residence. Examples of Dwellings
include:
1. Principal residences;
2. Second homes and vacation homes;
3. Investment properties;
4. Residential structures attached to real property;
5. Detached residential structures;
28

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

6. Individual condominium and cooperative units;
7. Manufactured Homes 9 or other factory-built homes; and
8. Multifamily residential structures or communities, such as apartment buildings,
condominium complexes, cooperative
buildings or housing complexes, and
A loan is not secured by a Multifamily
Manufactured Home communities.
Dwelling for purposes of the HMDA Rule
12 CFR 1003.2(f); comments 2(f)-1
merely because it is secured by five or more
and -2.
individual units. In order for a loan to be
A Dwelling is not limited to a structure
that has four or fewer units and includes a
Multifamily Dwelling, which is a Dwelling
that contains five or more individual
dwelling units. A Multifamily Dwelling

secured by a Multifamily Dwelling, the
Dwelling must contain five or more
individual units. See comment 2(n)-3 for
examples of when a loan is and is not secured
by a Multifamily Dwelling.

includes a Manufactured Home
community.

Examples:
A landlord
obtains amortgage
closed-end
mortgage
loan fromInstitution
a Financialand
Institution
An
investor obtains
a closed-end
loan
from a Financial
uses the
and usesto
the
proceeds
toindividual
improve five
separate Dwellings,
with one
individual unit,
proceeds
purchase
ten
condominium
units in aeach
100-unit
condominium
located inThe
different
of aby
town.
Theindividual
loan is secured
complex.
loan isparts
secured
the ten
units, by
butthe
notfive
by separate
the entireDwellings,
but is not secured
by a Multifamily
condominium
complex.
The loan is Dwelling.
secured by the ten separate Dwellings, but is not
secured by a Multifamily Dwelling.

A loan related to a Manufactured Home community is secured by a Dwelling even if it is not
secured by any individual Manufactured Homes, but is secured only by the land that constitutes

A Manufactured Home is a residential structure that satisfies the definition of “manufactured home” in the U.S.
Department of Housing and Urban Development’s (HUD’s) regulations, 24 CFR 3280.2, for establishing
manufactured home construction and safety standards. 12 CFR 1003.2(l). A modular home or factory-built home
that does not meet HUD’s regulations is not a Manufactured Home under the HMDA Rule. A Manufactured Home
will generally bear a HUD Certification Label and data plate noting compliance with the Federal standards.
Comment 2(l)-2.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

the Manufactured Home community. However, a loan related to a multifamily residential
structure or community other than a Manufactured Home community is not secured by a
Dwelling unless it is secured by one or more individual dwelling units. For example, a loan that
is secured only by the common areas of a condominium complex or only by an assignment of
rents from an apartment building is not secured by a Dwelling. Comment 2(f)-2.
The following are not Dwellings:
1. Recreational vehicles, such as boats, campers, travel trailers, or park model recreational
vehicles;
2. Houseboats, floating homes, or mobile homes constructed before June 15, 1976;
3. Transitory residences, such as hotels, hospitals, college dormitories, or recreational
vehicle parks; and
4. Structures originally designed as a Dwelling but used exclusively for commercial
purposes, such as a home converted to a daycare facility or professional office. Comment
2(f)-3.
A property that is used for both residential and commercial purposes, such as a building that has
apartment and retail units, is a Dwelling if the property’s primary use is residential. Comment
2(f)-4.
A property used for both long-term housing and to provide assisted living or supportive housing
services is a Dwelling. However, transitory residences used to provide such services are not
Dwellings. Properties used to provide medical care, such as skilled nursing, rehabilitation, or
long-term medical care, are not Dwellings. If a property is used for long-term housing, to
provide related services (such as assisted living) and to provide medical care, the property is a
Dwelling if its primary use is residential. Comment 2(f)-5.
A Financial Institution may use any reasonable standard to determine a property’s primary use,
such as square footage, income generated, or number of beds or units allocated for each use. It
may select the standard on a case-by-case basis. Comments 2(f)-4 and -5.

4.1.2 Excluded transactions
Regulation C does not apply to transactions that are specifically excluded from coverage.
12 CFR 1003.3(c). Therefore, an Excluded Transaction is not a Covered Loan. The HMDA Rule
30

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

retains and clarifies existing categories of transactions that are excluded from coverage. It also
expands the existing exclusion for agricultural loans, and adds new categories of transactions
that are excluded from coverage. Effective January 1, 2018, the following are Excluded
Transactions:
1. A Closed-End Mortgage Loan or an Open-End Line of Credit that a Financial Institution
originates or purchases in a fiduciary capacity, such as a Closed-End Mortgage Loan or an
Open-End Line of Credit that a Financial Institution originates or purchases as a trustee.
12 CFR 1003.3(c)(1); comment 3(c)(1).
2. A Closed-End Mortgage Loan or an Open-End Line of Credit secured by a lien on
unimproved land. 12 CFR 1003.3(c)(2). Generally, a loan or line of credit must be secured
by a Dwelling to be a Covered Loan. The HMDA Rule also lists Closed-End Mortgage Loans
and Open-End Lines of Credit secured only by vacant or unimproved land as Excluded
Transactions. However, a loan or line of credit secured by a lien on unimproved land is
deemed to be secured by a Dwelling (and might not be excluded) if the Financial Institution
knows, based on information that it receives from the applicant or borrower at the time the
Application is received or the credit decision is made, that the proceeds of that loan or credit
line will be used within two years after closing or account opening to construct a Dwelling
on, or to purchase a Dwelling to be placed on, the land. Comment 3(c)(2)-1.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

3. A Closed-End Mortgage Loan or an Open-End Line of Credit that is temporary financing. A
transaction is excluded as temporary financing if it is designed to be replaced by separate
permanent financing extended to the same borrower at a later time. The separate
permanent financing may be extended by any lender (i.e., by either the lender that extended
the temporary financing or another lender). A construction-only loan or line of credit is
considered temporary financing and excluded under the HMDA Rule if the loan or line of
credit is extended to a person exclusively to construct a Dwelling for sale.
Comment 3(c)(3)-2.

Examples: Ficus Bank extends a bridge or swing loan to finance a borrower’s down
payment for a home purchase. The borrower will pay off the bridge or swing loan with
funds from the sale of his or her existing home and obtain permanent financing from
Ficus Bank at that time. The bridge or swing loan is excluded as temporary financing.
Ficus Bank extends a construction loan to a borrower to finance construction of the
borrower’s Dwelling. The borrower will obtain a new extension of credit for permanent
financing of the Dwelling from either Ficus Bank or another lender. Ficus Bank renews
the construction loan several times before the borrower obtains a new extension of credit
from another lender for permanent financing. The construction loan is excluded as
temporary financing.
Ficus Bank extends a construction loan to a borrower to finance construction of the
borrower’s Dwelling. The construction loan will automatically convert to permanent
financing after the construction phase is complete. The construction loan is not
temporary financing because it is not designed to be “replaced by” separate permanent
financing.
Ficus Bank extends a nine-month loan to an investor, who uses the loan proceeds to
purchase a home, renovate it, and sell it before the loan term expires. The loan is not
temporary financing because it is not designed to be “replaced by” separate permanent
financing.

4. The purchase of an interest in a pool of Closed-End Mortgage Loans or Open-End Lines of
Credit, such as mortgage-participation certificates, mortgage-backed securities, or real estate
mortgage investment conduits. 12 CFR 1003.3(c)(4); comment 3(c)(4)-1.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

5. The purchase solely of the right to service Closed-End Mortgage Loans or Open-End Lines of
Credit. 12 CFR 1003.3(c)(5).
6. The purchase of a Closed-End Mortgage Loan or an Open-End Line of Credit as part of a
merger or acquisition or as part of the acquisition of all of a Branch Office’s assets and
liabilities. 12 CFR 1003.3(c)(6); comment 3(c)(6)-1. For more information on mergers and
acquisitions under the HMDA Rule, see Section 8.
7. A Closed-End Mortgage Loan or an Open-End Line of Credit, or an Application for a ClosedEnd Mortgage Loan or Open-End Line of Credit, for which the total dollar amount is less
than $500. 12 CFR 1003.3(c)(7).
8. The purchase of a partial interest in a Closed-End Mortgage Loan or an Open-End Line of
Credit. 12 CFR 1003.3(c)(8); comment 3(c)(8)-1.
9. A Closed-End Mortgage Loan or an Open-End Line of Credit if the proceeds are used
primarily for agricultural purposes or if the Closed-End Mortgage Loan or Open-End Line of
Credit is secured by a Dwelling that is located on real property that is used primarily for
agricultural purposes. 12 CFR 1003.3(c)(9); comment 3(c)(9)-1. The HMDA Rule directs
Financial Institutions to Regulation Z’s official commentary for guidance on what is an
agricultural purpose. Regulation Z’s official commentary states that agricultural purposes
include planting, propagating, nurturing, harvesting, catching, storing, exhibiting,
marketing, transporting, processing, or manufacturing food, beverages, flowers, trees,
livestock, poultry, bees, wildlife, fish or shellfish by a natural person engaged in farming,
fishing, or growing crops, flowers, trees, livestock, poultry, bees or wildlife. See comment
3(a)-8 in the official interpretations of Regulation Z, 12 CFR part 1026. A Financial
Institution may use any reasonable standard to determine the primary use of the property,
and may select the standard to apply on a case-by-case basis. Comment 3(c)(9)-1.
10. A Closed-End Mortgage Loan or an Open-End Line of Credit that is or will be made
primarily for business or commercial purposes, unless it is a Home Improvement Loan, a
Home Purchase Loan, or a Refinancing. 12 CFR 1003.3(c)(10). Not all transactions that are
primarily for a business purpose are Excluded Transactions. Thus, a Financial Institution
must collect, record, and report data for Dwelling-secured, business-purpose loans and lines
of credit that are Home Improvement Loans, Home Purchase Loans, or Refinancings if no
other exclusion applies. For more information on determining whether a loan or line of
credit is a Home Purchase Loan, Home Improvement Loan, or Refinancing, see Section 5.7.
The HMDA Rule provides that, if a Closed-End Mortgage Loan or an Open-End Line of
Credit is deemed to be primarily for a business, commercial, or organizational purposes
33

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

under Regulation Z, 12 CFR 1026.3(a) and its official commentary, then the loan or line of
credit also is deemed to be primarily for a business or commercial purpose under the HMDA
Rule. Comment 3(c)(10)-2. For more information and examples of business-purpose or
commercial-purpose transactions that are Covered Loans, see comment 3(c)(10)-3 and -4.
11. A Closed-End Mortgage Loan if the Financial Institution originated fewer than the
applicable threshold forClosed-End Mortgage Loans in either of the two preceding calendar
years. 12 CFR 1003.3(c)(11); comment 3(c)(11)-1. Effective January 1, 2018 until June 30,
2020, the applicable threshold is 25 Closed-End Mortgage Loans, and effective July 1, 2020,
the applicable threshold is 100 Closed-End Mortgage Loans. A Financial Institution is not
required to collect, record, or report Closed-End Mortgage Loans if it originated fewer than
the applicable theshold in either of the two preceding calendar years. However, the
Financial Institution may still be required to collect and report information regarding OpenEnd Lines of Credit, depending on the number of Open-End Lines of Credit it originates in
each of the preceding two calendar years. For more information on how to determine if a
Financial Institution “originated” a particular loan when multiple entities are involved in the
transaction, see Section 4.2.3.
A Financial Institution may report
When an institution determines whether it
applications for, originations of, and
meets the loan-volume thresholds, it does
purchases of Closed-End Mortgage Loans
not count transactions excluded by
that are excluded transactions under 12
12 CFR 1003.3(c)(1) through (10) and
CFR 1003.3(c)(11). However a Financial
(13). 12 CFR 1003.2(g)(2)(ii). These
Institution that chooses to report such
Excluded Transactions are discussed in this
excluded applications, originations, and
Section 4.1.2 in paragraphs 1 through 10 and
purchases must report all such
paragraph 13. When determining if it meets
applications it received for Closed-End
the loan-volume thresholds, a Financial
Mortgage Loans, all Closed-End Mortgage
Institution only counts Closed-End Mortgage
Loans it originates, and all Closed-End
Loans or Open-End Lines of Credit, as
Mortgage Loans it purchases that would
applicable, that it originated.
otherwise be Covered Loans for a given
calendar year. 12 CFR 1003.3(c)(11).
Effective January 1, 2018, Regulation B
permits a Financial Institution to collect information regarding the ethnicity, race, and sex of
an applicant for a Closed-End Mortgage Loan that is an excluded transaction under 12 CFR
1003.3(c)(11), if the Financial Institution submits HMDA data concerning such Closed-End
Mortgage Loans and applications or if it submitted such HMDA data for any of the preceding
five calendar years. See the final rule issued on September 20, 2017.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

12. An Open-End Line of Credit if the number of Open-End Lines of Credit that the Financial
Institution originated in either of the two preceding calendar years does not meet or exceed
the applicable threshold. 12 CFR 1003.3(c)(12); comment 3(c)(12)-1. Effective January 1,
2018 until December 31, 2021, the applicable threshold is 500 Open-End Lines of Credit.
During this time period, a Financial Institution is not required to collect, record, or report
Open-End Lines of Credit if it originated fewer than 500 of them in either of the two
preceding calendar years. Effective January 1, 2022, the applicable threshold will be 200
Open-End Lines of Credit. Effective January 1, 2022, a Financial Institution is not required
to collect, record, or report Open-End Lines of Credit if it originated fewer than 200 of them
in either of the two preceding calendar years. Comment 3(c)(12)-1. However, the Financial
Institution will still be required to collect and report information regarding Closed-End
Mortgage Loans, depending on the number of Closed-End Mortgage Loans it originates in
each of the preceding two calendar years. For more information on how to determine if a
Financial Institution “originated” a particular line of credit when multiple entities are
involved in the transaction, see Section 4.2.3.
A Financial Institution may report applications for, originations of, or purchases of OpenEnd Lines of Credit that are excluded transactions under 12 CFR 1003.3(c)(12). However, a
Financial Institution that chooses to report such excluded applications, originations, or
purchases must report all applications for Open-End Lines of Credit that it receives, all
Open-End Lines of Credit it originates, and all Open-End Lines of Credit it purchases that
would otherwise be Covered Loans for a given calendar year. 12 CFR 1003.3(c)(12);
comment 3(c)(12)-2. Effective January 1, 2018, Regulation B permits a Financial Institution
to collect information regarding the ethnicity, race, and sex of an applicant for an Open-End
Line of Credit that is an excluded transaction under 12 CFR 1003.3(c)(12), if it submits
HMDA data concerning such Open-End Lines of Credits and applications or if it submitted
such HMDA data for any of the preceding five calendar years. See the final rule issued on
September 20 2017.
13. A transaction that provided (or, in the case of an application, proposed to provide) new
funds to the borrower in advance of being consolidated in a New York CEMA classified as a
supplemental mortgage under New York Tax Law section 255. However, the transaction is
excluded only if final action on the consolidation was taken in the same calendar year as the
final action on the new funds transaction. 12 CFR 1003.3(13). Additionally, the transaction
is excluded only if, at the time that it originated the transaction providing the new funds, the
Financial Institution intended to consolidate the loan into a New York CEMA. This
exclusion does not apply to similar preliminary transactions that are consolidated pursuant
to laws other than New York Tax Law section 255. Such preliminary transactions under

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

other laws must be reported if they are Covered Loans and are not subject to another
exclusion. Comment 3(c)(13)-1.
New funds provided in advance of being consolidated into a New York CEMA classified as a
supplemental mortgage under New York Tax Law section 255 are reported only insofar as
they form part of the total amount of the reported New York CEMA. They are not reported
as a separate amount. If a New York CEMA that consolidates an excluded preliminary
transaction is carried out in a transaction involving an assumption, the Financial Institution
reports the New York CEMA and does not report the preliminary transaction separately.
Comment 3(c)(13)-1.

4.2

Reportable activity

Once a Financial Institution has determined whether a transaction involves a Covered Loan, it
must determine whether it has engaged in activity that obligates it to report information about
the transaction. Generally, a Financial Institution is required to report information for actions
taken on Applications (as that term is defined below) for Covered Loans, originations of Covered
Loans, and purchases of Covered Loans. If a Financial Institution receives an Application and
that Application results in the Financial Institution originating a Covered Loan, the Financial
Institution reports the origination of the Covered Loan, and does not separately report the
Application. For more information on when to report information regarding Applications and
Covered Loans, see Sections 4.2.1 and 4.2.2. There are special rules that apply if multiple
entities are involved in the transaction. These special rules are discussed in Section 4.2.3.
There are also partial exemptions that reduce the amount of information that certain Financial
Institutions are required to report for a transaction involving a Covered Loan (i.e., an
Application for, an origination of, or a purchase of a Covered Loan). These partial exemptions
are discussed in Section 4.3.

4.2.1 Applications
For purposes of the HMDA Rule, an Application is: (a) an oral or written request (b) for a
Covered Loan (c) that is made in accordance with procedures the Financial Institution uses for
the type of credit requested. 12 CFR 1003.2(b)(1).

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

This definition of Application is similar to the Regulation B definition, except that
prequalification requests 10 are not Applications under the HMDA Rule. Interpretations that
appear in the official commentary to Regulation B are generally applicable to the definition of
Application under the HMDA Rule, except for those interpretations that include a
prequalification request within the definition of Application. Comment 2(b)-1.
Under the HMDA Rule, a request for a preapproval may be treated differently than a request for
a prequalification for certain types of loans. The determination of whether a request is a
prequalification request (which is not an Application) or a preapproval request (which might be
an Application) is based on the HMDA Rule, not on the labels that an institution uses or
interpretations of other regulations, such as Regulation B.
A preapproval request is an Application under the HMDA Rule if the request is:
1. For a Home Purchase Loan;
2. Not secured by a Multifamily Dwelling;
3. Not for an Open-End Line Credit or for a Reverse Mortgage; 11 and
4. Reviewed under a Preapproval Program (see definition of Preapproval Program
immediately below). 12 CFR 1003.2(b)(2).
A Preapproval Program for purposes of the HMDA Rule is a program in which the Financial
Institution:
1. Conducts a comprehensive analysis of the applicant’s creditworthiness (including income
verification), resources, and other matters typically reviewed as part of the Financial
Institution’s normal credit evaluation program; and then

Generally, a prequalification request is a request (other than a preapproval request) by a prospective loan applicant
for a preliminary determination of whether the prospective loan applicant would likely qualify for credit under the
Financial Institution’s standards, or for a determination of the amount of credit for which the prospective applicant
would lik ely qualify. The HMDA Rule does not require a Financial Institution to report prequalification requests,
even though these requests may constitute “applications” under Regulation B. Comment 2(b)-2.

A Reverse Mortgage is a Closed-End Mortgage Loan or an Open-End Line of Credit that is a reverse mortgage
transaction as defined in Regulation Z, but without regard to whether the loan or line is secured by a principal
dwelling. 12 CFR 1003.2(q).

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

2. Issues a written commitment that: (a) is for a Home Purchase Loan; (b) is valid for a
designated period of time and up to a specified amount, and (c) is subject only to
specifically permitted conditions. 12 CFR 1003.2(b)(2).
The written commitment issued as part of the Preapproval Program can be subject to only the
following types of conditions:
1. Conditions that require the identification of a suitable property;
2. Conditions that require that no material change occur regarding the applicant’s financial
condition or creditworthiness prior to closing; and
3. Limited conditions that (a) are not related to the applicant’s financial condition or
creditworthiness and (b) the Financial Institution ordinarily attaches to a traditional
home mortgage application. Examples of conditions ordinarily attached to a traditional
home mortgage application include requiring an acceptable title insurance binder or a
certificate indicating clear termite inspection and, if the applicant plans to use the
proceeds from the sale of the applicant’s present home to purchase a new home, a
settlement statement showing adequate proceeds from the sale of the present home.
12 CFR 1003.2(b)(2); comment 2(b)-3.
A program that a Financial Institution describes as a “preapproval program” but that does not
satisfy the HMDA Rule definition is not a Preapproval Program for purposes of the HMDA Rule.
Comment 2(b)-3.
If a Financial Institution does not regularly use procedures to consider requests but instead
considers requests on an ad hoc basis, the Financial Institution is not required to treat the ad
hoc requests as having been reviewed under a Preapproval Program. However, a Financial
Institution should be generally consistent in following uniform procedures for considering such
ad hoc requests. Comment 2(b)-3.
Under the HMDA Rule, a Financial Institution must collect, record, and report data regarding
an Application it receives if: (1) the Application did not result in the Financial Institution
originating a Covered Loan; and (2) the Financial Institution took action on the Application or
the applicant withdrew the Application while the Financial Institution was reviewing it. For
example, a Financial Institution reports information regarding an Application that it denied,
that it approved but the applicant did not accept, or that it closed for incompleteness.
12 CFR 1003.4(a) and 1003.5(a); comment 4(a)-1. If the Application results in the Financial
Institution originating a Covered Loan, the Financial Institution reports the Covered Loan, not
38

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

the Application itself. For more information on reporting Applications when multiple entities
are involved, see Section 4.2.3.
Although requests under Preapproval Programs are Applications, a Financial Institution reports
data regarding a request under a Preapproval Program only if the preapproval request is denied
or approved but not accepted. A Financial Institution will also report a request under a
Preapproval Program that results in the Financial Institution originating a Home Purchase
Loan, but it will be reported as an originated Covered Loan. Comment 4(a)-1.ii.
A Financial Institution reports the data for an Application, including a reportable preapproval
request, on the LAR for the calendar year during which it takes action even if the Financial
Institution received the Application in a previous calendar year. Comment 4(a)-1.iv.

4.2.2 Originations and purchases of covered loans
A Financial Institution must collect, record, and report information regarding originations and
purchases of Covered Loans. For more information on when a Financial Institution reports the
origination or purchase of a Covered Loan when multiple entities are involved, see Section 4.2.3.
A purchase includes a repurchase of a Covered Loan, regardless of whether the Financial
Institution chose to repurchase the Covered Loan or was required to repurchase it because of a
contractual obligation, and regardless of whether the repurchase occurred within the same
calendar year that the Covered Loan was originated or in a different calendar year. Comment
4(a)-5.
A purchase does not include a temporary transfer of a Covered Loan to an interim funder or
warehouse creditor as part of an interim funding agreement under which the Financial
Institution that originated the Covered Loan is obligated to repurchase it for sale to a
subsequent investor. Such funding agreements are often referred to as “repurchase agreements”
and are sometimes used as the functional equivalents of warehouse lines of credit. Comment
4(a)-5.

4.2.3 Transactions involving multiple entities
Only one Financial Institution reports the origination of a Covered Loan. If more than one
institution is involved in the origination of a Covered Loan, the institution that makes the credit
decision approving the Application before loan closing or account opening is responsible for
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HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

reporting the origination of the Covered Loan. It is not relevant whether the loan closed in the
reporting Financial Institution’s name. If more than one institution approved an Application
prior to loan closing or account opening and one of those institutions purchased the Covered
Loan after closing or account opening, the institution that purchased the Covered Loan after
closing or account opening is responsible for reporting the origination of the Covered Loan.
Comment 4(a)-2.
If a Financial Institution reports a Covered Loan as an origination, it reports all of the
information required to be reported for the origination of a Covered Loan, even if the Covered
Loan was not initially payable to the Financial Institution that is reporting the Covered Loan as
an origination. Comment 4(a)-2. When reporting a Covered Loan as an origination, a Financial
Institution cannot rely on exceptions or exclusions that apply to purchased Covered Loans, but
that do not apply to originations of Covered Loans.
If a Financial Institution and other parties review the same Application and the Financial
Institution is not responsible for reporting the origination of the resulting Covered Loan, the
Financial Institution reports the actions that the Financial Institution took on the Application.
For example, the Financial Institution is still required to report the Application if the Financial
Institution denied the Application or if the Financial Institution approved the Application but
the applicant did not accept the loan. The Financial Institution is also required to report the
Application if the Financial Institution was reviewing the Application when it was withdrawn or
the file was closed for incompleteness. Comment 4(a)-2.ii.
If a Financial Institution makes a credit decision on a Covered Loan or Application through the
actions of an agent, the Financial Institution reports the Application or Covered Loan. State law
determines whether one party is the agent of another party. Comment 4(a)-4.
The following examples illustrate when a Financial Institution reports certain transactions
related to Covered Loans involving multiple entities.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Examples: Ficus Bank receives an Application for a Covered Loan from an applicant and
forwards that Application to Pine Bank, which reviews and approves the Application prior
to closing. The loan closes in Ficus Bank’s name. Pine Bank purchases the loan from
Ficus Bank after closing. Pine Bank is not acting as Ficus Bank’s agent when it reviews
and approves the Application. Because Pine Bank made the credit decision prior to
closing, Pine Bank reports the transaction as an originated Covered Loan, not as a
purchased Covered Loan. Ficus Bank does not report the transaction.
Ficus Mortgage Company receives an Application for a Covered Loan from an applicant
and forwards that Application to Pine Bank, which reviews and denies the Application
before the loan would have closed. Pine Bank is not acting as Ficus Mortgage Company’s
agent when it reviews and denies the Application. Because Pine Bank makes the credit
decision, Pine Bank reports the Application as denied. Ficus Mortgage Company does not
report the Application. If, under the same facts, the Application is withdrawn before Pine
Bank makes a credit decision, Pine Bank reports the Application as withdrawn, and Ficus
Mortgage Company does not report the Application.
Ficus Bank receives an Application for a Covered Loan from an applicant and approves the
Application. Ficus Bank closes the loan in its name. Ficus Bank is not acting as Pine
Bank’s agent when it approves the Application or closes the loan. Pine Bank does not
review the Application before closing. Pine Bank purchases the Covered Loan from Ficus
Bank. Ficus Bank reports the loan as an originated Covered Loan. Pine Bank reports the
loan as a purchased Covered Loan.
Pine Bank reviews an Application and makes a credit decision to approve a Covered Loan
using the underwriting criteria provided by Ficus Mortgage Company. Pine Bank is not
acting as Ficus Mortgage Company’s agent, and no one acting on behalf of Ficus Mortgage
Company reviews the Application or makes a credit decision prior to closing. Pine Bank
reports the Application or, if the Application results in a Covered Loan, it reports the loan
as an originated Covered Loan. If the Application results in a Covered Loan and Ficus
Mortgage Company purchases it after closing, Ficus Mortgage Company reports the loan
as a purchased Covered Loan.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Examples (cont’d): Ficus Bank receives an Application for a Covered Loan and
forwards it to Aspen Bank and Pine Bank. Ficus Bank makes a credit decision, acting as
Elm Bank’s agent, and approves the Application. Pine Bank makes a credit decision and
denies the Application. Aspen Bank makes a credit decision approving the Application.
The applicant does not accept the loan from Elm Bank. The applicant accepts the loan
from Aspen Bank and credit is extended. Aspen Bank reports the loan as an originated
Covered Loan. Pine Bank reports the Application as denied. Elm Bank reports the
Application as approved but not accepted. Ficus Bank does not report the Application.

4.3

Partial exemptions

The 2018 Act created partial exemptions from
some of the HMDA Rule’s requirements. Only

Because the partial exemptions were not

certain Financial Institutions are eligible for
these partial exemptions, and only certain

effective at the beginning of 2018, it is

Covered Loans and Applications are covered

have collected and recorded information that

under each of the two partial exemptions. If a

it was not required to report with its 2018

Covered Loan or Application is covered by a
partial exemption, the Financial Institution is
not required to collect, record, and report
specific data points. The partial exemptions
were effective May 24, 2018, and apply to the
collection, recording, and reporting of HMDA
data on or after that date.
As discussed in Section 4.3.1, only a Financial
Institution that is an insured credit union or an
insured depository institution is eligible for the

possible that a Financial Institution may

HMDA data. If a Financial Institution that is
eligible for a partial exemption collected and
recorded data points that it is not required to
report due to a partial exemption, the
institution may choose to report all, some, or
none of those data points for a Covered Loan
or Application covered by a partial
exemption. If the institution opts to
voluntarily report a data point for a
transaction covered by a partial exemption, it
must report all data fields that are part of
that data point.

partial exemptions. Additionally, as discussed
in Section 4.3.1., an insured depository institution must not have a less than satisfactory
examination history under the Community Reinvestment Act (CRA) to be eligible for the partial
exemptions.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

As discussed in Section 4.3.2, each of the partial exemptions applies only to certain Covered
Loans and Applications and only if an applicable loan-volume threshold is met. An insured
depository institution or insured credit union must meet the applicable loan-volume threshold
for Closed-End Mortgage Loans in order for a partial exemption to apply to its Closed-End
Mortgage Loan transactions, and the applicable loan-volume threshold for Open-End Lines of
Credit in order for a partial exemption to apply to its Open-End Line of Credit transactions.
The 2018 Act created partial exemptions, not complete exclusions. Therefore, if a Covered Loan
or Application is covered by a partial exemption, the Financial Institution is required to collect,
record, and report 22 data points, but is exempt from collecting, recording, and reporting 26
data points for that transaction. Additionally, the Financial Institution may voluntarily report
any or all of these 26 data points for a Covered Loan or Application covered by a partial
exemption. Section 4.3.3 discusses the scope of the partial exemptions and includes tables that
list the data points that are and are not required to be collected, recorded, and reported if a
partial exemption applies to a Covered Loan or Application.

4.3.1 Eligible Financial Institutions
In order to be eligible for a partial exemption, a Financial Institution must be an:
1. “Insured credit union” as defined in Section 101 of the Federal Credit Union Act, 12
U.S.C. 1752; or
2. “Insured depository institution” as defined in Section 3 of the Federal Deposit Insurance
Act, 12 U.S.C. 1813. 12 C.F.R. 1003.3(d)(1)(i) and (ii).
Additionally, a Financial Institution that satisfies the definition of “insured depository
institution” must not have a negative CRA examination history in order to be eligible for a
partial exemption. More specifically, an insured depository institution must not have received
either of the following:
1. A rating of “need to improve record of meeting community credit needs” during each of
its two most recent examinations under Section 807(b)(2) of the CRA; or
2. A rating of “substantial noncompliance in meeting community credit needs” on its most
recent examination under Section 807(b)(2) of the CRA.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

The CRA ratings used to determine if an insured depository institution is eligible for a partial
exemption are the institution’s two most recent ratings as of December 31 of the preceding year.
A Financial Institution that does not satisfy either the definition of an “insured credit union” or
an “insured depository institution” may not rely on either of the partial exemptions, even if it
satisfies the loan-volume thresholds discussed in Section 4.3.2. Similarly, an insured depository
institution that does not satisfy the criteria regarding CRA examination history cannot rely on
either of the partial exemptions.

4.3.2 Loan-volume thresholds
In order for a partial exemption to apply to an Application or Covered Loan (including a
purchased Covered Loan), an eligible Financial Institution (i.e., an insured depository
institution that does not have a negative
CRA examination history or an insured

When a Financial Institution determines

credit union) must also meet the applicable

whether it meets the loan-volume thresholds,

loan-volume threshold.

it does not count transactions excluded by

A partial exemption applies to an eligible

12 CFR 1003.3(c)(1) through (10) and
(13). 12 CFR 1003.2(g)(2)(ii). These

Financial Institution’s Applications for,

Excluded Transactions are discussed in

originations of, and purchases of Closed-

Section 4.1.2 in paragraphs 1 through 10 and

End Mortgage Loans if the institution
originated fewer than 500 Closed-End

paragraph 13. When determining if it meets

Mortgage Loans in each of the two
preceding calendar years.

either of the loan-volume thresholds, a
Financial Institution only counts Closed-End
Mortgage Loans or Open-End Lines of
Credit, as applicable, that it originated.

A partial exemption applies to an eligible
Financial Institution’s Applications for,
originations of, and purchases of Open-End Lines of Credit if the institution originated fewer
than 500 Open-End Lines of Credit in each of the two preceding calendar years. However,
during 2018, 2019, 2020, and 2021, a Financial Institution is not required to collect or report
any information for Open-End Lines of Credit if the institution originated fewer than 500 OpenEnd Lines of Credit during either of the two preceding calendar years. This is because, during
2018, 2019, 2020, and 2021, Open-End Lines of Credit are Excluded Transactions for a
Financial Institution that originated fewer than 500 of them during either of the two preceding
calendar years. See the discussion regarding Excluded Transactions in Section 4.1.2.
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HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

The partial exemption for Closed-End Mortgage Loans and the partial exemption for Open-End
Lines of Credit operate independently of one another. Thus, in a given calendar year, an eligible
Financial Institution may be able to rely on one partial exemption but not the other.

Example: Ficus Bank is an insured depository institution as defined in Section 3 of the
Federal Deposit Insurance Act, and it received satisfactory ratings in its two most recent
CRA examinations as of December 31, 2017. In 2016, Ficus Bank originated 400 ClosedEnd Mortgage Loans and 510 Open-End Lines of Credit. In 2017, Ficus Bank originated
490 Closed-End Mortgage Loans and 515 Open-End Lines of Credit. In 2018, a partial
exemption applies to Ficus Bank’s Closed-End Mortgage Loan transactions, but a partial
exemption does not apply to Ficus Bank’s Open-End Line of Credit transactions.
Additionally, because Ficus Bank originated at least 500 Open-End Lines of Credit in
both 2016 and 2017, Ficus Bank cannot exclude Open-End Lines of Credit from its
reportable transactions in 2018 (i.e., they are not Excluded Transactions as discussed in
Section 4.1.2).

4.3.3 Collecting, recording, and reporting for transactions
covered by a partial exemption
If a partial exemption applies to a Covered Loan or Application (as discussed above), the HMDA
Rule does not require the Financial Institution to collect, record, and report some of the data
points that the HMDA Rule would otherwise require the institution to collect, record, and report
for that transaction. More specifically, if a partial exemption applies to a Covered Loan or
Application, a Financial Institution is not required under the HMDA Rule to collect, record, or
report the 26 data points listed in the table immediately below.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Data Points Eligible Financial Institutions Need Not Collect or Report under the HMDA
Rule For Transactions Covered by a Partial Exemption
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•

Universal Loan Identifier (ULI) (1003.4(a)(1)(i)) 12
Application Channel (1003.4(a)(33))
Loan Term (1003.4(a)(25))
Reasons for Denial (1003.4(a)(16)) 13
Property Address (1003.4(a)(9)(i))
Manuf actured Home Secured Property Type (1003.4(a)(29))
Manuf actured Home Land Property Interest (1003.4(a)(30))
Property Value (1003.4(a)(28))
Multif amily Affordable Units (1003.4(a)(32))
Debt-to-Income Ratio (1003.4(a)(23))
Combined Loan-to-Value Ratio (1003.4(a)(24))
Credit Score (1003.4(a)(15))
Automated Underwriting System (1003.4(a)(35))
Interest Rate (1003.4(a)(21))
Introductory Rate Period (1003.4(a)(26))
Rate Spread (1003.4(a)(12))
Non-Amortizing Features (1003.4(a)(27))
Total Loan Costs or Total Points and Fees (1003.4(a)(17))
Origination Charges (1003.4(a)(18))
Discount Points (1003.4(a)(19))
Lender Credits (1003.4(a)(20))
Prepayment Penalty Term (1003.4(a)(22))
Reverse Mortgage Flag (1003.4(a)(36))
Open-End Line of Credit Flag (1003.4(a)(37))
Business or Commercial Purpose Flag (1003.4(a)(38))
Mortgage Loan Originator Identifier (1003.4(a)(34))

A Financial Institution may opt to collect, record, and report one or more of these 26 data points
for a Covered Loan or Application that is covered by a partial exemption.

If the Financial Institution chooses not to report a ULI for a Covered Loan or Application covered by a partial
exemption, it must report a non-universal loan identifier as discussed in Section 5.2.

Certain Financial Institutions supervised by the OCC and the FDIC are required by those agencies to report reasons
for denial on their HMDA loan/application registers, even if a partial exemption applies. 12 CFR 27.3(a)(1)(i),
128.6, 390.147.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Property address is one of the data points
that a Financial Institution is not required to

Seven of these 26 data points (i.e.,

report if a partial exemption applies to a

property address, credit score, reasons

transaction. If a partial exemption applies

denial, total loan costs or total points and

to a Covered Loan or Application, an

fees, non-amortizing features,

institution may report state for the

application channel, and automated
underwriting system) have multiple data

fields that make up the property address

fields. If a Financial Institution opts to
report a data point with multiple fields, it

for

transaction without reporting the other data
data point (i.e., street address, city, and zip
code). Comment 3(d)(4)(i)-1.

must report all of the data fields that
make up that data point.
Example: Ficus Bank originates a Covered Loan. A partial exemption applies to the
Covered Loan, but Ficus Bank opts to report that the Covered Loan does not have a
balloon payment. Balloon payment is one of the data fields for the non-amortizing
features data point. The other data fields that make up the non-amortizing features data
point are interest-only payments, negative amortization, and other non-amortizing
features. Because Ficus Bank chose to report the balloon payment data field, Ficus Bank
must also report whether the Covered Loan has interest-only payments, negative
amortization, and other non-amortizing features.

If a Financial Institution opts not to report a Universal Loan Identifier (ULI) for a Covered Loan
or Application that is covered by a partial exemption, the institution must provide a nonuniversal loan identifier as discussed in Section 5.2.
If a Financial Institution opts not to report one of the 26 data points other than the ULI, the
Financial Institution generally reports that the Covered Loan or Application is exempt from that
data point. However, if a data point is not applicable to the particular transaction and the
transaction is exempt from that data point, the Financial Institution may choose to report either
that the data point is not applicable or that the transaction is exempt from the data point.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Example: Ficus Bank originates a Covered Loan. The sole applicant for the Covered
Loan is not a natural person. Because the applicant is not a natural person, Ficus Bank
would report the debt-to-income ratio data point as not applicable, unless a partial
exemption applies to the Covered Loan. If a partial exemption applies to the Covered
Loan, Ficus Bank could report either “not applicable” or “exempt” for the debt-to-income
ratio data point.
If a Covered Loan or Application is covered by a partial exemption, a Financial Institution must
collect, record, and report 22 data points for the Covered Loan or Application. These 22 data
points are set forth in the following table.
Data Points That Must be Collected and Reported under the HMDA Rule for Covered
Loans and Applications Covered by a Partial Exemption

•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•

Ethnicity (1003.4(a)(10)(i))
Race (1003.4(a)(10)(i))
Sex (1003.4(a)(10)(i))
Age (1003.4(a)(10)(ii))
Income (1003.4(a)(10)(iii))
Legal Entity Identifier (LEI) (1003.5(a)(3))
Application Date (1003.4(a)(1)(ii)
Preapproval (1003.4(a)(4))
Loan Type (1003.4(a)(2))
Loan Purpose (1003.4(a)(3))
Loan Amount (1003.4(a)(7))
Action Taken (1003.4(a)(8)(i))
Action Taken Date (1003.4(a)(8)(ii))
State (1003.4(a)(9)(ii)(A))
County (1003.4(a)(9)(ii)(B))
Census Tract (1003.4(a)(9)(ii)(C))
Construction Method (1003.4(a)(5))
Occupancy Type (1003.4(a)(6)
Lien Status (1003.4(a)(14))
Number of Units (1003.4(a)(31))
HOEPA Status (1003.4(a)(13))
Type of Purchaser (1003.4(a)(11))

Because the partial exemptions do not affect these 22 data points, Financial Institutions must
continue to collect and report these 22 data points for Covered Loans and Applications in the
manner specified in the 2015 HMDA Rule, as amended and clarified by the 2017 HMDA Rule.
48

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

As discussed above, during 2018,2019, 2020, and 2021, a Financial Institution is not required to
collect or report any information for Open-End Lines of Credit if the institution originated fewer
than 500 of them during either of the two preceding calendar years. See the discussion
regarding Excluded Transactions in Section 4.1.2.
For more information on reporting data points if a Covered Loan or Application is covered by a
partial exemption, see Section 5 of this guide and the Filing Instructions Guide that incorporates
the 2018 HMDA Rule available at http://www.consumerfinance.gov/data-research/hmda/forfilers.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

5. Reportable data
The HMDA Rule changes the data that must be collected, recorded, and reported for Covered
Loans and Applications. Effective January 1, 2018, it modifies some existing data points and
adds new data points. 12 CFR 1003.4. Effective May 24, 2018, a Financial Institution is not
required to collect, record, or report some of the data points under the HMDA Rule for Covered
Loans and Applications covered by a partial exemption. The partial exemptions, including the
data points that need not be collected, recorded, or reported for a Covered Loan or Application
covered by a partial exemption, are discussed in Section 4.3.
Unless a partial exemption applies, a Financial Institution collects, records, and reports the new
and modified data points under the HMDA Rule for Applications and Covered Loans on which
final action is taken on or after January 1, 2018. A Financial Institution collects, records, and
reports the new and modified data points, to the extent that they apply to purchased loans, for
purchases of Covered Loans that occur on or after January 1, 2018.
If a partial exemption applies to a Covered Loan or Application, the Financial Institution is not
required to collect, record, or report 26 data points for that transaction as described in Section
4.3.3. It must collect, record, and report the remaining 22 data points as required under the
HMDA Rule and as discussed in Section 4.3.3.
This section describes the HMDA Rule’s reportable data points and provides guidance on how to
report them. For more information on reporting Covered Loans and Applications covered by a
partial exemption, see Section 4.3.3. Additional instructions for reporting data points are
available in the Filing Instructions Guides at http://www.consumerfinance.gov/dataresearch/hmda/for-filers.

5.1

Applicant information

A Financial Institution must report information about ethnicity, race, and sex for applicants who
are natural persons. Appendix B to Regulation C provides instructions on how to collect
ethnicity, race, and sex information. The HMDA Rule modifies the requirements for collecting
and reporting an applicant’s ethnicity, race, and sex and requires that the applicant’s age be
collected and reported. Financial Institutions will continue to collect and report income.
50

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

The HMDA Rule amends the instructions in appendix B and provides a new sample data
collection form.

5.1.1 Collection
The instructions in appendix B to the HMDA Rule require a Financial Institution:
1. To ask an applicant for ethnicity, race, and sex information regardless of whether the
Application is taken in person, by mail, by telephone, or on the internet. A Financial
Institution cannot require the applicant to provide this information.
When a Financial Institution requests ethnicity and race information from an applicant
under the HMDA Rule, it must offer the applicant the option of selecting more than one
ethnicity and race and must permit the applicant to self-identify using aggregate categories
and disaggregated subcategories. When a Financial Institution requests the applicant’s
ethnicity and race, the aggregate categories must be broken down into disaggregated
subcategories. For example, the aggregate category of Hispanic or Latino must be broken
down into the subcategories of Mexican, Puerto Rican, Cuban, or Other Hispanic or Latino.
Similarly, the Asian and Native Hawaiian or Other Pacific Islander categories also must be
broken down into their respective disaggregated subcategories.
An applicant must be permitted to select one or more race or ethnicity subcategories even if
the applicant has not selected a race or ethnicity aggregate category. For example, an
applicant could select Mexican even if the applicant has not selected Hispanic or Latino.
The applicant must also be permitted to provide certain additional information. For
example, an applicant must be permitted to provide a particular Hispanic or Latino ethnicity
that is not provided on the collection form. An applicant must be permitted to provide this
information even if the applicant has not selected the Other Hispanic or Latino category.
Similarly, the applicant must be permitted to provide a particular Asian race or a particular
Pacific Islander race that is not provided on the collection form. An applicant must be
permitted to provide this information even if the applicant has not selected the Other Asian
or Other Pacific Islander category. An applicant must also be permitted to provide a
particular American Indian or Alaska Native enrolled or principal tribe even if the applicant
has not selected the American Indian or Alaska Native race category. Appendix B to
Part 1003.
For an illustration of the information that a Financial Institution must ask about an
applicant’s ethnicity, race, and sex, see the sample data collection form in Attachment A.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

2. To inform the applicant that: (a) Federal law requires the information be collected in order
to protect consumers and to monitor compliance with Federal statutes that prohibit
discrimination against applicants; and (b) if the information is not provided where the
Application is taken in person, the Financial Institution is required to note the information
on the basis of visual observation or surname.
3. To collect the applicant’s ethnicity, race, and sex based on visual observation or surname if
the applicant chooses not to provide the information for an Application that is taken in
person. Appendix B to Part 1003.
For an Application taken in person, there are special requirements if the applicant declines
to provide the information regarding ethnicity, race, and sex. The Financial Institution must
note that the applicant did not provide the information and then collect the applicant’s
ethnicity, race, and sex on the basis of visual observation or surname. When a Financial
Institution collects an applicant’s ethnicity, race, and sex on the basis of visual observation
or surname, the Financial Institution must select from the following aggregate categories:
ethnicity (Hispanic or Latino; not Hispanic or Latino); race (American Indian or Alaska
Native; Asian; Black or African American; Native Hawaiian or Other Pacific Islander;
White); sex (male; female). The Financial Institution does not use the disaggregated
categories. Only an applicant may self-identify as being of a particular ethnic or racial
subcategory.
If a Financial Institution accepts an Application through electronic media with a video
component, it must treat the Application as taken in person. However, if a Financial
Institution accepts an Application through electronic media without a video component, it
must treat the Application as accepted by mail. Appendix B to Part 1003.
If the applicant (1) begins an Application by mail, internet, or telephone, (2) does not
provide the requested information, (3) does not select “I do not wish to provide this
information,” and (4) meets with the Financial Institution in person to complete the
Application, the Financial Institution must request the applicant’s ethnicity, race, and sex
when the Financial Institution meets with the applicant in person. If the applicant does not
provide the requested information during the in-person meeting, the Financial Institution
must collect the information on the basis of visual observation or surname. If the meeting
occurs after the Application process is complete (e.g., at loan closing or account opening),
the Financial Institution is not required to obtain the applicant’s ethnicity, race, and sex.
Appendix B to Part 1003.
A Financial Institution may collect the required information regarding the ethnicity, race, and
sex of an applicant on an Application form, or on a separate form that refers to the Application
52

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

(sometimes called a collection form). For Applications taken by telephone, a Financial
Institution must state the information in the collection form orally. Appendix B to Part 1003.
Because the HMDA Rule changes the information that must be included on an Application form
or other collection form, Financial Institutions must revise their forms. A Financial Institution
must use a revised collection or Application form that includes the disaggregated categories for
Applications received on or after January 1, 2018. For more information on collecting the
applicant’s ethnicity, race, and sex, see appendix B to the HMDA Rule.

5.1.2 Reporting
A Financial Institution reports the following information about an applicant:
1. Ethnicity, race, and sex. A Financial Institution must report the applicant’s ethnicity,
race, and sex. It must also report whether or not it collected this information on the basis of
visual observation or surname. 12 CFR 1003.4(a)(10)(i).
If an applicant provided the requested information, a Financial Institution must report the
ethnicity, race, and sex information that the applicant provided. If an applicant selected
more than one ethnicity or race, a Financial Institution must report each designation the
applicant selected, subject to the limits in appendix B, which are described below.
For ethnicity, a Financial Institution must report every aggregate ethnicity category that the
applicant selected. If the applicant also selected one or more ethnicity subcategories, the
Financial Institution must report each ethnicity subcategory that the applicant selected, up
to a combined total of five aggregate ethnicity categories and ethnicity subcategories.
Appendix B to Part 1003.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

For race, a Financial Institution must report every aggregate race category the applicant
selected. If the applicant also selected one or more race subcategories, a Financial
Institution must report each race subcategory the applicant selected, up to a combined total
of five aggregate race categories and race subcategories. Appendix B to Part 1003.
Examples: An applicant selects all five aggregate race categories (i.e., American
Indian or Alaska Native, Asian, Black or African American, Native Hawaiian or Other
Pacific Islander, and White) and also selects the Chinese race subcategory. Because a
Financial Institution must report all of the aggregate race categories that an applicant
selects and can only report a combined total of up to five aggregate race categories and
race subcategories, Ficus Bank reports only the five aggregate race categories. It does
not report the Chinese race subcategory.
An applicant selects the White, Asian, and Native Hawaiian or Other Pacific Islander
aggregate race categories, and the Korean, Vietnamese, and Samoan race subcategories.
The Financial Institution must report the White, Asian, and Native Hawaiian or Other
Pacific Islander aggregate race categories. The Financial Institution also reports two of
the three race subcategories. The Financial Institution chooses which two race
subcategories to report (i.e., Korean and Vietnamese, Korean and Samoan, or
Vietnamese and Samoan).

An applicant may select the Other Hispanic or Latino ethnicity subcategory, an applicant
may provide a particular Hispanic or Latino ethnicity not listed in the standard
subcategories, or an applicant may do both. If an applicant provides only a particular
ethnicity not listed in the standard subcategories, a Financial Institution is permitted, but
not required, to report both the selection of Other Hispanic or Latino in addition to the
particular ethnicity that the applicant provided. If an applicant selects Other Hispanic or
Latino and provides a particular ethnicity, the Financial Institution reports both Other
Hispanic or Latino and the particular ethnicity the applicant provided, (subject to the five
ethnicity maximum described above). For purposes of the maximum of five reportable
ethnicity categories and subcategories, the Other Hispanic or Latino subcategory and any
additional information provided by the applicant together constitute only one selection.
Appendix B to Part 1003.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

An applicant may select the Other Asian race subcategory or Other Pacific Islander race
subcategory, an applicant may provide a particular race not listed in the standard
subcategories, or an applicant may do both. If an applicant provides only a particular race
not listed in the standard subcategories, a Financial Institution is permitted, but not
required, to report both the selection of Other Asian or Other Pacific Islander, as applicable,
in addition to the particular race that the applicant provided. If an applicant selects Other
Asian or Other Pacific Islander and provides a particular race, the Financial Institution
reports both Other Asian or Other Pacific Islander, as applicable, and the additional
information the applicant provided, subject to the maximum of five. For purposes of the
maximum of five reportable race categories and race subcategories, the Other Asian race or
Other Pacific Islander race subcategory and additional information provided by the
applicant together constitute only one selection. Appendix B to Part 1003.

Examples: An applicant selects the category of Hispanic or Latino and provides
Dominican as an ethnicity not listed in the standard subcategories. The applicant does
not select the Other Hispanic or Latino subcategory or any other ethnicity categories or
subcategories. The Financial Institution reports the Hispanic or Latino category and
Dominican. It may also report the Other Hispanic or Latino subcategory, but is not
required to do so.
An applicant selects the White, Asian, and Native Hawaiian or Other Pacific Islander
aggregate race categories, as well as the Korean, Vietnamese, Samoan, and Other Asian
race subcategories and writes in “Thai” in the space provided on the Application form.
The Financial Institution reports two (at its option) of the four race subcategories selected
by the applicant (i.e., Korean, Vietnamese, Other Asian-Thai, Samoan) in addition to the
three aggregate race categories selected by the applicant.

If an applicant selected “I do not wish to provide this information” on a collection or
Application form taken by mail or on the internet or stated that he or she did not wish to
provide the information for an Application that is taken by telephone, the Financial
Institution reports that the information was not provided in a mail, internet, or telephone
application.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

If an applicant provided some but not all of the requested information, a Financial
Institution reports the information provided by the applicant, whether partial or complete.
If an applicant provided complete or partial information but also selected that he or she did
not wish to provide the information for an Application that is taken by mail, internet, or
telephone, a Financial Institution reports the ethnicity, race, and sex information that the
applicant provided. Appendix B to Part 1003.
If there are multiple applicants (i.e., an applicant and one or more co-applicants), the
Financial Institution reports the ethnicity, race, and sex information for the applicant and
the first co-applicant listed on the collection or Application form. If an applicant did not
provide the information for an absent co-applicant, the Financial Institution reports that the
information was not provided by applicant in mail, internet, or telephone Application for the
absent co-applicant. If there is only one applicant, a Financial Institution reports that there
is no co-applicant. Appendix B to Part 1003.
If a Covered Loan or Application includes a guarantor, a Financial Institution does not
report the guarantor’s ethnicity, race, and sex. Appendix B to Part 1003.
A Financial Institution may, but is not required to, report an applicant’s ethnicity, race, and
sex for purchased Covered Loans. If a Financial Institution chooses not to report the
applicant’s ethnicity, race, and sex for a purchased Covered Loan, the Financial Institution
reports that the data points are not applicable. Appendix B to Part 1003.
If an applicant is not a natural person (e.g., a corporation, partnership, or trust), a Financial
Institution reports that the requirement to report ethnicity, race, and sex information is not
applicable. However, if an applicant is a natural person and a beneficiary of a trust (for
example, the natural person might be relying on income from or collateral owned by a trust),
the Financial Institution reports the applicant’s ethnicity, race, and sex information.
Appendix B to Part 1003.
For more information on reporting an applicant’s ethnicity, race, and sex, see appendix B to
the HMDA Rule.
2. Age. A Financial Institution reports the applicant’s age (as of the Application date) as the
number of whole years derived from the date of birth shown on the Application form.
12 CFR 1003.4(a)(10)(ii); comment 4(a)(10)(ii)-1.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Example: An applicant provides a date of birth of 01/15/1970 on the Application form
that Ficus Bank receives on 01/14/2018. Ficus Bank reports 47 as the applicant’s age.

If there are multiple applicants, the Financial Institution reports the age for the applicant
and the first co-applicant listed on the Application form. If a Covered Loan or Application
includes a guarantor, a Financial Institution does not report the guarantor’s age. Comments
4(a)(10)(ii)-2 and -5.
A Financial Institution may, but is not required to, report the age of an applicant for
purchased Covered Loans. If a Financial Institution chooses not to report the applicant’s age
for a purchased Covered Loan, the Financial Institution reports that the data point is not
applicable. 12 CFR 1003.4(b)(2); comment 4(a)(10)(ii)-3.
If an applicant is not a natural person (e.g., a corporation, partnership, or trust), a financial
institution reports that the data point is not applicable. Comment 4(a)(10)(ii)-4. However,
if an applicant is a natural person and a beneficiary of a trust (for example, the natural
person might be relying on income from or collateral owned by a trust), the Financial
Institution reports the applicant’s age.
3. Income. If a Financial Institution considers income in making its credit decision, it reports
the gross annual income that it relied on in making the credit decision.
12 CFR 1003.4(a)(10)(iii). For Applications that are withdrawn or closed for incompleteness
before the Financial Institution makes a credit decision that would have taken income into
consideration, the Financial Institution reports the income information relied on in
processing the Application at the time that the Application was withdrawn or the file was
closed for incompleteness. 12 CFR 1003.4(a)(10)(iii); comment 4(a)(10)(iii)-5.
If a Financial Institution relies on only a portion of an applicant’s income in its
determination, it reports only the portion of income relied on. Comment 4(a)(10)(iii)-1. If a
Financial Institution relies on the income of a co-applicant or cosigner to evaluate
creditworthiness, the Financial Institution includes the co-applicant’s or cosigner’s income
to the extent relied upon. Comments (a)(10)(iii)-1 and -2. A Financial Institution, however,
does not include the income of a guarantor who is only secondarily liable. Comment
4(a)(10)(iii)-1.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Reportable income does not include funds or amounts in addition to income, such as funds
derived from underwriting calculations of the potential annuitization or depletion of an
applicant’s remaining assets, even if the Financial Institution relied on them when making
the credit decision. Actual distributions from retirement accounts or other assets that are
relied on by the Financial Institution as income are reported as income. Comment
4(a)(10)(iii)-4.
A Financial Institution may, but is not required to, report an applicant’s income for
purchased Covered Loans. A Financial Institution reports that the data point is not
applicable if it chooses not to report the applicant’s income. Comment 4(a)(10)(iii)-9.
A Financial Institution reports that the income data point is not applicable:
a. For a Covered Loan to or an Application from a Financial Institution’s own employee,
even though the Financial Institution relied on the employee’s income in making its
credit decision;
b. For a Covered Loan that is secured by or an Application that was proposed to be secured
by a Multifamily Dwelling;
c. If the applicant or co-applicant, if applicable, is not a natural person (e.g., a corporation,
partnership, or trust); or
d. If the Financial Institution did not consider or would not have considered income in
making the credit decision. 12 CFR 1003.4(a)(10)(iii); comments 4(a)(10)(iii)-3, -6, -7,
and -8.

5.2

Universal loan identifier (ULI) or nonuniversal loan identifier

Unless a partial exemption applies, a Financial Institution must report a ULI for a Covered Loan
or Application. The ULI:
1. Is a number that a Financial Institution assigns to the Covered Loan or Application.
12 CFR 1003.4(a)(1)(i).

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

2. Must begin with the Financial Institution’s Legal Entity Identifier (LEI), 14 followed by up
to 23 additional letters and/or numbers that the Financial Institution assigns, and end
with a two-character check digit. 15 12 CFR 1003.4(a)(1)(i)(A)-(C). Essentially, the ULI is
the Financial Institution’s LEI plus a loan or application number plus the two-character
check digit (in that order).
3. Cannot include information that could be used to identify the applicant or borrower
directly, such as the applicant’s or borrower’s name, date of birth, Social Security
number, official government-issued driver’s license or identification number, alien
registration number, government passport number, or employer or taxpayer
identification number. Comment 4(a)(1)(i)-2.
4. Must be unique within the Financial Institution and must be used for only one Covered
Loan or Application. Comment 4(a)(1)(i)-1.
To ensure that a ULI is unique within a Financial Institution, the Financial Institution must:
1. Ensure that its branches do not use the same ULI to refer to multiple Covered Loans or
Applications.
2. Assign a new ULI to a Refinancing or Application for Refinancing (i.e., not use the ULI
from the loan that is being refinanced).
A Financial Institution may use a previously reported ULI if an applicant asks the Financial
Institution: (a) to reinstate a counteroffer that the applicant did not accept earlier in the same
calendar year; or (b) to reconsider an Application that was denied, withdrawn, or closed for
incompleteness earlier during the same calendar year. However, a Financial Institution must

The LEI is a unique, 20-digit alphanumeric identifier issued by a utility endorsed by the LEI Regulatory Oversight
Committee or endorsed or otherwise governed by the Global LEI Foundation or a successor organization. A
Financial Institution can go to the Global LEI Foundation website, https://www.gleif.org/services/louservices/issue-new-lei, to obtain an LEI. Regardless of whether a Financial Institution’s transactions are covered by
a partial exemption, effective January 1, 2019, the institution must include an LEI with its submission as described
in 12 CFR 1003.5(a)(3). See Section 6.2 for more information.

The two-character check digit is used to validate the ULI. It is calculated using certain standards published by the
International Organization for Standardization (www.iso.org). A check digit tool is available on the Bureau’s
website. For more information on the two-character check digit, including the methodology for generating a check
digit, see appendix C to the HMDA Rule.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

not use a previously reported ULI if it reinstates or reconsiders an Application that was reported
in a prior calendar year. 12 CFR 1003.4(a)(1)(i)(E); comment 4(a)(1)(i)-4.
For a purchased Covered Loan, a Financial Institution uses the ULI that was assigned to the
Covered Loan by the Financial Institution that previously reported the Covered Loan. 12 CFR
1003.4(a)(1)(i)(D). If the Financial Institution that originated the Covered Loan did not assign a
ULI, the Financial Institution that purchases the Covered Loan must assign a ULI, unless a
partial exemption applies with respect to the purchase of the Covered Loan.
If a partial exemption applies to a Covered

If a Financial Institution that is not eligible

Loan or Application, a Financial Institution

for a partial exemption purchases a Covered

may either report a ULI for the transaction,

Loan for which an insured depository

as discussed above, or report a non-

institution or insured credit union has

universal loan identifier for the transaction,

assigned a non-universal loan identifier, the

as discussed below.

purchasing Financial Institution does not

A non-universal loan identifier:

Instead, the purchasing Financial Institution

report that non-universal loan identifier.
assigns its own ULI.

1. Is assigned by a Financial Institution
to a Covered Loan or Application that is covered by a partial exemption.
2. Is composed of up to 22 characters (i.e., letters, numerals, or a combination of letters and
numerals). A non-universal loan identifier may, but is not required to, include a check
digit. However, the non-universal loan identifier cannot be more than 22 characters,
including any check digit.
3. Cannot include information that could be used to identify the applicant or borrower
directly, such as the applicant’s or borrower’s name, date of birth, Social Security
number, official government-issued driver’s license or identification number, alien
registration number, government passport number, or employer or taxpayer
identification number.
4. Must be unique within the annual loan/application register in which the Covered Loan or
Application is included.
To ensure that a non-universal loan identifier is unique within a Financial Institution, the
Financial Institution must:

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

1. Ensure that its branches do not use the same non-universal loan identifier to refer to
multiple Covered Loans or Applications.
2. Assign only one non-universal loan identifier to any particular Covered Loan or
Application. Each non-universal loan identifier must correspond to a single Application
and ensuing Covered Loan, if any.
3. Assign a new non-universal loan identifier to a Refinancing or Application for
Refinancing (i.e., not use the non-universal loan identifier or ULI from the loan that is
being refinanced). 12 CFR 1003.3(d)(5); comments 3(d)(5)-1, -2.

5.3

Application date

Except for a purchased Covered Loan, a Financial Institution reports the Application date,
which is reported as either the date that the Application was received or the date on the
Application form. 12 CFR 1003.4(a)(1)(ii). Although a Financial Institution need not choose the
same approach for reporting Application date for its entire HMDA submission, it should be
generally consistent, such as by routinely using one approach within a particular division of the
Financial Institution or for a category of loans. Comment 4(a)(1)(ii)-1.
If a Financial Institution chooses to report the date shown on the Application form and the
Financial Institution retains multiple versions of the form, the Financial Institution reports the
date shown on the first form it received that constitutes an Application under the HMDA Rule.
Comment 4(a)(1)(ii)-1.
For an Application that was not submitted directly to the Financial Institution, the Financial
Institution may report the date the Application was received by the party that initially received
the Application, the date the Application was received by the Financial Institution, or the date
shown on the Application form. Comment 4(a)(1)(ii)-2.
If, within the same calendar year, an applicant asks a Financial Institution to reinstate a
counteroffer that the applicant previously did not accept (or asks the Financial Institution to
reconsider an Application that was denied, withdrawn, or closed for incompleteness), the
reportable Application date depends on whether the Financial Institution reports the request as
the continuation of the earlier transaction using the earlier transaction’s ULI or non-universal
loan identifier (as applicable) or as a new transaction with a new ULI or non-universal loan
61

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

identifier (as applicable). If the Financial Institution treats the request for reinstatement or
reconsideration as a new transaction, it reports the date of the request as the Application date.
If the Financial Institution does not treat the request for reinstatement or reconsideration as a
new transaction, it reports the original Application date. Comment 4(a)(1)(ii)-3.
For a purchased Covered Loan, a Financial Institution reports that this data point is not
applicable. 12 CFR 1003.4(a)(1)(ii).

5.4

Application channel

A Financial Institution reports the application channel in the manner described below unless a
partial exemption applies. If a partial exemption applies, see Section 4.3.3.
Except for purchased Covered Loans, a Financial Institution reports both of the following:
1. Whether or not the applicant or borrower submitted the Application directly to
the Financial Institution. 12 CFR 1003.4(a)(33)(i). For example, the Application was
submitted directly to the Financial Institution if the mortgage loan originator identified in
the data point required by 12 CFR 1003.4(a)(34) and discussed in Section 5.30 was the
reporting Financial Institution’s employee when the originator performed the origination
activities for the Covered Loan or Application. The Application was also submitted directly
to the Financial Institution if the Financial Institution directed the applicant to a third-party
agent (e.g., a credit union service organization) that performed loan origination activities on
behalf of the reporting Financial Institution and the third-party agent did not assist the
applicant with applying for Covered Loans with other institutions. Comment 4(a)(33)(i)-1.
If an applicant contacted and completed an Application with a broker or correspondent that
forwarded the Application to the Financial Institution for approval, the Application was not
submitted directly to the Financial Institution. Comment 4(a)(33)(i)-1.iii.
2. Whether or not the obligation arising from the Covered Loan or Application
was or would have been initially payable to the Financial Institution.
12 CFR 1003.4(a)(33)(ii). An obligation was initially payable to the Financial Institution if
the obligation was initially payable on the face of the note or contract to the Financial
Institution that is reporting the Covered Loan or Application. Comment 4(a)(33)(ii)-1. For
an Application that is withdrawn, denied, or closed for incompleteness, a Financial
Institution reports that the requirement is not applicable if the Financial Institution had not
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HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

determined, at the time it took final action on the Application, whether the loan would be
initially payable to the Financial Institution. Comment 4(a)(33)(ii)-2.
For purchased Covered Loans, a Financial Institution reports that this data point is not
applicable. 12 CFR 1003.4(a)(33).

5.5

Preapproval request

A Financial Institution reports whether or not the Application or Covered Loan involved a
preapproval request for a Home Purchase Loan under a Preapproval Program.
12 CFR 1003.4(a)(4). For all of the following, a Financial Institution reports that the
Application or Covered Loan did not involve a preapproval request: a purchased Covered Loan;
an Open-End Line of Credit or Application for an Open-End Line of Credit; a Reverse Mortgage
or an Application for a Reverse Mortgage; an Application for a Covered Loan that is denied; an
Application that is closed for incompleteness or withdrawn; an Application or Covered Loan for
any purpose other than Home Purchase Loan; and for a Covered Loan secured by a Multifamily
Dwelling. Comment 4(a)(4)-2.

5.6

Loan type

A Financial Institution reports whether the Covered Loan is or the Application was for a Covered
Loan that would have been:
1. Insured by the Federal Housing Administration;
2. Guaranteed by the Department of Veterans Affairs;
3. Guaranteed by the Rural Housing Service or the Farm Service Agency; or
4. Not insured or guaranteed by any of these Federal agencies (i.e., conventional).
12 CFR 1003.4(a)(2).

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

5.7

Loan purpose

A Financial Institution records and reports the Covered Loan’s or Application’s purpose, under
12 CFR 1003.4(a)(3), using one of the following:
1. Home Purchase Loan. A Home Purchase Loan is a Closed-End Mortgage Loan or OpenEnd Line of Credit that is for the purpose,
in whole or part, of purchasing a Dwelling.
Home Purchase Loans do not include loans
12 CFR 1003.2(j). A Home Purchase Loan
that are excluded transactions under the
includes: (a) a Closed-End Mortgage
HMDA Rule, such as loans that are
Loan or Open-End Line of Credit secured
temporary financing under 12 CFR
by one Dwelling and used to purchase
1003.3(c)(3). See Section 4.1.2 for more
another Dwelling; (b) a combined
information on excluded transactions.
construction-to-permanent loan that is
secured by a Dwelling; (c) a separate
permanent loan that replaces a construction-only loan or line of credit to the same borrower
if the permanent loan is secured by a Dwelling; and (d) a Dwelling-secured subordinate
mortgage loan that finances some or all of the home purchaser’s down payment. Comments
2(j)-1, -3, and -4.
An assumption is a Home Purchase Loan when: (a) the assumption is a Closed-End
Mortgage or Open-End Line of Credit; (b) the Financial Institution enters into a written
agreement accepting a new borrower as the obligor on an existing obligation; and (c) the
purpose is to finance the new borrower’s purchase of the Dwelling securing the existing
obligation. An assumption is not a Home Purchase Loan if the new borrower assumes the
existing borrower’s obligation after acquiring title to the Dwelling securing the existing
obligation because the purpose is not to finance the new borrower’s purchase of the
Dwelling. The assumption would be reported using a loan purpose other than Home
Purchase Loan. Comment 2(j)-5.
Example: Borrower A obtains title to Owner A’s Dwelling after assuming Owner A’s
existing debt obligation. Borrower A’s transaction is a Home Purchase Loan. In contrast,
Borrower B obtains title to Owner B’s Dwelling in Year 1 and in Year 2 assumes Owner B’s
existing debt obligation. Borrower B’s transaction is not a Home Purchase Loan.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

2. Home Improvement Loan. A Home Improvement Loan is a Closed-End Mortgage Loan
or Open-End Line of Credit that is for the purpose, in whole or part, of repairing,
rehabilitating, remodeling, or improving a Dwelling or the real property on which the
Dwelling is located. 12 CFR 1003.2(i). For example, a Home Improvement Loan includes:
(a) a Covered Loan if any of the proceeds are used for repair, rehabilitation, remodeling, or
improvement of the Dwelling or the real property on which the Dwelling securing the
Covered Loan is located, even if the remainder is used for totally unrelated purposes, such as
college tuition; (b) a Covered Loan used to install a swimming pool, construct a garage, or
improve landscaping on the real property on which the Dwelling securing the Covered Loan
is located; and (c) a Covered Loan used to improve a Multifamily Dwelling used for
residential and commercial purposes if the proceeds are used either to improve the entire
property (e.g., to replace a heating system that services the entire structure) or primarily to
improve the residential portion of the Multifamily Dwelling. Comments 2(i)-1, -2, and -4.
3. Refinancing. A Refinancing is a Closed-End Mortgage Loan or Open-End Line of Credit in
which a new Dwelling-secured debt obligation satisfies and replaces an existing Dwellingsecured debt obligation by the same borrower. 12 CFR 1003.2(p). Generally, whether the
new debt obligation satisfies and replaces an existing obligation is determined by reference
to the parties’ contract and applicable law. In order for a Covered Loan to be a Refinancing,
both the new and existing transactions must be secured by a Dwelling. Only one borrower
need be the same on the new and existing transactions. Comments 2(p)-1, -3, and -4.
4. Cash-out Refinancing. A Financial Institution reports a Covered Loan or an Application
as a cash-out Refinancing if it is a Refinancing and the Financial Institution considered it to
be a cash-out Refinancing when processing the Application or setting the terms under its or
an investor’s guidelines. For example, if a Financial Institution considers a loan product to
be a cash-out Refinancing under an investor’s guidelines because of the amount of cash
received by the borrower at closing or account opening, it reports the transaction as a cashout Refinancing. If a Financial Institution does not distinguish between a cash-out
Refinancing and a Refinancing under its own guidelines, sets the terms of all Refinancings
without regard to the amount of cash received by the borrower at loan closing or account
opening, and does not offer loan products under investor guidelines, it reports all
Refinancings as Refinancings, not cash-out Refinancings. Comment 4(a)(3)-2.
5. Other. If a Covered Loan is not, or an Application is not for, a Home Purchase Loan, a
Home Improvement Loan, a Refinancing, or a cash-out Refinancing, a Financial Institution
reports the purpose as “other.” For example, if a Covered Loan is for the purpose of paying
educational expenses, the Financial Institution reports the purpose as “other.” A Financial
Institution also uses “other” if the Covered Loan is or the Application is for a Refinancing
65

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

but, under the terms of the existing credit agreement, the Financial Institution was
unconditionally obligated to refinance the obligation subject to conditions within the
borrower’s control. Comment 4(a)(3)-4.
The following chart illustrates the reportable purpose for multiple-purpose Covered Loans
originated on or after January 1, 2018. For purchased Covered Loans originated prior to
January 1, 2018, a Financial Institution reports “Not Applicable.” See also comments 4(a)(3)-3
and -6.
Multiple Purposes

Reportable Purpose

Home Purchase Loan and Home Improvement
Loan

Home Purchase Loan

Home Purchase Loan and Refinancing

Home Purchase Loan

Home Purchase Loan and cash-out Refinancing

Home Purchase Loan

Home Purchase Loan and other

Home Purchase Loan

Home Improvement Loan and Refinancing

Ref inancing

Home Improvement Loan and cash-out
Ref inancing

Cash-out Ref inancing

Ref inancing and other

Ref inancing

Cash-out Ref inancing and other

Cash-out Ref inancing

Home Improvement Loan and other

Home Improvement Loan

A Financial Institution may rely on an applicant’s oral or written statement regarding the
proposed use of the loan proceeds. For example, a Financial Institution could use a check box or
a purpose line on an Application form. If an applicant provides no statement as to the proposed
use of the proceeds, and the Covered Loan is not a Home Purchase Loan, cash-out Refinancing,
or Refinancing, a Financial Institution reports the Covered Loan as for an “other” purpose.
Comment 4(a)(3)-1.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

5.8

Loan amount

A Financial Institution must report the loan amount for the Covered Loan or Application.
12 CFR 1003.4(a)(7). The first chart below provides information on determining the loan
amount that is reported for Covered Loans. The second chart below provides information on
determining the reportable loan amount for transactions that involve multiple purposes,
counteroffers, and Applications that do not result in the Financial Institution originating a
Covered Loan.
If the Covered Loan is a:

The reportable loan amount is the:

Closed-End Mortgage Loan other than a
purchased Closed-End Mortgage Loan,
assumption, or a Reverse Mortgage

Amount to be repaid as disclosed on the legal
obligation. 12 CFR 1003.4(a)(7)(i); comment
4(a)(7)-5.
Unpaid principal balance at the time of purchase
or assumption. 12 CFR 1003.4(a)(7)(i);
comment 4(a)(7)-5.

Purchased Closed-End Mortgage Loan or
assumption of a Closed-End Mortgage Loan
Open-End Line of Credit (including a purchased
Open-End Line of Credit and assumption of an
Open-End Line of Credit) other than a Reverse
Mortgage

Reverse Mortgage

Ref inancing

Amount of credit available to borrower under the
terms of plan. 12 CFR 1003.4(a)(7)(ii);
comment 4(a)(7)-6.
Initial principal limit (as determined pursuant to
section 255 of the National Housing Act and
implementing regulations and mortgagee letters
issued by HUD). 12 CFR 1003.4(a)(7)(iii);
comment 4(a)(7)-9.
Loan amount for new debt obligation based on
the type of Covered Loan (see above).
Comment 4(a)(7)-7.

If the transaction involves:

Report the:

A counteroffer that is accepted for an amount
that is different from the amount for which the
applicant applied

Loan amount granted for the Covered Loan.
Comment 4(a)(7)-1.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

A counteroffer for an amount different from the
amount f or which the applicant applied, and the
applicant did not accept or failed to respond

Amount for which applicant initially applied.
Comment 4(a)(7)-1.

An approved but not accepted Application
(including an approved but not accepted
preapproval request)

Approved loan amount. Comment 4(a)(7)-2.

Application (including a preapproval request)
that was denied, closed for incompleteness, or
withdrawn

Amount requested. Comment 4(a)(7)-3.

Loan proceeds that will be used for more than
one purpose

Entire loan amount for the Covered Loan, even if
only a portion of the proceeds is intended for the
reported purpose. Comment 4(a)(7)-4.

5.9

Loan term

A Financial Institution reports the loan term in the manner described below unless a partial
exemption applies. If a partial exemption applies, see Section 4.3.3.
A Financial Institution reports the loan term as the scheduled number of months after which the
legal obligation will mature or terminate or would have matured or terminated.
12 CFR 1003.4(a)(25). If a Covered Loan or Application includes a schedule with repayment
periods measured in a unit of time other than months, the Financial Institution reports the loan
term in months using an equivalent number of whole months without regard for any remainder.
Comment 4(a)(25)-2.
For a fully amortizing Covered Loan, the number of months after which the legal obligation
matures is the number of months in the amortization schedule, ending with the final payment.
Covered Loans that do not fully amortize during the maturity term, such as Covered Loans with
a balloon payment, are reported using the maturity term rather than the amortization term.
Comment 4(a)(25)-1.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

For a purchased Covered Loan, a Financial Institution reports the number of months after
which the legal obligation matures as measured from the Covered Loan’s origination. Comment
4(a)(25)-3.
For an Open-End Line of Credit with a definite term, a Financial Institution reports the number
of months from account opening until the account termination date, including both the draw
and repayment period (if any). Comment 4(a)(25)-4.
For a Covered Loan or Application without a definite term, such as a Reverse Mortgage, a
Financial Institution reports that the data point is not applicable. Comment 4(a)(25)-5.

5.10 Action taken and date
A Financial Institution reports its action taken and the date of its action. 12 CFR 1003.4(a)(8).
The action taken is reported as one of the following: (1) loan originated; (2) application
approved but not accepted; (3) application denied; (4) application withdrawn; (5) file closed for
incompleteness; (6) loan purchased; (7) preapproval request denied; or (8) preapproval request
approved but not accepted. 12 CFR 1003.4(a)(8)(i); comments 4(a)(8)(i)-1 through -14.
The Action Taken chart in Attachment B provides additional information on how to determine
the reportable action taken and date of action taken. See also 12 CFR 1003.4(a)(8)(ii) and its
commentary for information on reporting the date of the action taken.

5.11 Reasons for denial
A Financial Institution reports the reasons for denial in the manner described below unless a
partial exemption applies. If a partial exemption applies, see Section 4.3.3. 16

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

For an Application that it denied, a Financial Institution must report the principal reasons (up
to four) that it denied the Application. 12 CFR 1003.4(a)(16); comment 4(a)(16)-1. For all other
transactions, a Financial Institution reports that the data point is not applicable. Comment
4(a)(16)-4.
If a Financial Institution provided the reason or reasons it denied the Application using the
model form contained in appendix C to Regulation B (Form C–1, Sample Notice of Action Taken
and Statement of Reasons) or a similar form, the Financial Institution reports the reason or
reasons specified on that form, including reporting the “Other” reason or reasons that were
specified on the form, if applicable. If a Financial Institution provided a disclosure of the
applicant’s right to a statement of specific reasons using the model form contained in appendix
C to Regulation B (Form C–5, Sample Disclosure of Right to Request Specific Reasons for Credit
Denial) or a similar form, or provided the denial reasons orally under Regulation B, the
Financial Institution reports the principal reasons it denied the Application.
Comment 4(a)(16)-3.
The Financial Institution reports only the principal reason or reasons it denied the Application,
even if there are fewer than four reasons. For example, if a Financial Institution denied the
Application because of the applicant’s credit history and debt-to-income ratio, the Financial
Institution only reports these two principal reasons. The reason or reasons reported must be
specific and accurately describe the principal reason or reasons the Financial Institution denied
the Application. Comment 4(a)(16)-1.
If a Financial Institution denied a preapproval request under a Preapproval Program, the
Financial Institution must report the principal reason or reasons (up to four) that it denied the
preapproval request. Comment 4(a)(16)-2.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

5.12 Property address and property location
Unless a partial exemption applies, a Financial Institution reports the property address of the
property securing the Covered Loan or, for
an Application, proposed to secure the
Covered Loan. 12 CFR 1003.4(a)(9)(i). For
Applications that did not result in an
origination, the property address
corresponds to the location of the property
proposed to secure the loan as identified by

Property address is one of the 26 data points
that a Financial Institution is not required to
report if a partial exemption applies to a
transaction. However, the property location
data points (i.e., state, county, and census
tract) are among the 22 data points that are
not affected by the HMDA Rule.

the applicant. For Covered Loans, the
property address corresponds to the
property identified in the legal obligation. Comment 4(a)(9)(i)-1. If a partial exemption applies
to a Covered Loan or Application, see Section 4.3.3 for information on reporting the property
address.
Additionally, regardless of whether a partial
exemption applies, a Financial Institution

For transactions for which state, county, or

reports the property location (i.e., the state,

census tract is not required, a Financial

county, and census tract) for the property

Institution may report that the data point is

securing the Covered Loan or, for an

not applicable, or it may voluntarily report

Application, proposed to secure the Covered

the state, county, or census tract information.

Loan if: (1) the property is located in an MSA

Comment 4(a)(9)(ii)-1.

or metropolitan division (MD) 17 in which the
Financial Institution has a home or Branch Office; or (2) if the Financial Institution is a bank or
savings association required to report data on small business, small farm, and community
development lending under the CRA.

Metropolitan divisions (MDs) are metropolitan divisions of MSAs as defined by the OMB. 12 CFR 1003.2(m)(2).
For more information on MDs and MSAs, see https://www.ffiec.gov/census/default.aspx and
https://www.ffiec.gov/geocode/help1.aspx.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Incorrect entries reporting the census tract
are not violations of HMDA or Regulation C

If a Financial Institution is required to
report property location, it must include the
census tract only if the property is located
in a county with a population of more than
30,000 according to the most recent
decennial census. 12 CFR 1003.4(a)(9)(ii).

if the Financial Institution obtained the
census tract number from the geocoding tool
made available through the Bureau’s website,
provided the Financial Institution entered an
accurate property address into the tool and
the tool returned a census tract number. For
more information, see Section 7.

See also 12 CFR 1003.4(e).
If a Covered Loan is related to more than one property, but only one property secures or, for an
Application, would have secured the Covered Loan, a Financial Institution reports the property
address and property location, as applicable, of the property that secures or would have secured
the Covered Loan. A Financial Institution does not report the property address or property
location for any properties that do not secure or would not have secured the Covered Loan.
Comment 4(a)(9)-1.
If more than one property secures the Covered Loan or, in the case of an Application, would
have secured the Covered Loan, a Financial Institution reports the Covered Loan or Application
in a single entry on its LAR and provides the property address and property location, as
applicable, for only one property. The Financial Institution can choose the property for which it
reports this information, but it must choose a property that secures the Covered Loan (or, in the
case of an Application, would have secured the Covered Loan) and that includes a Dwelling. If a
single Multifamily Dwelling has more than one postal address, a Financial Institution reports
one of the postal addresses. Comments 4(a)(9)-2 and -3.
If other data points require the Financial Institution to report specific information about
property securing or involved with a Covered Loan or Application, the Financial Institution
reports the information that relates to the property for which it has provided the address and
location for these data points. Comment 4(a)(9)-2. For purposes of this guide, the property for
which the Financial Institution has provided the address and location for these data points is
called the Identified Property.
If the site for a Manufactured Home has not been identified, a Financial Institution may report
that the data points for the property address and property location are not applicable. Comment
4(a)(9)-5. If the property address of the property securing the Covered Loan is unknown, a
Financial Institution may report that the data point for the property address is not applicable.
For example, the Financial Institution may report that the data point is not applicable if the
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HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

property did not have an address at closing or if the applicant did not provide the property
address before the Application was denied, withdrawn, or closed for incompleteness. Comment
4(a)(9)(i)-3.
Similarly, when reporting an Application, a Financial Institution may report that the data points
for property location (i.e., state, county, and census tracts) are not applicable if the information
was not known before the Application was denied, withdrawn, or closed for incompleteness.
Comments 4(a)(9)(ii)(A)-1, (B)-2, and (C)-2.

5.13 Construction method
A Financial Institution reports the construction method for the Identified Property, using one of
the following:
1. Site-built; or
2. Manufactured Home. 12 CFR 1003.4(a)(5).
A residential structure that satisfies the definition of “manufactured home” under HUD’s
regulations, 24 CFR 3280.2, is reported as a Manufactured Home. 12 CFR 1003.2(l). A
Manufactured Home will generally bear a HUD Certification Label and data plate noting
compliance with the Federal standards. Comment 2(l)-2.
Modular homes and factory-built homes that do not meet the definition of “manufactured
home” in HUD’s regulations are not Manufactured Homes under the HMDA Rule and are
reported as site-built, regardless of whether they are on-frame or off-frame modular homes.
Modular homes comply with local or other recognized buildings codes rather than standards
established by the National Manufactured Housing Construction and Safety Standards Act, 42
U.S.C. 5401 et seq. Modular homes are not required to have HUD Certification Labels under 24
CFR 3280.11 or data plates under 24 CFR 3280.5, but may have a certification from a State
licensing agency that documents compliance with State or other applicable building codes.
Dwellings built using prefabricated components assembled at the Dwelling’s permanent site
should also be reported as site-built. Comment 4(a)(5)-1.
For a Multifamily Dwelling, the Financial Institution should report the construction method as
site-built unless the Multifamily Dwelling is a Manufactured Home community, in which case
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HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

the Financial Institution should report the construction method as Manufactured Home.
Comment 4(a)(5)-2.

5.14 Occupancy type
A Financial Institution reports the occupancy type for the Identified Property, using one of the
following:
1. Principal residence. An applicant or borrower can have only one principal residence at a
time. However, if an applicant or borrower buys or builds a new Dwelling that will become
the applicant’s or borrower’s principal residence within a year or upon the completion of
construction, the new Dwelling is considered the principal residence for this data point.
Comment 4(a)(6)-2. For purchased Covered Loans, a Financial Institution may report the
occupancy type as “principal residence” unless the loan documents or Application indicate
that the property will not be occupied as a principal residence. Comment 4(a)(6)-5.
2. Second residence. A property is a second residence if the property is or will be occupied
by the applicant or borrower for a portion of the year and is not the applicant’s or borrower’s
principal residence. For example, if a person purchases a property, occupies the property for
a portion of the year, and rents the property for the remainder of the year, the property is a
second residence. Similarly, if a person occupies a property near his or her place of
employment on weekdays, but the person returns to his or her principal residence on
weekends, the property near the person’s place of employment is a second residence.
Comment 4(a)(6)-3.
3. Investment property. A property is an investment property if the applicant or borrower
does not occupy the property. For example, if a person purchases a property, does not
occupy the property, and generates income by renting the property, the property is an
investment property. Similarly, if a person purchases a property, does not occupy the
property, and does not generate income by renting the property, but intends to generate
income by selling the property, the property is an investment property. Comment 4(a)(6)-4.
If a corporation purchases a property that is a Dwelling and uses it for the long-term
residence of its employees, the property is an investment property, even if the corporation
considers the property as owned for business purposes rather than investment purposes,
does not generate income by renting the property, and does not intend to generate income
by selling the property. If the property is for transitory use by employees, the property
would not be considered a Dwelling. Comment 4(a)(6)-4.
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5.15 Lien status
A Financial Institution reports the lien status of the lien on the Identified Property as either a
first lien or a subordinate lien. 12 CFR 1003.4(a)(14).
The HMDA Rule requires a Financial Institution to report the lien status for Covered Loans it
purchased. For purchased Covered Loans, lien status is determined by reference to the best
information readily available to the Financial Institution at the time of purchase.
For Applications and originations of Covered Loans, lien status is determined by reference to the
best information readily available to the Financial Institution at the time final action is taken
and to the Financial Institution’s own procedures. When reporting lien status, Financial
Institutions may rely on title searches they routinely obtain, but the HMDA Rule does not
require Financial Institutions to obtain title searches solely to comply with Regulation C.
Financial Institutions may rely on other information that is readily available to them at the time
final action is taken and that they reasonably believe is accurate, such as the applicant’s
statement on the Application form or the applicant’s credit report. Comment 4(a)(14)-1.

Examples: An applicant applies for a Covered Loan from Ficus Bank and indicates on the
Application form that there is a mortgage on the Dwelling that will secure the applicant’s
Covered Loan. Ficus Bank obtains the applicant’s credit report, and it shows that the
applicant has a mortgage loan. The existing mortgage will not be paid off as part of the
transaction. Ficus Bank may assume that the transaction involves a subordinate lien for
purposes of HMDA reporting.
An applicant applies for a loan from Ficus Bank to refinance the applicant’s existing home
mortgage loan. The existing loan is and the new loan will be secured by the applicant’s
principal residence. The applicant also has an Open-End Line of Credit for $20,000
secured by the principal residence. Ficus Bank’s practice in such a case is to ensure that it
will have first-lien position through a subordination agreement with the holder of the lien
securing the Open-End Line of Credit. Ficus Bank may assume that the transaction
involves a first lien for purposes of HMDA reporting.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

5.16 Manufactured home information
A Financial Institution reports manufactured home information in the manner described below
unless a partial exemption applies. If a partial exemption applies, see Section 4.3.3.
If a Dwelling on the Identified Property is a Manufactured Home and not a Multifamily Dwelling
(i.e., it has four or fewer individual dwelling units), the Financial Institution must report both:
1. Secured Property Type. Whether the Covered Loan is or the Application would have
been secured by: (a) both a Manufactured Home and land; or (b) a Manufactured Home and
not land. 12 CFR 1003.4(a)(29). A Financial Institution reports that a Covered Loan is or
would have been secured only by a Manufactured Home and not land if the Covered Loan is
not secured by the land, even if the Manufactured Home is considered real property under
applicable State law. Comment 4(a)(29)-1.
2. Land Property Interest. Information about the applicant’s or borrower’s property
interest in the land on which the Manufactured Home is or would have been located,
reported as one of the following:
a. Direct ownership. An applicant or borrower has a direct ownership interest in the land
on which the Dwelling is or is to be located when it has more than a possessory real
property ownership interest in the land, such as fee simple ownership. Comment
4(a)(30)-5.
b. Indirect ownership. Indirect land ownership can occur when the applicant or borrower
is or will be a member of a resident-owned community structured as a housing
cooperative in which the occupants own an entity that holds the land underlying the
Manufactured Home community. In such communities, the applicant or borrower may
still have a lease and pay rent for the lot on which his or her Manufactured Home is or
will be located, but the property interest type for such an arrangement should be
reported as indirect ownership if the applicant is or will be a member of the cooperative
that owns the Manufactured Home community’s underlying land. If an applicant resides
or will reside in such a community but is not a member, the property interest type should
be reported as a paid leasehold. Comment 4(a)(30)-1.
c. Paid Leasehold. For example, a paid leasehold occurs when a borrower locates the
Manufactured Home on a lot in which the borrower does not have an ownership interest,

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

the borrower has a written lease for the lot, and the lease specifies rent payments.
Comment 4(a)(30)-2.
d. Unpaid Leasehold. For example, an unpaid leasehold occurs when the borrower locates
the Manufactured Home on land owned by a family member, does not have a written
lease, and does not have an agreement regarding rent payments. Comment 4(a)(30)-2.
If the Dwelling securing the Covered Loan (or that would have secured the resulting Covered
Loan in the case of an Application) is not a Manufactured Home, the Financial Institution
reports that these data points are not applicable. Comments 4(a)(29)-4 and 4(a)(30)-6.
A Manufactured Home community that is a Multifamily Dwelling is not considered a
Manufactured Home for purposes of reporting these data points. Comment 4(a)(29)-2 and
4(a)(30)-4.

5.17 Property value
A Financial Institution reports the property value in the manner described below unless a partial
exemption applies. If a partial exemption applies, see Section 4.3.3.
For a Covered Loan, a Financial Institution reports the value of the property securing the
Covered Loan. For an Application that did not result in a Covered Loan (other than an
Application that was withdrawn before a credit decision was made or that was closed for
incompleteness), a Financial Institution reports the value of the property proposed to secure the
Covered Loan. 12 CFR 1003.4(a)(28). A Financial Institution reports that the data point is not
applicable for an Application that was withdrawn before a credit decision was made or was
closed for incompleteness, even if the Financial Institution obtained a property value. Comment
4(a)(28)-3.
A Financial Institution reports the property value it relied on in making its credit decision.
12 CFR 1003.4(a)(28). If the Financial Institution relied on an appraisal or other valuation of a
property when calculating the loan-to-value ratio, it reports the value stated in the appraisal or
other valuation on which it relied. If the Financial Institution relied on the purchase price of a
property when calculating the loan-to-value ratio, it reports the purchase price as the property
value. Comment 4(a)(28)-1.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Example: Ficus Bank obtains an appraisal that values a parcel of property at $100,000,
an automated valuation model report that values the property at $110,000, and a broker
price opinion that values the property at $105,000. When approving the Application,
Ficus Bank relies on the appraisal. It reports the property value as $100,000.

The HMDA Rule does not require a Financial Institution to obtain a property valuation or to rely
on a property value in making a credit decision. A Financial Institution reports that this data
point is not applicable if it does not rely on property value when making the credit decision.
Comment 4(a)(28)-4.

5.18 Total units
For a Covered Loan, a Financial Institution reports the number of individual Dwelling units
related to the property securing the Covered Loan. For an Application, it reports the number of
individual Dwelling units related to the property proposed to secure the Covered Loan.
12 CFR 1003.4(a)(31).
For an Application or Covered Loan secured by a Manufactured Home community, the Financial
Institution should include the total number of Manufactured Home sites that secure the loan
and are available for occupancy, regardless of whether the sites are occupied or have
Manufactured Homes attached. For a loan secured by a single Manufactured Home that is or
will be located in a Manufactured Home community, the Financial Institution should report one
individual Dwelling unit. Comment 4(a)(31)-2.
For a Covered Loan secured by a condominium or cooperative complex, the Financial
Institution reports the total number of individual Dwelling units securing the Covered Loan or
proposed to secure the Covered Loan in the case of an Application. Comment 4(a)(31)-3.A
Financial Institution may include recreational vehicle pads, manager apartments, rental
apartments, site-built homes, or other rentable space that are ancillary to the operation of the
secured property if it considers such units under its underwriting guidelines or investor
guidelines, or if it tracks the number of such units for its own internal purposes. Comment
4(a)(31)-2.
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A Financial Institution may rely on the best information readily available to it at the time action
is taken and on the Financial Institution’s own procedures. Information readily available could
include, for example, information provided by an applicant that the Financial Institution
reasonably believes, information contained in a property valuation or inspection, or information
obtained from public records. Comment 4(a)(31)-4.

5.19 Multifamily affordable units
A Financial Institution reports information about multifamily affordable units in the manner
described below unless a partial exemption applies. If a partial exemption applies, see Section
4.3.3.
If the property securing a Covered Loan or proposed to secure an Application includes a
Multifamily Dwelling, the Financial Institution must provide the number of individual Dwelling
units that are income-restricted pursuant to Federal, State, or local affordable housing
programs. 18 12 CFR 1003.4(a)(32). For a Covered Loan that is not secured by a Multifamily
Dwelling and for an Application that would not have been secured by a Multifamily Dwelling,
the Financial Institution reports that this data point is not applicable. Comment 4(a)(32)-6.
Affordable housing income-restricted units are individual Dwelling units that have restrictions
based on the occupants’ income level pursuant to restrictive covenants encumbering the
property. The restrictive covenants may be evidenced by a use agreement, regulatory
agreement, land use restrictions, or a similar agreement. Rent control or rent stabilization laws,

18 Examples of Federal programs and funding sources that may result in reportable units include but are not limited

to: (1) affordable housing programs pursuant to Section 8 of the United States Housing Act of 1937; (2) public
housing; (3) the HOME Investment Partnerships program; (4) the Community Development Block Grant program;
(5) multifamily tax subsidy project funding through tax-exempt bonds or tax credits; (6) Federal Home Loan Bank
affordable housing program funding; (7) Rural Housing Service multifamily housing loans and grants; and (8)
project-based vouchers under 24 CFR part 983. Comment 4(a)(32)-2.
Examples of State and local sources that may result in reportable units include but are not limited to: (1) State or
local administration of Federal funds or programs; (2) State or local funding programs for affordable housing or
rental assistance, including programs operated by independent public authorities; (3) inclusionary zoning laws; and
(4) tax abatement or tax increment financing contingent on affordable housing requirements. Comment 4(a)(32)-3.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

the acceptance of Housing Choice Vouchers, and other similar forms of portable housing
assistance that are tied to an occupant and not an individual dwelling unit are not affordable
housing income-restricted Dwelling units for purposes of reporting. Comment 4(a)(32)-1.
A Financial Institution may rely on the best information readily available to it at the time final
action is taken and on the Financial Institution’s own procedures when reporting. Information
readily available could include, for example, information provided by an applicant that the
Financial Institution reasonably believes, information contained in a property valuation or
inspection, or information obtained from public records. Comment 4(a)(32)-5.

5.20 Debt-to-income ratio
A Financial Institution reports debt-to-income (DTI) ratio in the manner described below unless
a partial exemption applies. If a partial exemption applies, see Section 4.3.3.
Except for purchased Covered Loans, if the Financial Institution relied on the applicant’s or
borrower’s DTI ratio when making its credit decision, the Financial Institution reports the DTI
ratio on which it relied in making the credit decision. 12 CFR 1003.4(a)(23). The DTI ratio is
the ratio of the applicant’s or borrower’s total monthly debt to total monthly income.

Example: Ficus Bank calculates the applicant’s DTI ratio twice−once according to its
own requirements and once according to an investor’s requirements. Ficus Bank relies
on the DTI ratio calculated according to the investor’s requirements when it makes the
credit decision. Ficus Bank reports the DTI ratio calculated in accordance with the
investor’s requirements. Comment 4(a)(23)-1.

A Financial Institution relied on the applicant’s or borrower’s DTI ratio in making the credit
decision if the DTI ratio was a factor in the credit decision, even if it was not a dispositive factor.
For example, if the DTI ratio was one of multiple factors in a Financial Institution’s credit
decision, the Financial Institution relied on the DTI ratio, even if the Financial Institution
denied the Application because one or more underwriting requirements other than the DTI ratio
were not satisfied. Comment 4(a)(23)-2.
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The HMDA Rule does not require a Financial Institution to calculate a DTI ratio and does not
require a Financial Institution to rely on an applicant’s or borrower’s DTI ratio in making a
credit decision. Comment 4(a)(23)-4.
A Financial Institution reports that this data point is not applicable:
1. If it made a credit decision without relying on a DTI ratio;
2. If the Application file was closed for incompleteness (even if a DTI ratio was calculated);
3. For an Application that was withdrawn before a credit decision was made (even if a DTI
ratio was calculated);
4. If the applicant and co-applicant, if applicable, are not natural persons;
5. For a Covered Loan that is secured, or an Application that is proposed to be secured, by a
Multifamily Dwelling; or
6. For a purchased Covered Loan. Comments 4(a)(23)-3 through -7.

5.21 Combined loan-to-value
A Financial Institution reports combined loan-to-value (CLTV) in the manner described below
unless a partial exemption applies. If a partial exemption applies, see Section 4.3.3.
Except for a purchased Covered Loan, if the Financial Institution relied on a CLTV ratio when
making its credit decision, the Financial Institution reports the CLTV ratio on which it relied.
The CLTV ratio is the ratio of the total amount of debt secured by the property securing the
Covered Loan (or, for an Application, proposed to secure a Covered Loan) to the value of that
property. 12 CFR 1003.4(a)(24). A Financial Institution reports the CLTV ratio relied on in
making the credit decision, regardless of which property or properties it used in the CLTV ratio
calculation. The property used in the CLTV ratio does not need to be the Identified Property and
may include more than one property and non-real property. Comment 4(a)(24)-6.
Financial Institution relied on the CLTV ratio when making the credit decision if the CLTV ratio
was a factor in the credit decision, even if it was not a dispositive factor. For example, if the
CLTV ratio was one of multiple factors in a Financial Institution’s credit decision, the Financial
Institution relied on the CLTV ratio, even if the Financial Institution denied the Application
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because one or more underwriting requirements other than the CLTV ratio were not satisfied.
Comments 4(a)(24)-1 and -2.

Examples: Ficus Bank reviews an Application that will be secured by two parcels of real
property. It calculates the CLTV ratio using its own requirements. It also calculates the
CLTV ratio using an investor’s requirements. When making its credit decision, Ficus
Bank relies on the CLTV ratio calculated according to the investor’s requirements. Ficus
Bank reports the CLTV ratio calculated according to the investor’s requirements.
Ficus Bank originates a Covered Loan for the purchase of a Multifamily Dwelling. The
Covered Loan is secured by the Multifamily Dwelling and certain securities. Ficus Bank
uses both the value of the Multifamily Dwelling and the value of the securities when
calculating the CLTV ratio that it relies on when making the credit decision. Ficus Bank
reports the CLTV ratio it relies on when making the credit decision.

The HMDA Rule does not require a Financial Institution to calculate the CLTV ratio and does
not require a Financial Institution to rely on a CLTV ratio in making a credit decision. Comment
4(a)(24)-4.
A Financial Institution reports that this data point is not applicable:
1. If it did not rely on a CLTV when making the credit decision;
2. If the Application file was closed for incompleteness (even if a CLTV ratio was
calculated);
3. For an Application that was withdrawn before a credit decision was made (even if a CLTV
ratio was calculated); or
4. For a purchased Covered Loan. Comments 4(a)(23)-3 through -5.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

5.22 Credit score information
A Financial Institution reports credit score information in the manner described below unless a
partial exemption applies. If a partial exemption applies, see Section 4.3.3.
Except for purchased Covered Loans, a Financial Institution reports the credit score or scores it
relied on in making the credit decision and the name and version of the scoring model used to
generate each reported credit score. 12 CFR 1003.4(a)(15)(i).
The term “credit score” has the same meaning as set forth in the Fair Credit Reporting Act, 15
USC 1681g(f)(2)(A). 12 CFR 1003.4(a)(15)(ii). A “credit score” is a numerical value or a
categorization derived from a statistical tool or modeling system used by a person who makes or
arranges a loan to predict the likelihood of certain credit behaviors, including default. A “credit
score” does not include: (1) any mortgage score or rating of an automated underwriting system
that considers one or more factors in addition to credit information, including loan-to-value
ratio, the amount of down payment, or the consumer’s financial assets; or (2) any other
elements of the underwriting process or underwriting decision. 15 USC 1681g(f)(2)(A).
A Financial Institution relied on a credit score in making the credit decision if the credit score
was a factor in the credit decision, even if it was not a dispositive factor. For example, if a credit
score was one of multiple factors in a Financial Institution’s credit decision, the Financial
Institution relied on the credit score even if the Financial Institution denied the Application
because one or more underwriting requirements other than the credit score were not satisfied.
Comment 4(a)(15)-1.
When a Financial Institution obtained or created two or more credit scores for a single applicant
or borrower but relied on only one score in making the credit decision (e.g., by relying on the
lowest, highest, most recent, or average of all of the scores), the Financial Institution reports the
credit score it actually relied on and the information about the scoring model it used. When a
Financial Institution used more than one credit scoring model and combined the scores into a
composite score and then relied on the composite score, the Financial Institution reports the
composite score and reports that more than one scoring model was used. When a Financial
Institution obtained two or more credit scores for the applicant or borrower and relied on
multiple credit scores in making the credit decision (e.g., by relying on a scoring grid that
considers each of the scores obtained or created for the applicant or borrower without
combining the scores into a composite score), the Financial Institution reports one of the credit
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scores that it relied on in making the credit decision. In choosing which credit score to report, a
Financial Institution need not use the same approach for its entire HMDA data submission, but
it should be generally consistent (e.g., by routinely using one approach within a particular
division of the Financial Institution or for a category of Covered Loans). The Financial
Institution reports the name and version of the credit-scoring model for the score reported.
Comment 4(a)(15)-2.
If a transaction involved two or more applicants or borrowers for whom the Financial Institution
obtained or created a single credit score and if the Financial Institution relied on that single
credit score when making the credit decision, the Financial Institution reports that credit score
for the applicant and reports that the data point is not applicable for the co-applicant.
Alternatively, at its discretion, the Financial Institution may report that credit score for the first
co-applicant and report that the data point is not applicable for the applicant. If a transaction
involved more than one applicant and a Financial Institution relied on separate credit scores for
each applicant, it reports the credit score it relied on for the applicant and the credit score it
relied on for the first co-applicant. Comment 4(a)(15)-3.

Examples: Two individuals apply for a Covered Loan. Ficus Bank obtains two credit
scores for the applicant and two credit scores for the co-applicant. Ficus Bank relies on
the highest of the four credit scores it obtained. Ficus Bank reports the highest credit
score and information about the credit scoring model used. Ficus Bank may report the
score and information for the applicant and report “not applicable” for the co-applicant
or, at its discretion, Ficus Bank can report the score and information for the co-applicant
and report “not applicable” for the applicant.
Two individuals apply for a Covered Loan. Ficus Bank obtains three credit scores for the
applicant and three credit scores for the co-applicant. Ficus Bank relies on the middle
credit score for the applicant and the middle score for the co-applicant. Ficus Bank
reports the middle score and related scoring model information for the applicant and the
middle score and related scoring model information for the co-applicant.

A Financial Institution reports that the credit score data point is not applicable:
1. For purchased Covered Loans;
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2. If the Financial Institution did not rely on a credit score;
3. If the Application file was closed for incompleteness (even if a credit score was obtained
or created);
4. If an Application was withdrawn before a credit decision was made (even if a credit score
was obtained or created); or
5. If the applicant and co-applicant, if applicable, are not natural persons. Comments
4(a)(15)-4 through -7.

5.23 Automated underwriting system
information
A Financial Institution reports automated underwriting system (AUS) information in the
manner described below unless a partial exemption applies. If a partial exemption applies, see
Section 4.3.3.
Except for purchased Covered Loans, a Financial Institution reports the name of the Automated
Underwriting System (AUS), as defined below, that it used to evaluate the Application and the
AUS result generated by that AUS. 12 CFR 1003.4(a)(35)(i). A Financial Institution must report
this information only if the Financial Institution used an AUS to evaluate the Application.
Comment 4(a)(35)-4.
For purposes of the HMDA Rule, an Automated Underwriting System or AUS is an electronic
tool:
1. Developed by a securitizer, Federal government insurer, or Federal government
guarantor of Closed-End Mortgage Loans or Open-End Lines of Credit. For this purpose,
a person is a securitizer, Federal government insurer, or Federal government guarantor
of Closed-End Mortgage Loan or Open-End Lines of Credit if that person has ever
securitized, provided Federal government insurance for, or provided a Federal
government guarantee for a Closed-End Mortgage Loan or Open-End Line of Credit at
any point in time. The person does not need to be actively securitizing, insuring, or
guaranteeing Closed-End Mortgage Loans or Open-End Lines of Credit at the time that
the Financial Institution uses the AUS to evaluate an Application.
12 CFR 1003.4(a)(35)(ii); comment 4(a)(35)-2. If a Financial Institution knows or
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reasonably believes that the system it is using to evaluate an Application is an electronic
tool developed by a securitizer, Federal government insurer, or Federal government
guarantor of Closed-End Mortgages or Open-End Lines of Credit, then this prong of the
definition of AUS is satisfied, and
the Financial Institution must report
In order to know or reasonably believe that a
the name of the system and the
system is not developed by a securitizer,
result generated by that system if
Federal government insurer, or Federal
the second prong of the definition,
government guarantor of Closed-End
below, is satisfied. If a Financial
Mortgage Loans or Open-End Lines of
Institution does not know or
Credit, a Financial Institution must maintain
reasonably does not believe that the
procedures reasonably adapted to make such
system was developed by a
a determination. Reasonably adapted
securitizer, Federal government
procedures include attempting to determine
insurer, or Federal government
with reasonable frequency, such as annually,
guarantor of Closed-End Mortgages
whether the developer of the electronic tool is
or Open-End Lines of Credit, then
a securitizer, Federal government insurer, or
the Financial Institution reports that
Federal government guarantor of Closed-End
the data point is not applicable,
Mortgage Loans or Open-End Lines of
provided that the Financial
Credit. For example, in the course of
Institution maintains procedures
renewing an annual sales agreement the
reasonably adapted to determine
developer could represent to the Financial
whether the electronic tool it is
Institution that the developer is not such a
using meets the definition of an
securitizer, Federal government insurer, or
AUS. Comment 4(a)(35)-7.
Federal government guarantor of Closed-End
Mortgage Loans or Open-End Lines of

2. That provides a result regarding
Credit. Comment 4(a)(35)-7.
both (a) the applicant’s credit risk;
and (b) whether the Covered Loan is
eligible to be originated, purchased, insured, or guaranteed by the securitizer, Federal
government insurer, or Federal government guarantor that developed the electronic tool.
In order for a system to be an AUS, the system must provide a result regarding both the
credit risk of the applicant and the eligibility of the loan to be originated, purchased,
insured, or guaranteed by the securitizer, Federal government insurer, or Federal
government guarantor that developed the system being used to evaluate the Application.
For example, if a system is an electronic tool that provides a determination of the loan’s
eligibility to be purchased, but the system does not also provide an assessment of the
applicant’s creditworthiness—such as an evaluation of the applicant’s income, debt, and

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

credit history—the system is not an AUS. In that case, the Financial Institution reports
that the data point is not applicable. 12 CFR 1003.4(a)(35)(ii); comment 4(a)(35)-2.
If a Financial Institution has developed its own proprietary system that it uses to evaluate an
Application and the Financial Institution is also a securitizer, the system may be an AUS if it also
meets the other elements of the AUS definition. On the other hand, if a Financial Institution has
developed its own proprietary system that it uses to evaluate an Application but the Financial
Institution is not a securitizer, the system is not an AUS. Comment 4(a)(35)-2.
A Financial Institution that used an AUS to evaluate an Application must report the name of the
AUS it used to evaluate the Application and the result generated by that system regardless of
whether the Financial Institution intends to sell or hold the Covered Loan in its portfolio. For
example, if a Financial Institution used an AUS developed by a securitizer to evaluate an
Application but ultimately did not sell the Covered Loan and instead holds the Covered Loan in
its portfolio, the Financial Institution reports the name of the AUS that the Financial Institution
used to evaluate the Application and the result generated by that system. Comments 4(a)(35)-1.i
and ii.
If a Financial Institution used more than one AUS to evaluate an Application or if a Financial
Institution used one AUS to evaluate an Application but it generated multiple results, the
Financial Institution must determine which AUS or AUSs and which result or results to
report. To do so, the Financial Institution can use the following steps in the exact order they are
presented below.
1. The Financial Institution must determine whether an AUS that it used to evaluate the
Application matches the loan type it reported for the Application or Covered Loan. For more
information on reporting loan type, see Section 5.6.
2. If the Financial Institution used an AUS that matches loan type (such as Total Scorecard for
an FHA loan), it must determine whether it obtained only one result from that AUS. If the
Financial Institution obtained only one result from the AUS that matches loan type, the
Financial Institution reports the AUS that matches loan type and the result that it obtained
from that AUS.
3. If the Financial Institution did not use an AUS that matches loan type or if it obtained more
than one result from the AUS that matches loan type, the Financial Institution must
determine whether an AUS that it used to evaluate the Application matches the purchaser,
insurer, or guarantor (if any) for the Covered Loan.
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4. If the Financial Institution used an AUS that matches the purchaser, insurer, or guarantor
(such as Desktop Underwriter for a Covered Loan that Fannie Mae purchased), it must
determine whether it obtained only one result from that AUS. If the Financial Institution
obtained only one result from the AUS that matches the purchaser, insurer, or guarantor,
the Financial Institution reports the AUS that matches and the result that it obtained from
that AUS.
5. If the Financial Institution did not use an AUS that matches the purchaser, insurer, or
guarantor or it obtained multiple results from an AUS that matches the purchaser, insurer,
or guarantor or loan type, the Financial Institution reports the result it obtained closest in
time to the credit decision and the AUS that generated that result, unless the Financial
Institution obtained multiple results closest in time to the credit decision. For example, a
Financial Institution obtains multiple results closest in time to the credit decision if it
obtains two results at noon on the day immediately before it makes the credit decision and
does not obtain any results at a later time.
6. If the Financial Institution simultaneously obtains multiple results closest in time to the
credit decision, the Financial Institution reports each of the multiple AUS results that it
obtained and the AUSs that generated each of those results up to a total of five results and
five AUSs. The Financial Institution will never report more than five results or five AUSs. If
the Financial Institution used more than five AUSs or it obtained more than five results, the
Financial Institution chooses five AUSs and five results to report. Comment 4(a)(35)-3.
The HMDA Rule does not require a Financial Institution to use an AUS when evaluating an
Application. Comment 4(a)(35)-4. A Financial Institution reports that the AUS data point is
not applicable:
1. If it does not use an AUS to evaluate the Application;
2. When the applicant and co-applicant, if applicable, are not natural persons; or
3. For purchased Covered Loans. Comments 4(a)(35)-4 through -6.

5.24 Interest rate
A Financial Institution reports the interest rate in the manner described below unless a partial
exemption applies. If a partial exemption applies, see Section 4.3.3.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

A Financial Institution reports the interest rate applicable to a Covered Loan or to an
Application that is approved but not accepted. 12 CFR 1003.4(a)(21). For Applications that are
denied, withdrawn or closed for incompleteness, a Financial Institution reports that this data
point is not applicable. Comment 4(a)(21)-2.
The following table describes which rate a Financial Institution reports depending on the type of
transaction. For purposes of this table, the date a revised Loan Estimate or corrected Closing
Disclosure is provided to the applicant or borrower is the date disclosed as the “Date Issued” on
that revised or corrected disclosure.
For an:

Application approved but not accepted for fixedrate Covered Loan subject to Regulation Z’s
Loan Estimate and Closing Disclosure
requirements

Report:
Rate stated in Loan Estimate (if no Closing
Disclosure provided) or in Closing Disclosure (if
provided), assuming it accurately reflects the
rate when Financial Institution approved the
Application. If a revised Loan Estimate (but no
Closing Disclosure) was provided to the
applicant prior to the end of the reporting
period in which final action was taken or if a
corrected Closing Disclosure was provided to
the applicant prior to the end of the reporting
period in which final action was taken, the
Financial Institution reports the rate stated in the
revised or corrected disclosure, as applicable.
Otherwise, rate at the time Financial Institution
approved the Application. Comments 4(a)(21)-1
and -2.

Application approved but not accepted for a
f ixed-rate Covered Loan not subject to
Regulation Z’s Loan Estimate and Closing
Disclosure requirements

Rate applicable when Financial Institution
approved the Application. Comment 4(a)(21)-2.

Application approved but not accepted for a
variable-rate Covered Loan subject to
Regulation Z’s Loan Estimate and Closing
Disclosure requirements

Rate stated in Loan Estimate (if no Closing
Disclosure provided) or in Closing Disclosure (if
provided), assuming it accurately reflects the
rate when Financial Institution approved the
Application. If a revised Loan Estimate (but no
Closing Disclosure) was provided to the
applicant prior to the end of the reporting period
in which f inal action was taken or if a corrected
Closing Disclosure was provided to the applicant
prior to the end of the reporting period in which
f inal action was taken, the Financial Institution

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

For an:

Application approved but not accepted for a
variable-rate Covered Loan not subject to
Regulation Z’s Loan Estimate and Closing
Disclosure requirements

Application denied, withdrawn, or closed for
incompleteness

Not applicable. Comment 4(a)(21)-2.

Fixed-rate Covered Loan subject to Regulation
Z’s Loan Estimate and Closing Disclosure
requirements

Fixed-rate Covered Loan not subject to
Regulation Z’s Loan Estimate and Closing
Disclosure requirements

Interest rate applicable at loan closing or
account opening. Comment 4(a)(21)-1.

Variable-rate Covered Loan subject to
Regulation Z’s Loan Estimate and Closing
Disclosure requirements

Variable-rate Covered Loan not subject to
Regulation Z’s Loan Estimate and Closing
Disclosure requirements

Report:
reports the rate stated in the revised or
corrected disclosure, as applicable. Comments
4(a)(21)-1 and -2.
Otherwise, if rate was known when Financial
Institution approved the Application, the rate
applicable when Financial Institution approved
the Application. Comment 4(a)(21)-2.
Otherwise, if rate was unknown when Financial
Institution approved the Application, the fullyindexed rate based on the index applicable
when the Financial Institution approved the
Application. Comment 4(a)(21)-3.
If rate was known when Financial Institution
approved the Application, the rate applicable
when Financial Institution approved the
Application. Comment 4(a)(21)-2.
If rate was unknown when Financial Institution
approved the Application, the fully-indexed rate
based on the index applicable when the
Financial Institution approved the Application.
Comment 4(a)(21)-3.

Interest rate set f orth in Closing Disclosure. If a
corrected Closing Disclosure was provided to
the borrower prior to the end of the reporting
period in which final action was taken, the
Financial Institution reports the rate stated in the
corrected disclosure. Comment 4(a)(21)-1.
If rate was known when Financial Institution
closed loan or opened account, rate applicable
at loan closing or account opening. Comment
4(a)(21)-1.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

For an:

Report:
If rate was unknown when Financial Institution
closed loan or opened account, the fully-indexed
rate based on the index applicable to the
Covered Loan at loan closing or account
opening. Comment 4(a)(21)-3.

5.25 Introductory rate period
A Financial Institution reports the introductory rate period in the manner described below
unless a partial exemption applies. If a partial exemption applies, see Section 4.3.3.
For a Covered Loan, a Financial Institution reports the introductory rate period as the number
of months from loan closing or account opening until the first date the interest rate may change.
12 CFR 1003.4(a)(26). For example, if an Open-End Line of Credit contains an introductory or
“teaser” interest rate for two months after the date of account opening and the interest rate may
adjust after that two month period, the Financial Institution reports the number of months as
“2.” Comment 4(a)(26)-1. For a Covered Loan that includes an introductory interest rate period
measured in a unit of time other than months, the Financial Institution reports the introductory
period using an equivalent number of whole months without regard for any remainder. For
example, if an Open-End Line of Credit contains an introductory interest rate for 50 days after
the date of account opening, after which the interest rate may adjust, the Financial Institution
reports the number of months as “1”. A Financial Institution reports “1” for any introductory
interest rate period that is less than one whole month. Comment 4(a)(26)-5.
For an Application, a Financial Institution reports the number of months from loan closing or
account opening until the first date the interest rate could have changed under the proposed
terms. Comment 4(a)(26)-1. If the period until the first date the interest rate could have
changed under the proposed terms is measured in a unit of time other than months, the
Financial Institution reports the introductory period using an equivalent number of whole
months without regard for any remainder. A Financial Institution reports “1” if the introductory
interest rate period could have been less than one whole month under the proposed terms.
Comment 4(a)(26)-5.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

A Financial Institution reports the number of months based on when the first interest rate
adjustment may occur, even if an interest rate adjustment is not required to occur at that time
and even if the rates that will apply, or the periods for which they will apply, are not known at
loan closing or account opening. For example, if a Closed-End Mortgage Loan has a 30-year
term and is an adjustable-rate product with an introductory interest rate for the first 60 months,
after which the interest rate is permitted but not required to vary, the Financial Institution
reports the number of months as “60.” Comment 4(a)(26)-1.
A Financial Institution is not required to report introductory interest rate periods based on
preferred rates unless the terms of the legal obligation provide that the preferred rate will expire
at a certain defined date. Preferred rates include loan terms that provide that the initial
underlying rate is fixed but that it may increase or decrease upon the occurrence of some future
event, such as an employee leaving the employ of the Financial Institution, the borrower closing
an existing deposit account with the Financial Institution, or the borrower revoking an election
to make automated payments. Comment 4(a)(26)-2.
A Financial Institution reports that this data point is not applicable for a fixed-rate Covered
Loan or an Application for a fixed-rate Covered Loan. Comment 4(a)(26)-3.

5.26 Rate spread
A Financial Institution reports the rate spread in the manner described below unless a partial
exemption applies. If a partial exemption applies, see Section 4.3.3.
For Covered Loans that are subject to
Regulation Z and for Applications that are
approved but not accepted, and that are
subject to Regulation Z (other than
assumptions, purchased Covered Loans, and

Where an application or a preapproval
request is an Application under Regulation C,
but for which no disclosures are required
under Regulation Z, the Financial Institution
reports that the data is not applicable.

Reverse Mortgages), a Financial Institution
reports the difference between the Covered
Loan’s annual percentage rate (APR) and a comparable transaction’s average prime offer rate
(APOR) as of the date the Covered Loan’s interest rate was set. 12 CFR 1003.4(a)(12)(i).

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

If the Covered Loan is an assumption, Reverse Mortgage, a purchased Covered Loan, or is not
subject to Regulation Z, the Financial Institution reports that the data point is not applicable. If
an Application does not result in the Financial Institution originating a Covered Loan for a
reason other than that the Application was approved but not accepted by the applicant, the
Financial Institution reports that the data point is not applicable. Comment 4(a)(12)-7.
The APOR is an APR that is derived from average interest rates and other loan pricing terms
offered to borrowers by a set of creditors for mortgage loans that have low-risk pricing
characteristics. 12 CFR 1003.4(a)(12)(ii). The Bureau publishes tables of current and historical
APORs by transaction type on the FFIEC’s website at http://www.ffiec.gov/hmda and on the
Bureau’s website at http://www.consumerfinance.gov. The methodology used to arrive at these
APORs is also published on these websites. A Financial Institution may either use the APORs
published on these websites or determine APORs itself by employing the methodology published
on these websites. A Financial Institution that determines APORs itself, however, is responsible
for correctly determining them in accordance with the published methodology. Comments
4(a)(12)-1 and -2.
To determine the reportable rate spread, a Financial Institution can follow these steps:
1. Determine the Covered Loan’s or approved but not accepted Application’s APR
A Financial Institution may rely on the APR disclosed for the Covered Loan, if it is calculated
and disclosed pursuant to Regulation Z (12 CFR 1026.18 or 1026.38 for a Closed-End
Mortgage Loan or 12 CFR 1026.6 for an Open-End Line of Credit). If multiple APRs are
calculated and disclosed pursuant to 12 CFR 1026.6, a Financial Institution relies on the
APR in effect at the time of account opening. If an Open-End Line of Credit has a variablerate feature and a fixed-rate feature during the draw period, a Financial Institution relies on
the APR in effect at the time of account opening for the variable-rate feature. This rate for
the variable-rate feature would be a discounted initial rate if one is offered under the
variable-rate feature. Comment 4(a)(12)-3.
If the Financial Institution provides a corrected Truth in Lending disclosure, a corrected
Closing Disclosure, or a corrected open-end account opening disclosure under Regulation Z,
the Financial Institution relies on the APR disclosed on the corrected disclosure, provided
that the corrected disclosure was provided to the borrower prior to the end of the reporting
period in which final action is taken. For this purpose, the date the corrected disclosure is
provided is the date the disclosure is mailed or delivered to the borrower in person.
Comment 4(a)(12)-9.
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For an Application (including a preapproval request) that was approved but not accepted, a
Financial Institution might have only provided early Regulation Z disclosures, such as a
Loan Estimate for a Closed-End Mortgage Loan or disclosures at the time of application
under 12 CFR 1026.40 for an Open-End Line of Credit. In such cases where no subsequent
disclosures are provided, a Financial Institution may rely on the APR as calculated and
disclosed in the Loan Estimate or disclosures at the time of the application under 12 CFR
1026.40, as applicable. Comment 4(a)(12)-8.
2. Determine the APOR
a. Determine the Comparable Transaction
The rate spread is calculated using the APOR for a comparable transaction. Therefore, a
Financial Institution must determine what transaction is comparable to the Covered
Loan or approved but not accepted Application. To do so, the Financial Institution uses
the Covered Loan’s or Application’s amortization type (i.e., fixed-rate or variable-rate)
and loan term. For Open-End Lines of Credit, a Financial Institution must identify the
most closely comparable closed-end transaction. Comment 4(a)(12)-4.
For fixed-rate Covered Loans and Applications, the term for identifying the comparable
transaction is the transaction’s maturity (i.e., the period until the last payment will be
due under the Closed-End Mortgage Loan contract or Open-End Line of Credit
agreement). If an Open-End Line of Credit has a fixed rate but no definite plan length, a
Financial Institution can use a 30-year fixed-rate loan as the most closely comparable
closed-end transaction. Financial Institutions may refer to the “Average Prime Offer
Rates-Fixed” table on the FFIEC website when identifying a comparable fixed-rate
transaction. Comment 4(a)(12)-4.i.
For variable-rate Covered Loans and Applications, the term for identifying the
comparable transaction is the initial, fixed-rate period (i.e., the period until the first
scheduled rate adjustment). For example, five years is the relevant term for a variablerate transaction with a five-year, fixed-rate introductory period that is amortized over
thirty years. If an Open-End Line of Credit has a variable rate and an optional, fixed-rate
feature, a Financial Institution uses the rate table for variable-rate transactions.
Comment 4(a)(12)-4.ii.
When the term to maturity (or, for a variable-rate transaction, the initial fixed-rate
period) is not in whole years, the Financial Institution uses the number of whole years
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closest to the actual loan term (or the initial fixed-rate period). If the actual loan term
(or the initial fixed-rate period) is exactly halfway between two whole years, the
Financial Institution uses the shorter loan term. The Financial Institution rounds a term
shorter than six months to one year, including a term for a variable-rate Covered Loan
with no initial, fixed-rate period. Comment 4(a)(12)-4.iii.

Term to Maturity or Initial Fixed-Rate Period

Term for Comparable Transaction

10 years, 3 months

10 years

10 years, 9 months

11 years

10 years, 6 months

10 years

10 years, 6 months, 18 days

11 years

3 months

1 year

If the amortization period is longer than the transaction’s term to maturity (or for an
approved but not accepted Application would have been longer than the transaction’s
term to maturity), a Financial Institution must use the term to maturity to determine the
applicable APOR. Comment 4(a)(12)-4.iv.

b. Determine the Rate Set Date
The date used to determine the APOR for a comparable transaction is the date on which
the Financial Institution set the interest rate for the final time before final action is
taken. Comment 4(a)(12)-5.

If the:

The date used for APOR is the:

Rate was set pursuant to a lock agreement

Date that the agreement fixed the interest rate

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Lock agreement was extended, but the rate was
not re-set

Date the Financial Institution exercised its
discretion in setting the rate for final time before
f inal action is taken

Rate was re-set af ter the lock agreement was
executed, and there was no program change

Date that the Financial Institution exercised its
discretion in setting the rate for final time before
f inal action is taken

Rate was re-set af ter the lock agreement was
executed, and there was a program change

Date of the program change, unless the
Financial Institution changed the promised rate
to the rate that would have been available to the
borrower under the new program on the date of
the original rate-lock, and the Financial
Institution consistently follows that practice or
the original lock agreement required that the
new program’s rate as of the original rate-lock
would be available. In that case, the date of the
original rate-lock.

Applicant or borrower did not execute a lock
agreement

Date on which the Financial Institution set the
rate f or f inal time before final action is taken

Example: Borrower locks a rate of 2.5 percent on June 1 for a 30-year, variable-rate loan with a
5-year, fixed-rate introductory period. On June 15, the borrower decides to switch to a 30-year,
fixed-rate loan, and the rate available to the borrower for that product on June 15 is 4.0 percent.
On June 1, the 30-year, fixed-rate loan would have been available to the borrower at a rate of 3.5
percent. Ficus Bank offers the borrower the 3.5 percent rate (i.e., the rate that would have been
available to the borrower for the fixed-rate product on June 1, the date of the original rate-lock)
because the original agreement so provided or because Ficus Bank consistently follows that
practice for borrowers who change loan programs. Ficus Bank should use June 1 as the rate-set
date.
If a Financial Institution received an Application from a broker and is responsible for
reporting the approved but not accepted Application or resulting Covered Loan, (e.g.,
because the Financial Institution originated the loan), the rate-set date is the last date the
Financial Institution set the rate with the broker, not the date the broker set the
borrower’s rate. Comment 4(a)(12)-5.
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c. Determine the Most Recently Available APOR as of Rate Set Date
A Financial Institution must compare the APR determined in Step 1 to the most recently
available APOR that was in effect for the comparable transaction as of the rate-set date.
The most recently available rate means the APOR set forth in the applicable table with
the most recent effective date as of the date the interest rate was set. A Financial
Institution cannot use an APOR before its effective date. Comment 4(a)(12)-6.
3. Determine the Rate Spread
A Financial Institution compares the APOR determined in step 2c, above, to the APR
determined in step 1 above. Comment 4(a)(12)-6.

5.27 Non-amortizing features
A Financial Institution reports non-amortizing features in the manner described below unless a
partial exemption applies. If a partial exemption applies, see Section 4.3.3.
A Financial Institution reports whether the contractual terms include or would have included:
(1) a balloon payment; (2) interest-only payments; (3) negative amortization; or (4) contractual
terms, other than those listed above, that would allow for payments other than fully amortizing
payments. 12 CFR 1003.4(a)(27). The HMDA Rule defines the terms balloon payment, interestonly payments, negative amortization, and fully amortizing payments by reference to Regulation
Z, but without regard to whether the Covered Loan is subject to Regulation Z. Comment
4(a)(27). See 12 CFR 1026.18(s)(5)(i) for the definition of balloon payment, 12 CFR
1026.18(s)(7)(iv) for the definition of interest-only payments, and 12 CFR 1026.18(s)(7)(v) for
information on when a contractual term would include negative amortization.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

Example: Ficus Bank originates a business-purpose transaction that is exempt from
Regulation Z. The borrower, a corporation, uses the loan proceeds to finance the purchase
of a Multifamily Dwelling. The loan is secured by a mortgage on the Multifamily Dwelling.
The loan includes a balloon payment, as defined by Regulation Z, 12 CFR 1026.18(s)(5)(i),
at the end of the loan term. Even though the borrower is not a natural person, the loan is
for a business purpose, and a Multifamily Dwelling is not a “dwelling” under Regulation Z,
Ficus Bank reports the business-purpose transaction as having a balloon payment.

5.28 Data points for certain loans subject to
Regulation Z
5.28.1 Total loan costs or total points and fees
A Financial Institution reports the total loan costs or total points and fees in the manner
described below unless a partial exemption applies. If a partial exemption applies, see Section
4.3.3.
For Covered Loans subject to the Ability-to-Repay provisions of Regulation Z, 12 CFR 1026.43, a
Financial Institution reports the following:
1. The amount of total loan costs as disclosed, pursuant to Regulation Z, on Line D
of the Closing Cost Details page of the Closing Disclosure. The Financial Institution
reports the total loan costs if a Closing Disclosure was provided for the Covered Loan.
12 CFR 1003.4(a)(17)(i).
Financial Institutions report that this data point is not applicable for transactions that are
not subject to the Ability-to-Repay provisions of Regulation Z, such as Open-End Lines of
Credit, Reverse Mortgages, and Covered Loans made primarily for business or commercial
purposes. Comment 4(a)(17)(i)-1. For transactions subject to the Ability-to-Repay
provisions of Regulation Z for which a Closing Disclosure was not provided, Financial
Institutions report that this data point is not applicable. 12 CFR 1003.4(a)(17). Financial
Institutions also report that this data point is not applicable for purchased Covered Loans for
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which Applications were received by the selling entity prior to October 3, 2015. Comment
4(a)(17)(i)-2.
2. The total points and fees charged in connection with the Covered Loan,
calculated pursuant to Regulation Z. The Financial Institution reports the total points
and fees if the Covered Loan is not subject to Regulation Z’s Closing Disclosure requirements
and is not a purchased Covered Loan. 12 CFR 1003.4(a)(17)(ii).
Financial Institutions report that this data point is not applicable for transactions that are
not subject to the Ability-to-Repay provisions of Regulation Z, such as Open-End Lines of
Credit, Reverse Mortgages, and Covered Loans made primarily for business or commercial
purposes. Comment 4(a)(17)(ii)-1. For transactions subject to the Ability-to-Repay
provisions of Regulation Z for which a Closing Disclosure was provided, Financial
Institutions report that this data point is not applicable. 12 CFR 1003.4(a)(17). Financial
Institutions also report that this data point is not applicable for purchased Covered Loans.
Comment 4(a)(17)(ii)-1.
For Covered Loans subject to the total loan cost reporting requirement, if the amount of total
loan costs changes because a Financial Institution provides a corrected Closing Disclosure, the
Financial Institution reports the amount disclosed in the corrected Closing Disclosure if the
corrected Closing Disclosure was provided to the borrower prior to the end of the reporting
period in which loan closing occurred. For this purpose, the date the corrected Closing
Disclosure was provided to the borrower is the date disclosed as the “Date Issued” on the
corrected Closing Disclosure. Comment 4(a)(17)(i)-3.
For Covered Loans subject to the total points and fees reporting requirement, if a Financial
Institution determines that the transaction’s total points and fees exceeded the applicable limit
and cures the overage pursuant to Regulation Z during the same reporting period in which
closing occurred, the Financial Institution reports the revised amount of total points and fees.
Comment 4(a)(17)(ii)-2.
Example: Ficus Bank is required to submit HMDA data quarterly. It closes a
Covered Loan on January 2, 2020, and cures an overage pursuant to Regulation Z on
January 9, 2020. Ficus Bank reports the revised amount of total points and fees in
both its quarterly LAR submitted for first quarter data by May 30, 2020 and its annual
LAR submitted in 2021 for 2020 data.

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

5.28.2 Total borrower-paid origination charges
A Financial Institution reports the total borrower-paid origination charges in the manner
described below unless a partial exemption applies. If a partial exemption applies, see Section
4.3.3.
For Covered Loans subject to the Closing Disclosure requirements of Regulation Z, 12 CFR
1026.19(f), the Financial Institution reports the total of all itemized origination charges that are
designated borrower-paid at or before closing. 12 CFR 1003.4(a)(18). This total is disclosed on
Line A of the Closing Cost Details page of the Closing Disclosure.
For all other transactions, the Financial Institution reports that the data point is not applicable.
A Financial Institution reports that the data point does not apply for purchased Covered Loans
for which Applications were received by the seller prior to the effective date of the Closing
Disclosure requirements of Regulation Z. Comments 4(a)(18)-1 and -2.
If the total amount of borrower-paid origination charges changes because a Financial Institution
provides a corrected Closing Disclosure pursuant to Regulation Z prior to the end of the
reporting period in which the loan closing occurred, the Financial Institution reports the
amount disclosed in the corrected Closing Disclosure. For this purpose, the date the corrected
Closing Disclosure was provided to the borrower is the date disclosed as the “Date Issued” on
the corrected Closing Disclosure. Comment 4(a)(18)-3.

5.28.3 Total discount points
A Financial Institution reports the total discount points in the manner described below unless a
partial exemption applies. If a partial exemption applies, see Section 4.3.3.
For Covered Loans subject to the Closing Disclosure requirements of Regulation Z, 12 CFR
1026.19(f), a Financial Institution reports the points paid to the creditor to reduce the interest
rate. 12 CFR 1003.4(a)(19). This total is disclosed on Line A.01 of the Closing Cost Details page
of the Closing Disclosure.
For all other transactions, a Financial Institution reports that the data point is not applicable.

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A Financial Institution reports that the data point does not apply for purchased Covered Loans
for which an Application was received by the seller prior to the effective date of the Closing
Disclosure requirements of Regulation Z. Comments 4(a)(19)-1 and -2.
If the total discount points change because a Financial Institution provides a corrected Closing
Disclosure pursuant to Regulation Z prior to the end of the reporting period in which the loan
closing occurred, the Financial Institution reports the amount disclosed in the corrected Closing
Disclosure. For this purpose, the date the corrected Closing Disclosure was provided to the
borrower is the date disclosed as the “Date Issued” on the corrected Closing Disclosure.
Comment 4(a)(19)-3.

5.28.4 Lender credits
A Financial Institution reports lender credits in the manner described below unless a partial
exemption applies. If a partial exemption applies, see Section 4.3.3.
For Covered Loans subject to the Closing Disclosure requirements of Regulation Z, 12 CFR
1026.19(f), the Financial Institution reports the amount of lender credits.
12 CFR 1003.4(a)(20). This total is disclosed in the second row under Line J on the Closing Cost
Details page of the Closing Disclosure. For all other transactions, the Financial Institution
reports that the data point is not applicable.
A Financial Institution reports that the data point does not apply for purchased Covered Loans
for which an Application was received by the seller prior to the effective date of the Closing
Disclosure requirements of Regulation Z. Comments 4(a)(20)-1 and -2.
If the amount of the lender credits changes because a Financial Institution provides a corrected
Closing Disclosure pursuant to Regulation Z prior to the end of the reporting period in which the
loan closing occurred, the Financial Institution reports the amount disclosed in the corrected
Closing Disclosure. For this purpose, the date the corrected Closing Disclosure was provided to
the borrower is the date disclosed as the “Date Issued” on the corrected Closing Disclosure.
Comment 4(a)(20)-3.

5.28.5 Prepayment penalty term
A Financial Institution reports the prepayment penalty term in the manner described below
unless a partial exemption applies. If a partial exemption applies, see Section 4.3.3.
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For Covered Loans and Applications subject to Regulation Z, other than Reverse Mortgages or
purchased Covered Loans, a Financial Institution reports the term of any prepayment penalty.
The term is reported in months. 12 CFR 1003.4(a)(22). A Financial Institution may rely on the
definitions and official commentary to Regulation Z, 12 CFR 1026.32(b)(6)(i) or (ii), in
determining whether a Covered Loan includes a prepayment penalty.
For Covered Loans that are not subject to Regulation Z, Reverse Mortgages, purchased Covered
Loans, and Covered Loans or Applications that have no prepayment penalty, the Financial
Institution reports that this data point is not applicable.

5.28.6 HOEPA status
For a Covered Loan that is subject to the Home Ownership and Equity Protection Act of 1994
(HOEPA), as implemented in Regulation Z, 12 CFR 1026.32, the Financial Institution reports
whether or not the Covered Loan is a high-cost mortgage under Regulation Z.
12 CFR 1003.4(a)(13). Generally, a Financial Institution will report whether or not a consumer
credit transaction subject to Regulation Z and secured by a principal dwelling (as that term is
interpreted under Regulation Z) is a high-cost mortgage. See 12 CFR 1026.32(a) and its official
commentary to determine whether a Covered Loan is subject to HOEPA and whether or not it is
a high-cost mortgage under Regulation Z. For an Application or a Covered Loan that is not
subject to HOEPA, the Financial Institution reports that this data point is not applicable.
Comment 4(a)(13).

5.29 Transaction indicators
A Financial Institution reports the transaction indicators in the manner described below unless
a partial exemption applies. If a partial exemption applies, see Section 4.3.3.
A Financial Institution separately reports whether or not a Covered Loan is or an Application is
for:

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1. A Reverse Mortgage.19 12 CFR 1003.4(a)(36);
2. An Open-End Line of Credit. 20 12 CFR 1003.4(a)(37); and
3. A loan made primarily for a business or commercial purpose. 21 12 CFR 1003.4(a)(38).

5.30 Mortgage loan originator identifier
A Financial Institution reports the mortgage loan originator identifier in the manner described
below unless a partial exemption applies. If a partial exemption applies, see Section 4.3.3.
A Financial Institution reports the Nationwide Mortgage Licensing System and Registry
identifier (NMLSR ID) for the mortgage loan originator, as defined in Regulation G, 12 CFR Part
1007, or Regulation H, 12 CFR Part 1008, as applicable. 12 CFR 1003.4(a)(34). The NMLSR ID
is a unique number or other identifier generally assigned to an individual registered or licensed
through NMLSR to provide loan originating services. For more information, see the Secure and
Fair Enforcement for Mortgage Licensing Act of 2008, title V of the Housing and Economic
Recovery Act of 2008, 12 U.S.C. 5101 et seq., and Regulation G or Regulation H, as applicable.
Comment 4(a)(34)-1.
An NMLSR ID for the mortgage loan originator is not required to be reported if the mortgage
loan originator is not required to obtain and has not been assigned an NMLSR ID. In those
cases, the Financial Institution reports that this data point is not applicable. For example,
certain individual mortgage loan originators may not be required to obtain an NMLSR ID for the
particular transaction being reported, such as a commercial loan, and may not have an NMLSR
ID.

A Reverse Mortgage is a Closed-End Mortgage Loan or Open-End Line of Credit that is a reverse mortgage
transaction as defined in Regulation Z, but without regard to whether the loan or line is secured by a principal
dwelling. 12 CFR 1003.2(q).

For more information on whether a Covered Loan is or an Application is for an Open-End Line of Credit, see
Section 4.1.1.

If a Covered Loan or Application is deemed to be primarily for a business or commercial purpose under Regulation
Z, 12 CFR 1026.3(a) and its official commentary, it is also deemed to be for a business or commercial purpose under
the HMDA Rule.

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Some mortgage loan originators may have obtained an NMLSR ID even if they are not required
to obtain one for the particular transaction. Generally, if a mortgage loan originator has been
assigned an NMLSR ID, a Financial Institution reports the mortgage loan originator’s NMLSR
ID regardless of whether the mortgage loan originator is required to obtain an NMLSR ID for
the particular transaction being reported. Comment 4(a)(34)-2. However, there are special
rules for certain purchased Covered Loans. If a Financial Institution purchases a Covered Loan
that is subject to 12 CFR 1026.36(g) and that was originated prior to January 10, 2014, the
Financial Institution may report that the data point is not applicable or may report the NMLSR
ID. If a Financial Institution purchases a Covered Loan that is not subject to 12 CFR 1026.36(g)
and that was originated prior to January 1, 2018, the Financial Institution may report that the
data point is not applicable or may report the NMLSR ID.
If more than one individual associated with a Covered Loan or Application meets the definition
of “mortgage loan originator,” as defined in Regulation G or Regulation H, a Financial
Institution reports the NMLSR ID of the individual mortgage loan originator with primary
responsibility for the transaction as of the date of action taken. A Financial Institution that
establishes and follows a reasonable, written policy for determining which individual mortgage
loan originator has primary responsibility for the reported transaction as of the date of action
taken complies with this reporting requirement. Comment 4(a)(34)-3.

5.31 Type of purchaser
A Financial Institution reports the type of purchaser for a Covered Loan if the Financial
Institution: (a) originated the Covered Loan it is reporting and sold it within the same calendar
year; or (b) purchased the Covered Loan it is reporting and then sold it within the same calendar
year. 12 CFR 1003.4(a)(11). When reporting the type of purchaser, a Financial Institution
reports the type of entity that purchased the Covered Loan from the Financial Institution, using
one of the following:
1. Fannie Mae.
2. Ginnie Mae.
3. Freddie Mac.
4. Farmer Mac.
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5. Private securitizer, which is an entity (other than one of the government-sponsored
enterprises listed in 1 through 4 immediately above) that the Financial Institution knows or
reasonably believes will securitize the Covered Loan. Knowledge or reasonable belief could, for
example, be based on the purchase agreement or other related documents, the Financial
Institution’s previous transactions with the purchaser, or the purchaser’s role as a securitizer
(such as an investment bank). If the Financial Institution selling the Covered Loan does not
know or reasonably believe that the purchaser will securitize the loan, and the seller knows that
the purchaser frequently holds or disposes of loans by means other than securitization, then the
Financial Institution reports the Covered Loan as purchased by, as appropriate, one of the other
types of purchasers. Comment 4(a)(11)-4.
If the purchaser meets the criteria to be a private securitizer and fits within one of the other
reportable categories in 6 through 10 below (including affiliate institution), the Financial
Institution reports that the purchaser is a private securitizer. Comment 4(a)(11)-4.
6. Affiliate institution, which means a company that controls, is controlled by, or is under
common control with the Financial Institution. The term has the meaning set forth in the Bank
Holding Company Act of 1956, 12 U.S.C. 1841 et seq. If a purchaser meets the criteria to be an
affiliate institution and also fits within one of the other reportable types of purchaser in 7
through 10 below (but not private securitizer above), the Financial Institution reports that the
purchaser is an affiliate institution. Comment 4(a)(11)-3.
7. Commercial bank, savings bank, or savings association.
8. Credit union, mortgage company, or finance company. A mortgage company is a
nondepository institution that purchases Covered Loans and, typically, originates Covered
Loans. Comment 4(a)(11)-5.
9. Life insurance company.
10. Other, which is a purchaser that is not any of the above. A Financial Institution would report
the purchaser type of “other” if the purchaser was a bank holding company or thrift holding
company that is not a private securitizer and is not an affiliate of the Financial Institution.
Comment 4(a)(11)-7.
If a Financial Institution sells some interest or interests in a Covered Loan but retains a majority
interest in that Covered Loan, the Financial Institution does not report the sale or type of
purchaser (i.e., it reports that this data point is not applicable). Comment 4(a)(11)-1.

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If a Financial Institution sells all or a majority interest in the Covered Loan to more than one
entity, the Financial Institution reports the type of purchaser based on the entity purchasing the
greatest interest in the Covered Loan. Comment 4(a)(11)-1.
Covered Loans “swapped” for mortgage-backed securities are to be treated as sales, and the
purchaser is the entity receiving the Covered Loans that are swapped. Comment 4(a)(11)-2.
A Financial Institution reports that this data point is not applicable:
1. If a Financial Institution sells some interest or interests in a Covered Loan but retains a
majority interest in the loan;
2. For an Application that is denied, withdrawn, closed for incompleteness, or approved but
not accepted; or
3. For a Covered Loan that the Financial Institution does not sell during the same calendar
year that it originated or purchased the Covered Loan. Comments 4(a)(11)-1 and -10.
A Financial Institution records that the requirement to report type of purchaser is not applicable
if the Financial Institution originated or purchased a Covered Loan and did not sell it during the
calendar quarter for which the Financial Institution is recording the data. If the Financial
Institution sells the Covered Loan in a subsequent quarter of the same calendar year, the
Financial Institution records the type of purchaser on its LAR for the quarter in which the
Covered Loan was sold. If a Financial Institution sells the Covered Loan in a succeeding year,
the Financial Institution should not record or report the sale. Comment 4(a)(11)-9.

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6. Recording and reporting
6.1

Recording

The HMDA Rule requires a Financial Institution to record the data about a Covered Loan or
Application on a LAR within 30 calendar days after the end of the calendar quarter in which the
Financial Institution takes final action on the Application or Covered Loan. 12 CFR 1003.4(f). A
Financial Institution is not required to
record all of its HMDA data for a quarter on
a single LAR. Rather, a Financial Institution
may record data on a single LAR or may
record data on one or more LARs for
different branches or different loan types

The 2020 HMDA Thresholds Rule amended
Regulation C’s institutional coverage
threshold for closed-end mortgage loans as of
July 1, 2020. Pursuant to § 1003.4(f),
financial institutions that originated fewer
than 100 closed-end mortgage loans during

(such as Home Purchase Loans or Home

2018 or 2019, but more at least 25 closed-end

Improvement Loans, or loans on

mortgage loans in 2018 and 2019 and meet

Multifamily Dwellings). Comment 4(f)-1.

all of the other requirements under
§ 1003.2(g), must still record data on a

Other State or Federal regulations may

loan/application register for the first quarter

require a Financial Institution to record its
data on a LAR more frequently. Comment

of 2020 by 30 calendar days after the end of

4(f)-2.

institutions are not, however, required to

Financial Institutions may maintain their

third quarters of 2020 because the deadline

quarterly records in electronic or any other

under § 1003.4(f) for recording such data

format, provided they can make the
information available to their regulatory
agencies in a timely manner upon request.
Comment 4(f)-3.

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the first quarter of 2020. These financial
record closed-end data for the second or

falls after July 1, 2020. These financial
institutions are also not required to report
HMDA data collected in 2020 on closed-end
mortgage loans (including closed-end data
collected in 2020 before July 1).

HOME MORTGAGE DISCLOSURE (REGULATION C) VERSION 5.0

6.2

Reporting

In addition to the required data discussed in Section 5, above, effective January 1, 2019, a
Financial Institution must include the following when it submits its HMDA data:
1. Its name;
2. The calendar year and, effective January 1, 2020, if applicable, the calendar quarter to which
the data relate (see Section 6.2.2 for information on quarterly reporting);
3. The name and contact information for a person who can be contacted with questions about
the submission;
4. The Financial Institution’s appropriate Federal agency;
5. The total number of entries in the submission;
6. The Financial Institution’s Federal Taxpayer Identification Number (TIN); and
7. The Financial Institution’s LEI. 12 CFR 1003.5(a)(3).
If the appropriate Federal agency for a Financial Institution changes, the Financial Institution
must identify its new appropriate Federal agency in its annual submission for the year of the
change. Comment 5(a)-2. For example, if a Financial Institution’s appropriate Federal agency
changes in February 2018, it must identify its new appropriate Federal agency beginning with its
annual submission of 2018 data by March 1, 2019. For a Financial Institution required to
comply with quarterly reporting requirements (see Section 6.2.2), the Financial Institution also
must identify its new appropriate Federal agency in its quarterly submission beginning with its
submission for the quarter of the change, unless the change occurs during the fourth quarter.
For example, if the appropriate Federal agency for a Financial Institution changes during
February 2020, the Financial Institution must identify its new appropriate Federal agency
beginning with its quarterly submission for the first quarter of 2020. Comment 5(a)-2.
If a Financial Institution obtains a new TIN, it must provide the new TIN in its subsequent data
submissions. For example, if two Financial Institutions that previously reported HMDA data
merge and the surviving Financial Institution retained its LEI but obtained a new TIN, the
surviving Financial Institution reports the new TIN beginning with its next HMDA data
submission. Comment 5(a)-5.

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A Financial Institution that is a subsidiary of a bank or savings association must complete its
own LAR and submit it, directly or through its parent, to the appropriate Federal agency for the
subsidiary’s parent. 12 CFR 1003.5(a)(2). A Financial Institution is a subsidiary of a bank or
savings association (for purposes of reporting HMDA data to the same agency as the parent) if
the bank or savings association holds or controls an ownership interest in the Financial
Institution that is greater than 50 percent. Comment 5(a)-6.

6.2.1 Annual reporting
The HMDA Rule maintains the annual reporting requirement, but requires Financial
Institutions to submit data electronically in accordance with the procedures published by the
Bureau and posted at http://www.consumerfinance.gov/hmda. 12 CFR 1003.5(a)(5).
Under the HMDA Rule, a Financial Institution must submit its annual LAR in electronic format
to its appropriate Federal agency by March 1 of the year following the calendar year for which
data are collected. Appendix A to Part 1003 (through December 31, 2018);
12 CFR 1003.5(a)(1)(i) (after December 31, 2018). An individual who is an authorized
representative of the Financial Institution and who has knowledge regarding the submitted data
must certify its accuracy and completeness. Appendix A to Part 1003 (through December 31,
2018); 12 CFR 1003.5(a)(1)(i) (after December 31, 2018).
A Financial Institution must retain a copy of its submitted annual LAR for at least three years.
12 CFR 1003.5(a)(1)(i). Financial Institutions may retain their annual LARs in either paper or
electronic form. Comment 5(a)-4.
For more information on reporting under the HMDA Rule or on the electronic submission of
data, please see http://www.consumerfinance.gov/hmda.

6.2.2 Quarterly reporting
The HMDA Rule requires some Financial Institutions to report data on a quarterly basis as well
as on an annual basis. The quarterly reporting requirement is effective January 1, 2020. It
applies to a Financial Institution that reported at least 60,000 originated Covered Loans and
Applications (combined) for the preceding calendar year. The Financial Institution does not
count purchased Covered Loans when determining whether the quarterly reporting requirement
applies. If quarterly reporting is required, the Financial Institution must report all data
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required to be recorded for the calendar quarter within 60 calendar days after the end of the
calendar quarter. The quarterly reporting requirement does not apply, however, to the fourth
quarter of the year. A Financial Institution subject to the quarterly reporting requirement
reports its fourth quarter data as part of its annual submission. In its annual submission, a
quarterly reporter will resubmit the data previously submitted for the first three calendar
quarters of the year, including any corrections to the data, as well as its fourth quarter data.
12 CFR 1003.5(a)(ii).
As of March 26, 2020, and until further notice, the Bureau does not intend to cite in an
examination or initiate an enforcement action against any institution for failure to report its
HMDA data quarterly. At a later date, the Bureau will provide information as to how and when
it expects institutions under its jurisdiction to resume quarterly HMDA data submissions.
Entities should continue collecting and recording HMDA data in anticipation of making annual
data submissions. Entities may continue making quarterly HMDA data submissions even
though the Bureau does not intend to cite or take any actions against them if they do not do so.
See the Bureau’s Statement on Supervisory and Enforcement Practices Regarding Quarterly
Reporting Under the Home Mortgage Disclosure Act for more informaiton.

6.3

Disclosure of data

6.3.1 Disclosure statement
Effective January 1, 2018, the HMDA Rule changes Regulation C’s disclosure statement
requirements. The changes apply to data collected in 2017 and later years. Under the HMDA
Rule, the FFIEC shall provide a notice to the Financial Institution that the Financial Institution’s
disclosure statement (based on data submitted for the prior calendar year) is available.
12 CFR 1003.5(b)(1). No later than three business days (any calendar day other than a Saturday,
Sunday, or legal public holiday) after receiving notice from the FFIEC, the Financial Institution
must make available to the public, upon request, a written notice that clearly conveys that the
Financial Institution’s disclosure statement may be obtained on the Bureau’s website at .
12 CFR 1003.5(b)(2); comment 5(b)-1. A Financial Institution may, but is not required to, use
the sample notice in Attachment C to satisfy the HMDA Rule’s disclosure statement
requirement. The notice may be made available in paper or electronic form. Comment 5(b)-2.

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A Financial Institution must make the notice available to the public for a period of five years.
12 CFR 1003.5(d)(1).
At its discretion, a Financial Institution may also provide its disclosure statement and impose a
reasonable fee for costs incurred reproducing or providing the statement. 12 CFR 1003.5(d)(2).
Even if it provides the disclosure statement, a Financial Institution must comply with the notice
requirement.

6.3.2 Modified LAR
Effective January 1, 2018, the HMDA Rule changes a Financial Institution’s obligations with
respect to disclosing its modified LAR. The new requirements apply to data collected in 2017
and later years.
Beginning in 2018, upon request from a member of the public, a Financial Institution must
provide a written notice regarding the availability of its modified LAR. The written notice must
clearly convey that the Financial Institution’s LAR, as modified by the Bureau to protect
borrower and applicant privacy, may be obtained on the Bureau’s website at
http://www.consumerfinance.gov/hmda. 12 CFR 1003.5(c).
A Financial Institution may, but is not required to, use the sample notice in Attachment C to
satisfy the HMDA Rule’s modified LAR requirement. Comment 5(c)-2. A Financial Institution
may, but is not required to, use the same notice for purposes of this disclosure requirement and
the disclosure statement requirement discussed in Section 6.3.1. The notice may be made
available in paper or electronic form. Comment 5(c)-1.
The notice must be made available in the calendar year following the calendar year for which the
Financial Institution collected data. The notice must be made available for three years.
12 CFR 1003.5(d)(1). For example, in calendar year 2021, a Financial Institution must make
available a notice that its modified LAR is available on the Bureau’s website if it was required to
collect data in 2018, 2019, or 2020.
At its discretion, a Financial Institution may also provide its LAR, as modified by the Bureau,
and impose a reasonable fee for any costs incurred to reproduce or provide the data.
12 CFR 1003.5(d)(2). Even if it decides to provide the modified LAR, a Financial Institution
must comply with the notice requirement.

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6.3.3 Posted notices
The HMDA Rule modifies Regulation C’s posting requirement. Beginning January 1, 2018, a
Financial Institution must post, in the lobby of its home office and each Branch Office physically
located in an MSA or MD, a general notice about the availability of its HMDA data on the
Bureau’s website. 12 CFR 1003.5(e). A Financial Institution may, but is not required to, use the
sample notice in Attachment C to satisfy this requirement. In any case, the notice must clearly
convey that the Financial Institution’s HMDA data are available on the Bureau’s website at
http://www.consumerfinance.gov/hmda. Comment 5(e).

6.3.4 Aggregated data
The FFIEC will use the annual data submitted pursuant to the HMDA Rule to make available
aggregated data for each MSA and MD, showing lending patterns by property location, age of
housing stock, and income level, sex, ethnicity, and race. 12 CFR 1003.5(f).

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7. Enforcement provisions
A violation of Regulation C, both before and after the effective date of the HMDA Rule, is subject
to administrative sanctions, including civil money penalties. Compliance can be enforced by the
Federal Reserve Board, Federal Deposit Insurance Corporation, the Office of the Comptroller of
Currency, the National Credit Union Administration, HUD, or the Bureau.
An error in compiling or recording data for a Covered Loan or Application is not a violation of
HMDA or Regulation C if the error was unintentional and occurred despite maintenance of
procedures reasonably adapted to avoid such errors. 12 CFR 1003.6(b)(1). However, a Financial
Institution that obtains the property-location information for Applications and Covered Loans
from third parties is responsible for ensuring that the information reported is correct. An
incorrect entry for a census tract number is deemed a bona fide error and is not a violation if the
Financial Institution maintains procedures reasonably adapted to avoid such an error.
12 CFR 1003.6(b)(2). Additionally, a census tract error is not a violation of HMDA or
Regulation C if the Financial Institution obtained the census tract number from a geocoding tool
on the Bureau’s website. However, a Financial Institution’s failure to provide the correct census
tract number because the geocoding tool did not provide any census tract number for the
property address is not excused as a bona fide error. Similarly, the failure to enter the correct
census tract number because the Financial Institution entered an incorrect property address
into the geocoding tool is not excused as a bona fide error. Comment 6(b)-2.
If a Financial Institution makes a good-faith effort to record all data fully and accurately within
30 calendar days after the end of the calendar quarter as required under the HMDA Rule, but
some data are inaccurate or incomplete, the inaccuracy or omission is not a violation of HMDA
or Regulation C if the Financial Institution corrects or completes the data prior to submitting its
annual LAR. 12 CFR 1003.6(c)(1).
If a Financial Institution that is required to submit quarterly data makes a good-faith effort to
report all data fully and accurately within 60 calendar days as required under the HMDA Rule,
but some data are inaccurate or incomplete, the inaccuracy or omission is not a violation of
HMDA or Regulation C if the Financial Institution corrects or completes the data prior to
submitting its annual LAR. 12 CFR 1003.6(c)(2).

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8. Mergers and acquisitions
8.1

Determining coverage

After a merger or acquisition, the surviving or newly formed institution is subject to Regulation
C, effective January 1, 2018, if it satisfies the coverage criteria for either a Depository Financial
Institution or a Nondepository Financial Institution. See Section 3 for more information on
institutional coverage. When determining whether the institution is covered, the surviving or
newly formed institution must consider the combined assets, locations, and lending activities of
the surviving or newly formed entity and the merged or acquired entities or acquired branches.
Comment 2(g)-3.

8.2

Reporting responsibility for calendar
year of merger or acquisition

The following discusses the applicability of the HMDA Rule during the calendar year of a merger
or acquisition:
If two institutions that are not subject to Regulation C merge, but the newly formed or surviving
institution is subject to Regulation C, no data collection is required for the calendar year of the
merger.
When a branch office of an institution that is not subject to Regulation C is acquired by another
institution that is not subject to Regulation C, and the acquisition results in the acquiring
institution becoming subject to Regulation C, no data collection is required for the calendar year
of the acquisition.
If an institution that is subject to Regulation C and an institution that is not subject to
Regulation C merge, and the surviving or newly formed institution is subject to Regulation C, for
the calendar year of the merger, data collection is required for Covered Loans and Applications
handled in the offices of the institution that was previously subject to Regulation C. For the
calendar year of the merger, data collection is optional for Covered Loans and Applications
handled in offices of the institution that was not previously subject to Regulation C.
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When an institution that is subject to Regulation C acquires a branch office of an institution that
is not subject to Regulation C, data collection is optional for Covered Loans and Applications
handled by the acquired branch office for the calendar year of the acquisition.
If an institution that is subject to Regulation C and an institution that is not subject to
Regulation C merge and the surviving or newly formed institution is not subject to Regulation C,
data collection is required for Covered Loans and Applications handled prior to the merger in
the previously covered institution’s offices. After the merger date, data collection is optional for
Covered Loans and Applications handled in the offices of the institution that was previously
covered.
When an institution that is not subject to Regulation C acquires a Branch Office of an institution
that is subject to Regulation C but that acquisition does not result in the acquiring institution
becoming subject to Regulation C, data collection is required for transactions of the acquired
Branch Office that take place prior to the acquisition. Data collection by the acquired Branch
Office is optional for transactions taking place in the remainder of the calendar year of the
acquisition.
If two or more institutions that are subject to Regulation C merge and the surviving or newly
formed institution is also subject to Regulation C, data collection is required for the entire
calendar year of the merger. The surviving or newly formed Financial Institution files either a
consolidated submission or separate submissions for that calendar year.
When one institution subject to Regulation C acquires a Branch Office of another covered
institution, data collection is required for the entire calendar year of the merger. Data for the
acquired Branch Office may be submitted by either Financial Institution. Comment 2(g)-4.

8.3

Changes to appropriate Federal agency
or TIN

Under the HMDA Rule, if the appropriate Federal agency for a Financial Institution changes,
the Financial Institution must identify its new appropriate Federal agency in its annual
submission for the year of the change. For example, if a Financial Institution’s appropriate
Federal agency changes in February 2019, it must identify its new appropriate Federal agency
beginning with the annual submission of its 2019 data by March 1, 2020. For a Financial
Institution required to comply with quarterly reporting requirements, the Financial Institution
also must identify its new appropriate Federal agency in its quarterly submissions, beginning
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with its submission for the quarter of the change, unless the change occurs during the fourth
quarter. Comment 5(a)-2. For example, if the appropriate Federal agency for a Financial
Institution changes during February 2020, the Financial Institution must identify its new
appropriate Federal agency beginning with its quarterly submission for the first quarter of 2020.
If a Financial Institution obtains a new TIN, it should provide the new number in its subsequent
data submission. For example, if two Financial Institutions that previously reported HMDA
data merge and the surviving Financial Institution retained its LEI but obtained a new TIN, then
the surviving Financial Institution should report the new TIN with its next HMDA data
submission. Comment 5(a)-5.

8.4

Determining quarterly reporting
coverage

In the calendar year of a merger, the HMDA Rule requires a surviving or newly formed Financial
Institution to report quarterly, beginning with the first quarterly submission due date after the
date of the merger, if when added together the surviving or newly formed Financial Institution
and all Financial Institutions that merged reported at least 60,000 originated Covered Loans
and Applications for the preceding calendar year. Similarly, in the calendar year of an
acquisition, the surviving Financial Institution is required to report quarterly, beginning with
the first quarterly submission due date after the date of the acquisition, if when added together
the surviving Financial Institution and the acquired Financial Institution(s) or Branch Office(s)
reported at least 60,000 originated Covered Loans and Applications for the preceding calendar
year. If a Financial Institution acquires one or more Branch Offices of another Financial
Institution but does not acquire the Financial Institution, it is required to count only the
originated Covered Loans and Applications for the Branch Offices(s) that it acquired. Comment
5(a)-1.ii.
In the calendar year following a merger or acquisition, the surviving or newly formed Financial
Institution is required to comply with the quarterly reporting requirements if a combined total
of at least 60,000 originated Covered Loans and Applications is reported for the preceding
calendar year by or for the surviving or newly formed Financial Institution and each Financial
Institution or Branch Office that merged or was acquired. Comment 5(a)-1.iii.

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8.5

Applicability of partial exemptions under
the 2018 Act after a merger or
acquisition

Effective January 1, 2020, following a merger or acquisition, the surviving or newly formed
Financial Institution is eligible for partial exemptions if the combined lending activity of the
surviving or newly formed Financial Institution and the merged or acquired institutions or
acquired branches fall below the threshold under § 1003.3(d)(2) or (3). Comment 3(d)-1.
Following a merger or acquisition, the surviving or newly formed Financial Institution is not
eligible for partial exemptions if either it or any of the institutions it acquired or with which it
merged received a rating of “needs to improve record of meeting community credit needs”
during each of its two most recent CRA examinations or a rating of “substantial noncompliance
meeting community credit needs on its most recent CRA examination.” Comment 3(d)-2.
The scenarios below discuss the application of partial exemptions under the HMDA Rule during
the calendar year of a merger or acquisition. The scenarios refer to the partial exemptions for
closed-end mortgage loans under § 1003.3(d)(2), but the same principles apply to the partial
exemptions with respect to open-end lines of credit under § 1003.3(d)(3).
If two institutions eligible for the partial exemption for closed-end mortgage loans merge and
the surviving or newly formed Financial Institution meets all of the requirements for the partial
exemption, the partial exemption for closed-end mortgage loans applies for the calendar year of
the merger. Comment 3(d)-3.i.
If two institutions eligible for the partial exemption for closed-end mortgage loans merge and
the surviving or newly formed Financial Institution does not meet the requirements for the
partial exemption, collection of optional data on closed-end mortgage loans is permitted but not
required for the calendar year of the merger (even though the merger creates a Financial
Institution that does not meet the requirements for the partial exemptions for closed-end
mortgage loans). If a branch office of a Financial Institution that is eligible for the partial
exemption is acquired by another Financial Institution that is eligible for the partial exemption,
and the acquisition results in a Financial Institution that is not eligible for the partial exemption,
collection of optional data for closed-end mortgage loans is permitted but not required for the
calendar year of the acquisition. Comment 3(d)-3.ii.

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If a Financial Institution that is eligible for the partial exemption for closed-end mortgage loans
merges with a Financial Institution that is not eligible for the partial exemption and the
surviving or newly formed Financial Institution is not eligible for the partial exemption, for the
calendar year of the merger, collection of optional data for closed-end mortgage loans is
required for covered loans and applications handled in the offices of the merged Financial
Institution that was previously not eligible for the partial exemption. For the calendar year of
the merger, collection of optional data for closed-end mortgage loans is permitted but not
required for covered loans and applications handled in the offices of the merged Financial
Institution that was previously eligible for the partial exemption. Comment 3(d)-3.iii.
If a Financial Institution that is not eligible for the partial exemption for closed-end mortgage
loans acquires a branch office of a Financial Institution that is eligible for the partial exemption,
for the calendar year of the acquisition, collection of optional data for closed-end mortgage loans
is permitted but not required for covered loans and applications handled by the acquired branch
office. Comment 3(d)-3.iii.
If a Financial Institution that is eligible for the partial exemption for closed-end mortgage loans
merges with a Financial Institution that is not eligible for the partial exemption and the
surviving or newly formed Financial Institution is eligible for the partial exemption, for the
calendar year of the merger, collection of optional data for closed-end mortgage loans is
required for covered loans and applications handled in the offices prior to the merger of the
Financial Institution that was previously not eligible for the partial exemption. After the
merger, collection of optional data for closed-end mortgage loans is permitted but not required
for covered loans and applications handled in the offices of the institution that was previously
not eligible for the partial exemption. If a Financial Institution remains eligible for the partial
exemption for closed-end mortgage loans after acquiring a branch or office of a Financial
Institution that is not eligible for the partial exemption, collection of optional data for closedend mortgage loans is required for transactions of the acquired branch office that took place
prior to the acquisition. Collection of optional data for closed-end mortgage loans by the
acquired branch office is permitted but not required for transactions taking place in the
remainder of the calendar year after the acquisition. Comment 3(d)-3.iv.

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9. Practical implementation
and compliance
considerations
This section of the guide sets forth some general compliance and practical implementation
considerations related to the HMDA Rule. However, it is not a compliance plan and does not
include every compliance or implementation issue that an institution may need to consider.
Each institution will need to determine its obligations under the HMDA Rule and the best way
for the institution to comply with them. Depending on the institution, compliance could involve
preparing or changing policies, procedures, and processes. It could also result in changes to the
institution’s operations and its relationships with third parties, such as vendors. It could involve
additional staffing and training.
Institutions should consult with their legal counsel and compliance officers to understand their
obligations under the HMDA Rule and to prepare and implement compliance plans.

9.1

Identifying affected institutions,
products, departments, and staff

When planning, institutions should first determine if they are likely to be subject to the HMDA
Rule and, if so, identify their affected products, departments, and staff. The effects on these
products, departments, and staff may vary greatly depending on the institution’s size,
organizational structure, and the complexity of its operations and systems.
First, an institution should assess whether or not it will be a Financial Institution subject to the
HMDA Rule. This assessment can be done by reviewing the HMDA Rule’s effective dates and
criteria for institutional coverage. The loan-volume threshold criterion for Closed-End
Mortgage Loans changes from 25 to 100 Closed-End Mortgage Loans effective July 1, 2020, and
the loan-volume threshold criterion f0r Open-End Lines of Credit changes from 500 to 200
Open-End Lines of Credit effective January 1, 2022. A bank, savings association, credit union,
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or nondepository institution should review the 2018 changes as well as the loan-volume
thresholds’effective dates. Financial Institutions that are not insured depository institutions or
insured credit unions are not eligible for either of the partial exemptions. For more information
on which institutions are subject to the HMDA Rule, see Section 3 of this guide. An institution
can also use the HMDA Institutional Coverage Charts to help it determine if it is subject to
Regulation C, as amended by the HMDA Rule. However, the HMDA Institutional Coverage
Charts and this guide are not substitutes for the HMDA Rule. For more information on the
partial exemptions, see Section 4.3.
Second, a Financial Institution must assess which of its products and services involve Covered
Loans and reportable activity under the HMDA Rule. For more information on which
transactions relate to Covered Loans and reportable activity, see Section 4 of this guide.
It is important to note that the HMDA Rule may not require a Financial Institution to report
Open-End Lines of Credit. Initially, a Financial Institution is not required to collect or report
information about Open-End Lines of Credit if it originated fewer than 500 Open-End Lines of
Credit in either of the preceding two calendar years. Effective January 1, 2022, a Financial
Institution is not required to collect or report information about Open-End Lines of Credit if it
originated fewer than 200 Open-End Lines of Credit in either of the preceding two calendar
years. For more information on Open-End Lines of Credit, Covered Loans, and Excluded
Transactions, see Section 4.1 of this guide.
After determining which of its products and services involve transactions that must be reported,
a Financial Institution can begin to assess which of its departments, systems, and staff will be
affected.
Third, the Financial Institution should determine what information it must report and how it
will collect this information. The information that a Financial Institution must report might
vary depending on the type of transaction being reported. For example, a Financial Institution
may not be required to collect and report the same information for a purchased Covered Loan as
for an originated Covered Loan. It might not be required to report the same information for a
business-purpose loan as for a consumer-purpose loan. Additionally, effective May 24, 2018,
the HMDA Rule does not require certain insured depository institutions and insured credit
unions to collect, record, or report certain data points if a partial exemption applies to a
transaction. For more information on the partial exemptions, see Section 4.3.

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It is important to note that certain financial institutions may no longer be subject to HMDA’s
closed-end requirements as of July 1, 2020, because they originated fewer than 100 closed-end
mortgage loans during 2018 or 2019, and may therefore stop collecting, recording, and
reporting HMDA data as of July 1, 2020. These financial institutions are not required to report
HMDA data collected in 2020 on closed-end mortgage loans (including closed-end data
collected in 2020 before July 1). 22 For more information on the recording HMDA data, see
Section 6.1.
After determining what information must be collected and reported for reportable transactions,
a Financial Institution can refine its assessment regarding which of its systems, departments,
and staff will be affected by the HMDA Rule.

9.1.1 Identifying changes to business processes, policies,
and systems
The requirements of the HMDA Rule may affect a number of a Financial Institution’s business
systems, processes, and policies. A review should be conducted of existing business processes,
policies, and systems that the Financial Institution, its agents, and other business partners use.
Identifying impacts early will allow the Financial Institution to understand what changes will be
needed to support ongoing compliance.
When reviewing its existing processes, policies, and systems, a Financial Institution should
consider the HMDA Rule’s requirement to submit data electronically beginning in 2018.
Beginning in 2018, Financial Institutions will not be able to use paper-based submissions for
HMDA data. The Bureau has created a web-based tool for submission of HMDA data. Financial
Institutions should become familiar with the new web-based submission tool and be able to use
it to submit data beginning in 2018. For more information on the web-based submission tool,
see http://www.consumerfinance.gov/hmda/.

22 Note, though, that other laws

or regulations may require collection of certain data on home

loan activity. For example, Regulation B includes an independent requirement to collect
information regarding the applicant’s ethnicity, race, sex, marital status, and age where the
credit sought is primarily for the purchase or refinancing of a dwelling that is or will be the
applicant’s principal residence and will secure the credit.

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Financial Institutions may need to revise or develop processes and policies to comply with the
changes to transactional coverage. For example, a Financial Institution may need to develop
new processes and policies to comply with the reporting requirements for Open-End Lines of
Credit.

9.1.2 Identifying impacts to key service providers or
business partners
Financial Institutions should review their arrangements and agreements with third parties
engaged for services related to mortgage or other support activities. Close coordination and
discussion of implementation plans with these vendors and business partners is critical to
ensure that the services for which they are engaged will continue to support the Financial
Institution’s business needs and comply with all regulatory and legal obligations.
Third-party relationships may need to be reviewed and adjusted to satisfy requirements for
collecting, recording, or reporting required HMDA data, updating compliance and quality
control systems and processes, and ensuring record management requirements are in place. If
the Financial Institution seeks the assistance of vendors or business partners, it is responsible
for understanding the extent of the assistance that they provide. Also, the data collection and
reporting requirements in the HMDA Rule reinforce the need to assess current integrations
between the Financial Institution’s technology platforms and those of its third-party providers
to determine what updates are necessary.
Software providers, other vendors, and business partners may offer compliance solutions that
can assist with any necessary changes. Identifying these key partners will depend on the
Financial Institution’s business model. For example, Financial Institutions may find it helpful
to coordinate and discuss potential implementation issues with their correspondents, secondary
market partners, and technology vendors. In some cases, institutions may need to negotiate
revised or new contracts with these parties, or seek a different set of services.
The Bureau expects supervised banks and nonbanks to have an effective process for managing
the risks of service provider relationships. For more information, see CFPB Bulletin 2012-03 at
http://files.consumerfinance.gov/f/201204_cfpb_bulletin_service-providers.pdf.

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9.2

Implementation and compliance
management support activities

9.2.1 Implementation and compliance management
Financial Institutions should develop implementation plans and follow change management
procedures to implement the requirements of the HMDA Rule based on an assessment of
impacts. The plans should be developed in consultation with, or reviewed by, key stakeholders
such as legal, compliance, and information technology departments. Implementation plans
should be proactively and clearly communicated to the Board of Directors and senior
management.
Policies, procedures, and process maps may need to be updated to reflect the changes made to
business processes in response to the requirements of the HMDA Rule. In addition, Financial
Institutions’ compliance management systems and other risk management supporting activities
may need to be adjusted to reflect the requirements of the HMDA Rule.
The HMDA Rule changes the way that HMDA data will be disclosed. These changes will require
Financial Institutions to provide new notices and post revised notices. They may also affect
policies and procedures. A Financial Institution may, but is not required to, use the model
notices in Attachment C. For more information on disclosure requirements, see Section 6.3 of
this guide.
The HMDA Rule’s changes regarding the collection and reporting of an applicant’s ethnicity,
race, and sex will require that Financial Institutions revise their collection forms or Application
forms. For more information on collecting ethnicity, race, and sex information, see Section 5.1
of this guide and appendix B to the HMDA Rule.
When implementing its compliance plan, a Financial Institution should note that many of the
HMDA Rule’s effective dates are applicable based on when a Financial Institution takes final
action, not when it received an Application.

9.2.2 HMDA responsibilities
A Financial Institution’s management should ensure that procedures and systems exist to collect
and maintain accurate data for each Covered Loan and Application that the Financial Institution
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is responsible for reporting. The individual(s) assigned responsibility for preparing and
maintaining the data should understand the regulatory requirements and be provided the
resources and tools needed to produce complete and accurate data. Appropriate record entries
for a Covered Loan or Application must be made on a LAR within 30 calendar days after the end
of the calendar quarter in which the final action occurs (such as origination or purchase of a
Covered Loan, or denial or withdrawal of an Application). The data must be submitted on time,
and the institution should respond promptly to any questions that may arise during the
processing of data submitted. An authorized representative of the Financial Institution with
knowledge of the data submitted must certify the accuracy and completeness of the annual data
submitted.

9.2.3 Staffing and training
To ensure that it can meet its obligations under the HMDA Rule, a Financial Institution should
evaluate current staffing levels and relevancy and adequacy of training provided to employees.
These employees likely include operations and lending-related staff such as loan officers,
processors, compliance, and quality-control staff, as well as others who approve, process, or
monitor mortgage loans. Training may also be required for other individuals that the Financial
Institution, its agents, or its business partners employ.
Execution of tasks related to the preparation of reports or records are likely performed by
compliance personnel of Financial Institutions. For some Financial Institutions, however, the
data intake and transcribing stage could involve loan officers or processors whose primary
function is to evaluate or process Applications. For example, loan officers may obtain
information from applicants and input that information into the reporting system.

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ATTACHMENT A:

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ATTACHMENT B:

Action taken chart
Scenarios

Financial Institution made a credit decision
approving an Application, including a preapproval
request, before loan closing or account opening and
that credit decision resulted in a Covered Loan being
originated. Comments 4(a)(8)(i)-1.

Reportable
Action Taken

Loan
originated

Generally, loan closing or
account opening date. If
applicable, can be: later
date of initial funds
disbursement; date
Financial Institution
acquired Covered Loan
f rom the party that initially
received the Application;
or, f or a construction-topermanent loan, date
Covered Loan converts to
permanent f inancing

Loan
purchased

Date of purchase

Financial Institution made counteroffer and applicant
accepted resulting in a Covered Loan being
originated. Comments 4(a)(8)(i)-9 and 4(a)(8)(ii)-5.

Financial Institution purchased a Covered Loan after
closing or account opening, and Financial Institution
did not make a credit decision on the Application
prior to closing or account opening. Comments
4(a)(8)(i)-2 and 4(a)(8)(ii)-6.
Financial Institution made a credit decision on an
Application prior to closing or account opening, but
repurchased the Covered Loan from another entity
to which the Financial Institution had sold it.
Comments 4(a)(8)(i)-2 and 4(a)(8)(ii)-6.

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Financial Institution made a credit decision
approving an Application before loan closing or
account opening, all conditions were satisfied,
Financial Institution agreed to extend credit, but a
Covered Loan was not originated. Comments
4(a)(8)(i)-3, 4(a)(8)(i)-13, and 4(a)(8)(ii)-4.
Financial Institution made a credit decision
approving an Application subject to conditions that
are solely customary commitment or closing
conditions, 23 and the conditions were not all met.
Comments 4(a)(8)(i)-13 and 4(a)(8)(ii)-4.
Financial Institution made a credit decision
approving an Application, subject solely to
outstanding conditions that are customary
commitment or closing conditions, but applicant
f ailed to respond or a Covered Loan was not
originated. Comments 4(a)(8)(i)-3 and 4(a)(8)(ii)-4.

Application
approved but
not accepted

Any reasonable date, such
as approval date, deadline
f or accepting offer, or date
f ile was closed

Financial Institution made a credit decision
approving an Application, all underwriting and
creditworthiness conditions 24 were met, outstanding
conditions were solely customary commitment or
closing conditions, and applicant expressly withdrew
bef ore a Covered Loan was originated. Comments
4(a)(8)(i)-13 and 4(a)(8)(ii)-4.
Covered Loan was originated, but Borrower
rescinded after closing and before Financial
Institution was required to submit its LAR containing
inf ormation for the Covered Loan. Comments
4(a)(8)(i)-10 and 4(a)(8)(ii)-4.

23 Customary commitment or closing conditions include: a clear-title requirement, an acceptable property survey, acceptable title insurance binder,
clear termite inspection, a subordination agreement from another lienholder, and, where the applicant plans to use the proceeds from the sale of one
home to purchase another, a settlement statement showing adequate proceeds from the sale. Comment 4(a)(8)(i)-13.ii.
24 Underwriting or creditworthiness conditions include: conditions that constitute a counter-offer, (such as a demand for a higher down-payment),
satisfactory debt-to-income or loan-to-value ratios, a determination of need for private mortgage insurance, a satisfactory appraisal requirement, or
verification or confirmation, in whatever form the Financial Institution requires, that the applicant meets underwriting conditions concerning
applicant creditworthiness, including documentation or verification of income or assets. Comment 4(a)(8)(i)-13.iii.

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Financial Institution denied an Application before
applicant withdrew it and before file was closed for
incompleteness. Comments 4(a)(8)(i)-4 and
4(a)(8)(ii)-2.
Financial Institution provided conditional approval
specifying underwriting or creditworthiness
conditions that were not all met. Comments
4(a)(8)(i)-13 and 4(a)(8)(ii)-2.
Financial Institution made a counteroffer to lend on
dif ferent terms than applicant’s initial request, and
applicant did not accept the counteroffer, declined to
proceed, or failed to respond. Comments 4(a)(8)(i)9 and 4(a)(8)(ii)-2.

Application
denied

Date Application is denied
or date notice sent to
applicant

Application
denied (based
on the original
terms requested
by applicant)

Date Application is denied
or date notice sent to
applicant

Financial Institution made counteroffer to lend on
terms different than applicant’s initial request,
applicant agreed to proceed with terms of
counteroffer, then Financial Institution conditionally
approves application subject to underwriting or
Application
creditworthiness conditions, and applicant expressly withdrawn
withdraws before satisfying all underwriting and
creditworthiness conditions and before the Financial
Institution denies the Application or closes the file for
incompleteness. Comment 4(a)(8)(i)-9.

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Date the express
withdrawal was received or
date shown on the
notif ication form (if written
withdrawal)

Application expressly withdrawn by applicant before
Financial Institution made a credit decision denying
or approving the Application and before file was
closed for incompleteness. Comments 4(a)(8)(i)-5
and 4(a)(8)(ii)-3.
Financial Institution provided conditional approval
specifying underwriting or creditworthiness
conditions, and the Application was expressly
withdrawn by the applicant before the applicant
satisfied all specified underwriting or
creditworthiness conditions and before the Financial
Institution denied the loan or closed the file for
incompleteness. Comments 4(a)(8)(i)-5 and
4(a)(8)(ii)-3.

Application
withdrawn

Date the express
withdrawal was received or
date shown on the
notif ication form (if written
withdrawal)

Financial Institution approved an Application, subject
to underwriting or creditworthiness conditions, sent
notice of incompleteness under Regulation B, but
File closed for
the applicant failed to respond within the specified
incompleteness
time. Comments 4(a)(8)(i)-13 and 4(a)(8)(ii)-2.
Note: A
preapproval
Applicant had not satisfied all underwriting or
request that is
creditworthiness conditions, Financial Institution sent closed for
written notice of incompleteness under Regulation B, incompleteness
and the applicant did not respond to the request for
is not reportable
additional information within the period of time
under HMDA
specified in the notice. Comments 4(a)(8)(i)-6 and
4(a)(8)(ii)-2.

Date f ile was closed or
date notice sent to
applicant

Either f ile closed
f or
incompleteness
Applicant had not satisfied all underwriting or
or application
creditworthiness conditions, Financial Institution sent denied
written notice of incompleteness under Regulation B, Note: A
the applicant did not respond, then the Financial
preapproval
Institution provided notice of adverse action on basis request that is
of incompleteness under Regulation B. Comments
closed for
4(a)(8)(i)-6 and 4(a)(8)(ii)-2.
incompleteness
is not reportable
under HMDA

Date f ile was closed,
Application was denied (as
applicable), or notice sent
to applicant

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Application was a request for a preapproval under a
Preapproval Program, the Financial Institution
approved the preapproval request, but the
Application did not result in the Financial Institution
originating a Covered Loan. Comments 4(a)(8)(i)-8
and 4(a)(8)(ii)-4.

Preapproval
request
approved but
not accepted

Any reasonable date, such
as approval date, deadline
f or accepting offer, or date
f ile was closed

Application was request for a preapproval under
Preapproval Program, and the Financial Institution
made a credit decision denying the preapproval
request. Comments 4(a)(8)(i)-7 and 4(a)(8)(ii)-2.

Preapproval
request denied

Date preapproval request
was denied or date notice
sent to applicant

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ATTACHMENT C:

Sample notices
Below is a sample notice that can be provided to members of the public upon
request to satisfy § 1003.5(b)(2) and (c). The following language is suggested, but
is not required.
Home Mortgage Disclosure Act Notice
The HMDA data about our residential mortgage lending are available online for review. The
data show geographic distribution of loans and applications; ethnicity, race, sex, age and income
of applicants and borrowers; and information about loan approvals and denials. These data are
available online at the Consumer Financial Protection Bureau’s Web site
(www.consumerfinance.gov/hmda). HMDA data for many other financial institutions are also
available at this Web site.

Below is a sample posted notice that can be used to satisfy § 1003.5(e) and inform
the public of availability of HMDA data. The following language is suggested, but is
not required.
Home Mortgage Disclosure Act Notice
The HMDA data about our residential mortgage lending are available online for review. The
data show geographic distribution of loans and applications; ethnicity, race, sex, age and income
of applicants and borrowers; and information about loan approvals and denials. HMDA data for
many other financial institutions are also available online. For more information, visit the
Consumer Financial Protection Bureau’s Web site (www.consumerfinance.gov/hmda).

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Appendix

APPENDIX C:

Instructions on Collection of
Data on Ethnicity, Race, and Sex

The following is a copy of the CFPB’s HMDA Collection and Reporting of HMDA

Points Chart

Information about Ethnicity and Race chart, a reference tool summarizing the options

H: Regulation C
I: Official Interpretations
to Regulation C

available for collection and reporting of HMDA Ethnicity and Race data.
This Chart is not a substitute for Regulation C. Regulation C and its official
interpretations (also known as the commentary) are the definitive sources of
information regarding its requirements. Regulation C and its official interpretations

J: Federal HMDA

are available in Appendix H and I of this Guide and at

Reporting Agencies

www.consumerfinance.gov/policy-compliance/rulemaking/regulations/1003/.

K: HMDA Poster

Effective January 1, 2017

Collection and Reporting of HMDA Information about
Ethnicity and Race
This chart summarizes the options available to financial institutions to collect and report HMDA
race and ethnicity information.
Current Regulation C, which implements HMDA, requires certain financial institutions to
collect and report information about the ethnicity, race, and sex of applicants for mortgages.
Regulation C, as amended by the 2015 HMDA Rule and the 2017 HMDA Rule, will generally
require financial institutions to permit applicants to self-identify using disaggregated ethnicity
and race categories* beginning January 1, 2018, but which provides a transition rule for
applicant data collected prior to January 1, 2018 where final action is taken on or after January
1, 2018. However, because Regulation B generally prohibits creditors from asking for
information about ethnicity and race unless authorized by law, including by Regulation C, the
Bureau Official Approval Notice issued on September 23, 2016 allows creditors, at their option,
at any time from January 1, 2017, through December 31, 2017, to permit applicants to selfidentify using the disaggregated ethnicity and race categories* provided in appendix B to
Regulation C, as amended by the 2015 HMDA final rule. Further, on September 20, 2017, the
Bureau issued an amendment to Regulation B (2017 Regulation B Rule) to allow creditors
flexibility concerning the collection of applicant ethnicity and race information in certain
additional specified circumstances.

Final
Application
Ethnicity and race collection and
action
year
reporting requirements
year

Regulatory references

2017

Collect aggregate and report aggregate, OR

Current Regulation C, effective January
1, 2017
(12 CFR part 1003, appendices A and
B)

2017

Collect disaggregated and report aggregate

Bureau Official Approval Notice (81 FR
66930)

Collect aggregate and report aggregate, OR

Current Regulation C, effective January
1, 2017 (12 CFR part 1003, appendices
A and B) AND
transition rule, effective January 1, 2018
(2015 HMDA Final Rule, comment
4(a)(10)(i)-2)

2017

2018

2017

2018

Collect disaggregated and report aggregate,
OR

Bureau Official Approval Notice (81 FR
66930) AND
transition rule, effective January 1, 2018
(2015 HMDA Final Rule, comment
4(a)(10)(i)-2)

2017

2018

Collect disaggregated and report
disaggregated

Bureau Official Approval Notice (81 FR
66930)

2018 and
beyond

2018
and
beyond

Collect disaggregated and report
disaggregated, AND

2015 HMDA Rule (80 FR 66127) AND
2017 HMDA Rule (82 FR 43088)

2018 and
beyond

2018
and
beyond

Report whether ethnicity, race, and sex were
collected on the basis of visual observation
or surname**

2015 HMDA Rule (80 FR 66127) AND
2017 HMDA Rule (82 FR 43088)

*Only an applicant may self-identify using the disaggregated ethnicity and race categories. When a financial institution
collects ethnicity, race, and sex on the basis of visual observation or surname for an application taken in person because the
applicant chose not to provide the information, the financial institution must select from the aggregate categories.
**Prior to the 2015 HMDA Rule, Regulation C required that the financial institution note the ethnicity, race, and sex on
the basis of visual observation if the applicant chose not to furnish the information and the application was made in
person, but the financial institution is not required to report that ethnicity, race, and sex were collected on the basis of
visual observation. Additionally, the 2017 Regulation B Rule and the 2017 HMDA Rule permit certain creditors, at their
option to voluntarily collect and report, respectively, certain ethnicity, race, and sex information about applications for
certain mortgage loans.
This chart provides an overview of the ethnicity and race collection and reporting requirements under HMDA, Regulation C, the Bureau’s
Official Approval Notice, and certain aspects of Regulation B. It does not by itself establish any binding obligations. It is intended only to act as a
reference and not as a substitute for the regulation or its official commentary. Always consult the regulation text and official commentary for a
complete understanding of the law. Version 2.0, 10/16/2017

Appendix

APPENDIX D:

Institutional Coverage Chart

The following is a copy of the CFPB’s HMDA Institutional Coverage Chart, a reference

Points Chart

tool illustrating the criteria to help determine whether an institution is covered by
Regulation C in 2021. This copy was last updated on March 22, 2021.

H: Regulation C
This Chart is not a substitute for Regulation C. Regulation C and its official
I: Official Interpretations

interpretations (also known as the commentary) are the definitive sources of

to Regulation C

information regarding its requirements. Regulation C and its official interpretations

J: Federal HMDA
Reporting Agencies
K: HMDA Poster

are available in Appendix H and I of this Guide and at
www.consumerfinance.gov/policy-compliance/rulemaking/regulations/1003/.

HMDA institutional coverage

Consumer Financial
Protection Bureau

The precise criteria for whether an institution is covered by Regulation C are codified in 12 CFR § 1003.2(g).
These criteria are illustrated by the following diagrams.

Coverage criteria | Effective July 1, 2020, through December 31, 2021¹
Is the institution a bank, credit union, or savings association?
Depository Institution
No

Yes

On the preceding December 31, did the
total assets of the institution exceed the
asset threshold2?

Is the institution a for-profit mortgagelending institution (other than a bank,
savings association, or credit union)?

On the preceding December 31, did the
institution have a home or branch office in a
Metropolitan Statistical Area (MSA)?

Did the institution either:
§ Have a home or branch office in an
MSA on the preceding December
31, or

Yes

§ Receive applications for, originate,
or purchase at least five home
purchase loans, home improvement
loans, or refinancings related to
property located in the same MSA
or Metropolitan Division (MD) in the
preceding calendar year?

In the preceding calendar year, did the
institution originate at least one home
purchase loan or refinancing of a home
purchase loan secured by a first lien on a
one- to four-unit dwelling?
Yes

Did the institution originate at least3:
§ 100 closed-end mortgage loans in each
of the two preceding calendar years; or
§ 500 open-end lines of credit in each
of the two preceding calendar years?

Did the institution originate at least :

he institution is a
T
nondepository financial
institution covered by
Regulation C

§ 100 closed-end mortgage loans in each
of the two preceding calendar years; or

Yes
he institution
T
is not covered

he institution is a
T
depository financial
institution covered by
Regulation C

Yes

§ 500 open-end lines of credit in each of
the two preceding calendar years?

Yes

Is the institution federally insured or
regulated; was the mortgage loan
referred to above insured, guaranteed,
or supplemented by a Federal agency;
or was the loan intended for sale to
Fannie Mae or Freddie Mac?
Yes

Yes

Yes
No

Nondepository Institution

he institution
T
is not covered

This chart is effective July 1, 2020, through December 31, 2021. On
January 1, 2022, the open-end line of credit threshold will adjust to 200.

Every year, the Bureau announces the size of the asset threshold in the
Federal Register. The asset threshold may change from year to year
based on changes in the average of the Consumer Price Index for
Urban Wage Earners and Clerical Workers.

Some transactions are not HMDA reportable and are excluded from
the coverage criteria. For more information, please see § 1003.3(c)
of Regulation C.

This is a compliance aid issued by the Consumer Financial Protection Bureau. The Bureau published a policy statement on compliance aids,
available at consumerfinance.gov/policy-compliance/rulemaking/final-rules/policy-statement-compliance-aids, that explains the Bureau’s
approach to compliance aids. Version 4.0, 4/16/2020

Appendix

APPENDIX E:

Transactional Coverage Chart

The following is a copy of the CFPB’s HMDA Transactional Coverage Chart, effective

Points Chart

July 1, 2020 through December 31, 2021, a reference tool illustrating one approach to
help determine whether a transaction is reportable under HMDA.

H: Regulation C
This Chart is not a substitute for Regulation C. Regulation C and its official
I: Official Interpretations

interpretations (also known as the commentary) are the definitive sources of

to Regulation C

information regarding its requirements. Regulation C and its official interpretations

J: Federal HMDA
Reporting Agencies
K: HMDA Poster

are available in Appendix H and I of this Guide and at
www.consumerfinance.gov/policy-compliance/rulemaking/regulations/1003/.

HMDA transactional coverage

Consumer Financial
Protection Bureau

Effective July 1, 2020, through December 31, 2021

Under HMDA and Regulation C, a transaction is reportable only if it is an Application for, an origination
of, or a purchase of a Covered Loan. These materials illustrate one approach to help determine whether
a transaction involves a Covered Loan. If the transaction involves a Covered Loan, it is reported only if
the institution meets the applicable loan-volume thresholds. Terms that are defined in Regulation C are
capitalized in this document for ease of reference. Click on the numbers below to view the instructions for
each step.

Does the transaction involve a Covered Loan?
1

page 2

Excluded by its purpose?
Ye s

Yes

page 4

Involve an extension of credit?
Yes

page 3

Secured by a lien on a Dwelling?

page 5

Other exclusions apply?
No

Transaction involves
a Covered Loan

Yes

Does not involve
a Covered Loan

This is a compliance aid issued by the Consumer Financial Protection Bureau. The Bureau published a policy statement on
compliance aids, available at consumerfinance.gov/policy-compliance/rulemaking/final-rules/policy-statement-compliance-aids,
that explains the Bureau’s approach to compliance aids. Version 3.0, 4/16/2020

page 1 of 6

1 Is the transaction excluded by its purpose?
Is the transaction primarily for agricultural purposes?
NOTE: Agricultural-purpose transactions include
transactions that are secured by a Dwelling that is located
on real property that is used primarily for agricultural
purposes. § 1003.3(c)(9)
No

Yes

Is the transaction otherwise made primarily for a business
or commercial purpose? § 1003.3(c)(10)
No

Yes

Is the transaction also:
§ a Home Improvement Loan? § 1003.2(i),
§ a Home Purchase Loan? § 1003.2(j),
or
§ a Refinancing? (Including cash-out Refinancing) § 1003.2(p)
Yes

Proceed to Step 2

Consumer Financial
Protection Bureau

Does not involve
a Covered Loan

back to page 1

page 2 of 6

2 Is the transaction secured by a lien on a Dwelling?¹
Is the transaction secured by a lien on a Dwelling?¹
Yes

Proceed to Step 3

Does not involve
a Covered Loan

Use the table below to help determine whether the transaction is secured by a lien on a Dwelling.
Single family structures

Multifamily structures

Mixed-use purposes

Dwelling

§ Apartment buildings
or complexes
§ Manufactured home
communities
§ Condominium buildings
or complexes
§ Cooperative buildings
or complexes

§ Mixed-use property if primary
use is residential
§ Properties for long-term
housing and related services
(such as assisted living for
senior citizens or supportive
housing for people with
disabilities)
§ Properties for long-term
housing and medical care
if primary use is residential

Not a Dwelling

§ Transitory residences
§ Hotels
§ Hospitals and properties
used to provide medical
care (such as skilled nursing,
rehabilitation, or long-term
medical care)
§ College dormitories
§ Recreational vehicle parks

§ Mixed-use property if primary
use is not residential
§ Transitory residences
§ Structures originally
designed as Dwellings
but used exclusively for
commercial purposes
§ Properties for long-term
housing and medical care if
primary use is not residential

§
§
§
§
§
§
§
§

Principal residences
Second homes
Vacation homes
Manufactured Homes or
other factory built homes
Investment properties
Individual condominium units
Detached homes
Individual cooperative units

Not a Dwelling
§
§
§
§
§
§
§
§
§

Transitory residences
Recreational vehicles
Boats
Campers
Travel trailers
Park model RVs
Floating homes
Houseboats
Mobile homes constructed
before June 15, 1976

¹ Dwelling means a residential structure, whether or not attached to real property. § 1003.2(f) and comments 2(f)-1 through -5.

Consumer Financial
Protection Bureau

back to page 1

page 3 of 6

3 Does the transaction involve an extension of credit?²
Credit granted pursuant to a new debt obligation?
Yes

Is or was the transaction:
§ an assumption? comment 2(d)-2.i
or
§ completed pursuant to a New York State consolidation,
extension, and modification agreement (CEMA)?
comment 2(d)-2.ii
Yes

Proceed to Step 4

Does not involve
a Covered Loan

² Generally under Regulation C, an extension of credit refers to the granting of credit only pursuant to a new debt obligation. If
the transaction modifies, renews, extends, or amends the terms of an existing debt obligation, but the existing debt obligation is
not satisfied and replaced, the transaction is not a new extension of credit, unless it falls within the two exceptions noted above.
§ 1003.2(d) and (o), and comments 2(d)-2 and 2(o)-2

Consumer Financial
Protection Bureau

back to page 1

page 4 of 6

4 Do other exclusions apply? § 1003.3(c)(1) through (8) and (c)(13)
Is or was the transaction:
§ originated or purchased by the Financial Institution acting in a fiduciary
capacity?
§ secured by a lien on unimproved land?
§ temporary financing?
§ the purchase of an interest in a pool of otherwise Covered Loans, such as
mortgage-participation certificates, mortgage-backed securities, or real
estate mortgage investment conduits?
§ the purchase solely of the right to service an otherwise Covered Loan?
§ a purchase as part of a merger or acquisition, or as part of the acquisition
of all of the assets and liabilities of a branch office?
§ for a total dollar amount that is less than $500?
§ a purchase of a partial interest in an otherwise Covered Loan?
§ to provide new funds in advance of a consolidation agreement completed
pursuant to a New York State CEMA where consolidation occurred in the
same year as final action on the transaction?

If NO to all
of the questions

If YES to any
of the questions

Transaction involves
a Covered Loan

Does not involve
a Covered Loan

Consumer Financial
Protection Bureau

back to page 1

page 5 of 6

 Transaction involves a Covered Loan
Regulation C provides different loan-volume reporting thresholds for transactions that involve a Covered
Loan depending on whether they involve a Closed-End Mortgage Loan or an Open-End Line of Credit. §
1003.3(c)(11) and (12). Reporting is required if a threshold is met in each of the two preceding calendar years.3
(See Institutional coverage chart effective July 1, 2020 for guidance regarding institutional coverage.)

Closed-End Mortgage Loan § 1003.2(d)

Open-End Line of Credit § 1003.2(o)

Lending activity

Originated at least 100 Closed-End
Mortgage Loans in each of the two
preceding calendar years?

Originated at least 500 Open-End Lines
of Credit in each of the two preceding
calendar years?

§ 1003.3(c)(11)

§ 1003.3(c)(12)

Yes

No
Data reporting

Required to report
all Closed-End
Mortgage Loan
Applications,
originations, and
purchases

Not required to
report ClosedEnd Mortgage
Loan Applications,
originations, and
purchases

Yes

No
Data reporting

Required to report
all Open-End Lines of
Credit Applications,
originations, and
purchases

Not required to
report Open-End
Lines of Credit
Applications,
originations, and
purchases

§ Only originated Covered Loans count toward the loan-volume thresholds. If a threshold is met, the
institution reports all Applications for Covered Loans that it receives, Covered Loans that it originates,
and Covered Loans that it purchases for that type of transaction (either Closed-End Mortgage Loan or
Open-End Line of Credit, or both, if both thresholds are met).
§ Covered consumer and business or commercial purpose originations should be counted together when
assessing the individual thresholds for Closed-End Mortgage Loans and Open-End Lines of Credit.
§ A financial institution may voluntarily report Closed-End Mortgage Loans or Open-End Lines of Credit
that are excluded because the financial institution does not meet the transactional threshold for that type
of transaction. However, if it chooses to voluntarily report Closed-End Mortgage Loans or Open-End
Lines of Credit, the financial institution must report all such transactions that would otherwise be covered
loans for that calendar year.
This chart is effective July 1, 2020 through December 31, 2021. On January 1, 2022, the Open End Line of Credit threshold will
adjust to 200. Prior to July 1, 2020, the closed-end threshold is 25.

Consumer Financial
Protection Bureau

back to page 1

page 6 of 6

Appendix

APPENDIX F:

Partial Exemptions

The following are charts that illustrate the 26 data points covered by the partial
exemptions and the 22 data points that are not covered by the partial exemptions.
This copy was last updated on March 19, 2021.

H: Regulation C
I: Official Interpretations
to Regulation C

These Charts are not a substitute for Regulation C. Regulation C and its official
interpretations (also known as the commentary) are the definitive sources of
information regarding its requirements. Regulation C and its official interpretations
are available in Appendix H and I of this Guide and at

J: Federal HMDA
Reporting Agencies
K: HMDA Poster

www.consumerfinance.gov/policy-compliance/rulemaking/regulations/1003/.

Universal Loan Identifier (ULI) (1003.4(a)(1)(i)) 1
Application Channel (1003.4(a)(33))
Loan Term (1003.4(a)(25))
Reasons for Denial (1003.4(a)(16)) 2
Property Address (1003.4(a)(9)(i))
Manufactured Home Secured Property Type (1003.4(a)(29))
Manufactured Home Land Property Interest (1003.4(a)(30))
Property Value (1003.4(a)(28))
Multifamily Affordable Units (1003.4(a)(32))
Debt-to-Income Ratio (1003.4(a)(23))
Combined Loan-to-Value Ratio (1003.4(a)(24))
Credit Score (1003.4(a)(15))
Automated Underwriting System (1003.4(a)(35))
Interest Rate (1003.4(a)(21))
Introductory Rate Period (1003.4(a)(26))
Rate Spread (1003.4(a)(12))
Non-Amortizing Features (1003.4(a)(27))
Total Loan Costs or Total Points and Fees (1003.4(a)(17))
Origination Charges (1003.4(a)(18))
Discount Points (1003.4(a)(19))
Lender Credits (1003.4(a)(20))
Prepayment Penalty Term (1003.4(a)(22))
Reverse Mortgage Flag (1003.4(a)(36))
Open-End Line of Credit Flag (1003.4(a)(37))
Business or Commercial Purpose Flag (1003.4(a)(38))
Mortgage Loan Originator Identifier (1003.4(a)(34))

If the Financial Institution chooses not to report a ULI for a Covered Loan or Application covered by a partial exemption, it

must report a non-universal loan identifier as discussed in Section 5.2 of the Small Entity Compliance Guide.
2

Financial institutions supervised by the Office of the Comptroller of the Currency are required to report reasons for denial

on their HMDA loan/application registers (HMDA LARs), even if a partial exemption applies. 12 CFR 27.3(a)(1)(i), 128.6.

Data Points Eligible Financial Institutions Must Collect and Report under the HMDA Rule for
Transactions Covered by a Partial Exemption
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•

APPENDIX G:

Appendix

Data Fields and Data Points

The following is a chart that lists data points and corresponding data fields and data
field numbers. It also indicates the data points that are covered by partial exemptions.

H: Regulation C

This copy was last updated on March 19, 2021.

I: Official Interpretations

This chart is not a substitute for Regulation C and the HMDA Filing Instructions

to Regulation C

Guide. Regulation C and its official interpretations (also known as the commentary)
are the definitive sources of information regarding its requirements. Regulation C and

J: Federal HMDA

its official interpretations are available in Appendix H and I of this Guide and at

Reporting Agencies

www.consumerfinance.gov/policy-compliance/rulemaking/regulations/1003/.

K: HMDA Poster

The Filing Instructions Guide and Supplemental Guide for Quarterly Filers are
available at ffiec.cfpb.gov.

TABLE 1: FILING INSTITUTION, REPORTING PERIOD, AND CONTACT INFORMATION
(TRANSMITTAL SHEET)
Data Field
Number

Data Field Name

Regulation C References

Record Identifier

§ 1003.5(a)(5)(a)

Financial Institution Name

§ 1003.5(a)(3)(i)

Calendar Year

§ 1003.5(a)(3)(ii)

Calendar Quarter

§ 1003.5(a)(3)(ii)

Contact Person’s Name

§ 1003.5(a)(3)(iii)

Contact Person’s Telephone
Number

§ 1003.5(a)(3)(iii)

Contact Person’s E-mail Address

§ 1003.5(a)(3)(iii)

Contact Person’s Office Street
Address

§ 1003.5(a)(3)(iii)

Contact Person’s Office City

§ 1003.5(a)(3)(iii)

Contact Person’s Office State

§ 1003.5(a)(3)(iii)

Contact Person’s Office ZIP Code

§ 1003.5(a)(3)(iii)

Federal Agency

§ 1003.5(a)(3)(iv)

13
14
15

Total Number of Entries
Contained in Submission
Federal Taxpayer Identification
Number
Legal Entity Identifier (LEI)

§ 1003.5(a)(3)(v)
§ 1003.5(a)(3)(vi)
§ 1003.5(a)(3)(vii)

TABLE 2: LOAN/APPLICATION REGISTER
Data Point
Covered by
Partial
Exemptions?

Data
Field
Number

Data Field Name

Record Identifier

Legal Entity Identifier (LEI)

Legal Entity Identifier
(LEI)

Universal Loan Identifier (ULI)
or Non-Universal Loan
Identifier (NULI)

Universal Loan Identifier
(ULI) or Non-Universal
Loan Identifier (NULI)

Application Date

§ 1003.4(a)(1)(i).
Comments 4(a)(1)(i)-1
through -6, and
appendix C
§ 1003.4(a)(1)(ii),
Comments 4(a)(1)(ii)-1
through -3

Loan Type

§ 1003.4(a)(2),
Comment 4(a)(2)-1

Loan Purpose

§ 1003.4(a)(3),
Comments 4(a)(3)-1
through -6

Loan Purpose

Preapproval

Construction Method

Occupancy Type

Loan Amount

Action Taken

Data Point Name

Regulation C
References

§ 1003.5(a)(5)(a)

Preapproval

Construction Method

Occupancy Type

Loan Amount

Action Taken

§ 1003.4(a)(1)(i)(A)

§ 1003.4(a)(4),
Comments 4(a)(4)-1
and -2
§ 1003.4(a)(5),
Comments 4(a)(5)-1
through -3
§ 1003.4(a)(6),
Comments 4(a)(6)-1
through -5
§ 1003.4(a)(7),
Comments 4(a)(7)-1
through -9
§ 1003.4(a)(8)(i),
Comments 4(a)(8)(i)-1
through -14

Yes

Data
Field
Number

Data Field Name

Action Taken Date

Street Address

City

State1

ZIP Code

County

Census Tract

Ethnicity of Applicant or
Borrower: 1

Data Point Name

Action Taken Date

Property Address

Property Location &
Property Address

Property Address

Property Location

Ethnicity

Regulation C
References
§ 1003.4(a)(8)(ii),
Comments 4(a)(8)(ii)-1
through -6
§ 1003.4(a)(9)(i),
Comments 4(a)(9)-1
through -5 and
4(a)(9)(i)-1 through -3
§ 1003.4(a)(9)(i),
Comments 4(a)(9)-1
through -5 and
4(a)(9)(i)-1 through -3
§ 1003.4(a)(9)(i)-(ii),
Comments 4(a)(9)-1
through -5 and
4(a)(9)(i)-1 through -3
§ 1003.4(a)(9)(i),
Comments 4(a)(9)-1
through -5 and
4(a)(9)(i)-1 through -3
§ 1003.4(a)(9)(ii),
Comments 4(a)(9)-1
through -5 and
4(a)(9)(i)-1 through -3
§ 1003.4(a)(9)(ii),
Comments 4(a)(9)-1
through -5 and
4(a)(9)(i)-1 through -3
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B

Data Point
Covered by
Partial
Exemptions?
No

Yes

Reporting of the State data field is subject to the requirements of both Property Address, provided in 1003.4(a)(9)(i)
and covered by the partial exemptions, and Property Location, provided in 1003.4(a)(9)(ii) and not covered by the
partial exemptions.

Data
Field
Number

Data Field Name

Ethnicity of Applicant or
Borrower: 2

Ethnicity of Applicant or
Borrower: 3

Ethnicity of Applicant or
Borrower: 4

Ethnicity of Applicant or
Borrower: 5

Ethnicity of Applicant or
Borrower: Free Form Text
Field for Other Hispanic or
Latino

Ethnicity of Co-Applicant or
Co-Borrower: 1

Ethnicity of Co-Applicant or
Co-Borrower: 2

Ethnicity of Co-Applicant or
Co-Borrower: 3

Ethnicity of Co-Applicant or
Co-Borrower: 4

Data Point Name

Ethnicity

Regulation C
References
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B

Data Point
Covered by
Partial
Exemptions?

Data
Field
Number

Data Field Name

Ethnicity of Co-Applicant or
Co-Borrower: 5

Ethnicity of Co-Applicant or
Co-Borrower: Free Form Text
Field for Other Hispanic or
Latino

Ethnicity of Applicant or
Borrower Collected on the
Basis of Visual Observation
or Surname

Ethnicity of Co-Applicant or
Co-Borrower Collected on the
Basis of Visual Observation
or Surname

Race of Applicant or
Borrower: 1

Race of Applicant or
Borrower: 2

Race of Applicant or
Borrower: 3

Race of Applicant or
Borrower: 4

Race of Applicant or
Borrower: 5

Data Point Name

Ethnicity

Race

Regulation C
References
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B

Data Point
Covered by
Partial
Exemptions?
No

§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B

§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B
§ 1003.4(a)(10)(i),
Comments 4(a)(10)(i)1 and -2 and appendix
B

Data
Field
Number

Data Field Name

Race of Applicant or
Borrower: Free Form Text
Field for American Indian or
Alaska Native Enrolled or
Principal Tribe

Race of Applicant or
Borrower: Free Form Text
Field for Other Asian

Race of Applicant or
Borrower: Free Form Text
Field for Other Pacific
Islander

Race of Co-Applicant or CoBorrower: 1

Race of Co-Applicant or CoBorrower: 2

Race of Co-Applicant or CoBorrower: 3

Race of Co-Applicant or CoBorrower: 4

Race of Co-Applicant or CoBorrower: 5

Race of Co-Applicant or CoBorrower: Free Form Text
Field for American Indian or
Alaska Native Enrolled or
Principal Tribe

Data Point Name

Race

Data Point
Covered by
Partial
Exemptions?

Data
Field
Number

Data Field Name

Race of Co-Applicant or CoBorrower: Free Form Text
Field for Other Asian

Race of Co-Applicant or CoBorrower: Free Form Text
Field for Other Pacific
Islander

Race of Applicant or
Borrower Collected on the
Basis of Visual Observation
or Surname

Race of Co-Applicant or CoBorrower Collected on the
Basis of Visual Observation
or Surname

Sex of Applicant or Borrower

Sex of Co-Applicant or CoBorrower

Sex of Applicant or Borrower
Collected on the Basis of
Visual Observation or
Surname

Sex of Co-Applicant or CoBorrower Collected on the
Basis of Visual Observation
or Surname

Age of Applicant or Borrower

Data Point Name

Race

Sex

Age

Data Point
Covered by
Partial
Exemptions?

Data
Field
Number

Data Field Name

Age of Co-Applicant or CoBorrower

Income

Type of Purchaser

Data Point Name

Age

Income

Type of Purchaser

Rate Spread

HOEPA Status

Lien Status

Credit Score of Applicant or
Borrower

Credit Score of Co-Applicant
or Co-Borrower

Applicant or Borrower, Name
and Version of Credit Scoring
Model

Applicant or Borrower, Name
and Version of Credit Scoring
Model: Conditional Free Form
Text Field for Code 8

Co-Applicant or Co-Borrower,
Name and Version of Credit
Scoring Model

Lien Status

Credit Score

Regulation C
References
§ 1003.4(a)(10)(ii),
Comments 4(a)(10)(ii)1 through -5
§ 1003.4(a)(10)(iii),
Comments
4(a)(10)(iii)-1 through 10
§ 1003.4(a)(11),
Comments 4(a)(11)-1
through -10
§ 1003.4(a)(12),
Comments 4(a)(12)-1
through -9
§ 1003.4(a)(13),
Comment 4(a)(13)-1
§ 1003.4(a)(14),
Comments
4(a)(14)-1 and -2
§ 1003.4(a)(15),
Comments 4(a)(15)-1
through -7
§ 1003.4(a)(15),
Comments 4(a)(15)-1
through -7
§ 1003.4(a)(15),
Comments 4(a)(15)-1
through -7
§ 1003.4(a)(15),
Comments 4(a)(15)-1
through -7
§ 1003.4(a)(15),
Comments 4(a)(15)-1
through -7

Data Point
Covered by
Partial
Exemptions?
No

Yes

Data
Field
Number

Data Field Name

Co-Applicant or Co-Borrower,
Name and Version of Credit
Scoring Model: Conditional
Free Form Text Field for
Code 8

Reason for Denial: 1

Reason for Denial: 2

Reason for Denial: 3

Data Point Name

Credit Score

Reason for Denial

§ 1003.4(a)(15),
Comments 4(a)(15)-1
through -7

§ 1003.4(a)(16),
Comments 4(a)(16)-1
through -4
§ 1003.4(a)(16),
Comments 4(a)(16)-1
through -4
§ 1003.4(a)(16),
Comments 4(a)(16)-1
through -4
§ 1003.4(a)(16),
Comments 4(a)(16)-1
through -4

Reason for Denial: 4

Reason for Denial:
Conditional Free Form Text
Field for Code 9

Reason for Denial

Total Loan Costs

Total Loan Costs or Total
Points and Fees

§ 1003.4(a)(17),
Comments 4(a)(17)(i)1 through -3

Total Points and Fees

Total Loan Costs or Total
Points and Fees

§ 1003.4(a)(17),
Comments 4(a)(17)(ii)1 through -2

Origination Charges

2Financial

Reason for Denial

Regulation C
References

Origination Charges

§ 1003.4(a)(16),
Comments 4(a)(16)-1
through -4

§ 1003.4(a)(18),
Comments
4(a)(18)-1 through -3

Data Point
Covered by
Partial
Exemptions?

Yes

Yes2

Yes

institutions supervised by the Office of the Comptroller of the Currency are required to report reasons for
denial on their HMDA loan/application registers (HMDA LARs), even if a partial exemption applies.
12 CFR 27.3(a)(1)(i), 128.6.

Data
Field
Number

Data Field Name

Discount Points

Lender Credits

Interest Rate

Prepayment Penalty Term

Data Point Name

Discount Points

Lender Credits

Interest Rate

Prepayment Penalty Term

Debt-to-Income Ratio

Combined Loan-to-Value
Ratio

Loan Term

Regulation C
References
§ 1003.4(a)(19),
Comments 4(a)(19)-1
through -3
§ 1003.4(a)(20),
Comments 4(a)(20)-1
through -3
§ 1003.4(a)(21),
Comments 4(a)(21)-1
through -3
§ 1003.4(a)(22),
Comments 4(a)(22)-1
through -2
§ 1003.4(a)(23),
Comments 4(a)(23)-1
through -7
§ 1003.4(a)(24),
Comments 4(a)(24)-1
through -6
§ 1003.4(a)(25),
Comments 4(a)(25)-1
through -5
§ 1003.4(a)(26),
Comments 4(a)(26)-1
through -5

Data Point
Covered by
Partial
Exemptions?
Yes

Yes

Introductory Rate Period

Yes

Balloon Payment

Non-Amortizing Features

§ 1003.4(a)(27)(i),
Comment 4(a)(27)-1

Yes

Interest-Only Payments

Non-Amortizing Features

§ 1003.4(a)(27)(ii),
Comment 4(a)(27)-1

Yes

Negative Amortization

Non-Amortizing Features

§ 1003.4(a)(27)(iii),
Comment 4(a)(27)-1

Yes

Other Non-amortizing
Features

Non-Amortizing Features

§ 1003.4(a)(27)(iv),
Comment 4(a)(27)-1

Yes

Data
Field
Number

Data Field Name

Data Point Name

Regulation C
References
§ 1003.4(a)(28),
Comments 4(a)(28)-1
through -4

Property Value

Manufactured Home Secured
Property Type

Manufactured Home
Secured Property Type

§ 1003.4(a)(29),
Comments 4(a)(29)-1
through -4

Manufactured Home Land
Property Interest

§ 1003.4(a)(30),
Comments 4(a)(30)-1
through -6

Total Units

Multifamily Affordable Units

Total Units

Multifamily Affordable Units

Application Channel

§ 1003.4(a)(31),
Comments 4(a)(31)-1
through -4
§ 1003.4(a)(32),
Comments 4(a)(32)-1
through -6
§ 1003.4(a)(33)(i),
Comments 4(a)(33)-1,
4(a)(33)(i)-1,

Submission of Application

Initially Payable to Your
Institution

Application Channel

Mortgage Loan Originator
NMLSR Identifier

§ 1003.4(a)(34),
Comments 4(a)(34)-1
through -4

Automated Underwriting
System: 1

Automated Underwriting
System

§ 1003.4(a)(35),
Comments 4(a)(35)-1
through -7

Automated Underwriting
System: 2

Automated Underwriting
System

§ 1003.4(a)(35),
Comments 4(a)(35)-1
through -7

Automated Underwriting
System: 3

Automated Underwriting
System

§ 1003.4(a)(35),
Comments 4(a)(35)-1
through -7

§ 1003.4(a)(33)(ii),
Comments 4(a)(33)(ii)1 through -2

Data Point
Covered by
Partial
Exemptions?
Yes

Yes

Data Point
Covered by
Partial
Exemptions?

Data
Field
Number

Data Field Name

Data Point Name

Automated Underwriting
System: 4

Automated Underwriting
System

§ 1003.4(a)(35),
Comments 4(a)(35)-1
through -7

100

Automated Underwriting
System: 5

Automated Underwriting
System

§ 1003.4(a)(35),
Comments 4(a)(35)-1
through -7

101

Automated Underwriting
System: Conditional Free
Form Text Field for Code 5

Automated Underwriting
System

§ 1003.4(a)(35),
Comments 4(a)(35)-1
through -7

102

Automated Underwriting
System Result: 1

Automated Underwriting
System

§ 1003.4(a)(35),
Comments 4(a)(35)-1
through -7

103

Automated Underwriting
System Result: 2

Automated Underwriting
System

§ 1003.4(a)(35),
Comments 4(a)(35)-1
through -7

104

Automated Underwriting
System Result: 3

Automated Underwriting
System

§ 1003.4(a)(35),
Comments 4(a)(35)-1
through -7

105

Automated Underwriting
System Result: 4

Automated Underwriting
System

§ 1003.4(a)(35),
Comments 4(a)(35)-1
through -7

106

Automated Underwriting
System Result: 5

Automated Underwriting
System

§ 1003.4(a)(35),
Comments 4(a)(35)-1
through -7

107

Automated Underwriting
System Result: Conditional
Free Form Text Field for
Code 16

Automated Underwriting
System

§ 1003.4(a)(35),
Comments 4(a)(35)-1
through -7

108

Reverse Mortgage

§ 1003.4(a)(36)

Yes

109

Open-End Line of Credit

§ 1003.4(a)(37),
Comment 4(a)(37)-1

Yes

110

Business or Commercial
Purpose

§ 1003.4(a)(38),
Comment 4(a)(38)-1

Yes

Regulation C
References

Yes

This chart is intended to be used as a reference tool for data required to be collected, recorded, and

reported under Regulation C, as amended by the 2015 HMDA Rule, 2017 HMDA Rule, and the 2018 Act
that was further clarified by the 2019 HMDA Rule. It includes the data field numbers and data field
names that are provided in the HMDA Filing Instructions Guide. The HMDA Filing Instructions can be
found at https://ffiec.cfpb.gov

Appendix

APPENDIX H:

Regulation C

The following is a copy of Regulation C. This copy is current as of March 19, 2021.

Fields Chart

This appendix is a compilation of material and not an official legal edition of the Code
of Federal Regulations or the Federal Register. We have made every effort to ensure
the material presented in this tool is accurate, but if you are relying on it for legal
research you should consult the official editions of those sources to confirm your
findings.

H: Regulation C
I: Official Interpretations
to Regulation C
J: Federal HMDA
Reporting Agencies
K: HMDA Poster

Regulation C
§ 1003.1 AUTHORITY, PURPOSE, AND SCOPE.
(a) Authority. This part, known as Regulation C, is issued by the Bureau of Consumer Financial
Protection (Bureau) pursuant to the Home Mortgage Disclosure Act (HMDA) (12 U.S.C. 2801 et
seq.,) as amended. The information-collection requirements have been approved by the U.S.
Office of Management and Budget (OMB) under 44 U.S.C. 3501 et seq. and have been
assigned OMB numbers for institutions reporting data to the Office of the Comptroller of the
Currency (1557-0159), the Federal Deposit Insurance Corporation (3064-0046), the Federal
Reserve System (7100-0247), the Department of Housing and Urban Development (HUD)
(2502-0529), the National Credit Union Administration (3133-0166), and the Bureau of
Consumer Financial Protection (3170-0008).
(b) Purpose.
(1) This part implements the Home Mortgage Disclosure Act, which is intended to provide the
public with loan data that can be used:
(i) To help determine whether financial institutions are serving the housing needs of their
communities;
(ii) To assist public officials in distributing public-sector investment so as to attract private
investment to areas where it is needed; and
(iii) To assist in identifying possible discriminatory lending patterns and enforcing
antidiscrimination statutes.
(2) Neither the act nor this part is intended to encourage unsound lending practices or the
allocation of credit.
(c) Scope. This part applies to financial institutions as defined in §1003.2(g). This part requires
a financial institution to submit data to the appropriate Federal agency for the financial institution
as defined in §1003.5(a)(4), and to disclose certain data to the public, about covered loans for
which the financial institution receives applications, or that it originates or purchases, and that
are secured by a dwelling located in a State of the United States of America, the District of
Columbia, or the Commonwealth of Puerto Rico.
§ 1003.2 DEFINITIONS
In this part:

H-1

(a) Act means the Home Mortgage Disclosure Act (HMDA) (12 U.S.C. 2801 et seq.), as
amended.
(b) Application—
(1) In general. Application means an oral or written request for a covered loan that is made in
accordance with procedures used by a financial institution for the type of credit requested.
(2) Preapproval programs. A request for preapproval for a home purchase loan, other than a
home purchase loan that will be an open-end line of credit, a reverse mortgage, or secured by a
multifamily dwelling, is an application under this section if the request is reviewed under a
program in which the financial institution, after a comprehensive analysis of the creditworthiness
of the applicant, issues a written commitment to the applicant valid for a designated period of
time to extend a home purchase loan up to a specified amount. The written commitment may
not be subject to conditions other than:
(i) Conditions that require the identification of a suitable property;
(ii) Conditions that require that no material change has occurred in the applicant's financial
condition or creditworthiness prior to closing; and
(iii) Limited conditions that are not related to the financial condition or creditworthiness of the
applicant that the financial institution ordinarily attaches to a traditional home mortgage
application.
(c) Branch office means:
(1) Any office of a bank, savings association, or credit union that is considered a branch by the
Federal or State supervisory agency applicable to that institution, excluding automated teller
machines and other free-standing electronic terminals; and
(2) Any office of a for-profit mortgage-lending institution (other than a bank, savings association,
or credit union) that takes applications from the public for covered loans. A for-profit mortgagelending institution (other than a bank, savings association, or credit union) is also deemed to
have a branch office in an MSA or in an MD, if, in the preceding calendar year, it received
applications for, originated, or purchased five or more covered loans related to property located
in that MSA or MD, respectively.
(d) Closed-end mortgage loan means an extension of credit that is secured by a lien on a
dwelling and that is not an open-end line of credit under paragraph (o) of this section.
(e) Covered loan means a closed-end mortgage loan or an open-end line of credit that is not an
excluded transaction under §1003.3(c).

H-2

(f) Dwelling means a residential structure, whether or not attached to real property. The term
includes but is not limited to a detached home, an individual condominium or cooperative unit, a
manufactured home or other factory-built home, or a multifamily residential structure or
community.
(g) Financial institution means a depository financial institution or a nondepository financial
institution, where:
(1) Depository financial institution means a bank, savings association, or credit union that:
(i) On the preceding December 31 had assets in excess of the asset threshold established
and published annually by the Bureau for coverage by the Act, based on the year-to-year
change in the average of the Consumer Price Index for Urban Wage Earners and Clerical
Workers, not seasonally adjusted, for each twelve month period ending in November, with
rounding to the nearest million;
(ii) On the preceding December 31, had a home or branch office in an MSA;
(iii) In the preceding calendar year, originated at least one home purchase loan or
refinancing of a home purchase loan, secured by a first lien on a one- to four-unit dwelling;
(iv) Meets one or more of the following two criteria:
(A) The institution is federally insured or regulated; or
(B) Any loan referred to in paragraph (g)(1)(iii) of this section was insured, guaranteed, or
supplemented by a Federal agency, or was intended by the institution for sale to the
Federal National Mortgage Association or the Federal Home Loan Mortgage Corporation;
and
(v) Meets at least one of the following criteria:
(A) In each of the two preceding calendar years, originated at least 100 closed-end
mortgage loans that are not excluded from this part pursuant to §1003.3(c)(1) through (10)
or (13); or
(B) In each of the two preceding calendar years, originated at least 500 open-end lines of
credit that are not excluded from this part pursuant to §1003.3(c)(1) through (10); and
(2) Nondepository financial institution means a for-profit mortgage-lending institution (other than
a bank, savings association, or credit union) that:
(i) On the preceding December 31, had a home or branch office in an MSA; and
(ii) Meets at least one of the following criteria:
H-3

(A) In each of the two preceding calendar years, originated at least 100 closed-end
mortgage loans that are not excluded from this part pursuant to §1003.3(c)(1) through (10)
or (13); or
(B) In each of the two preceding calendar years, originated at least 500 open-end lines of
credit that are not excluded from this part pursuant to §1003.3(c)(1) through (10).
(h) [Reserved]
(i) Home improvement loan means a closed-end mortgage loan or an open-end line of credit
that is for the purpose, in whole or in part, of repairing, rehabilitating, remodeling, or improving a
dwelling or the real property on which the dwelling is located.
(j) Home purchase loan means a closed-end mortgage loan or an open-end line of credit that
is for the purpose, in whole or in part, of purchasing a dwelling.
(k) Loan/Application Register means both the record of information required to be collected
pursuant to §1003.4 and the record submitted annually or quarterly, as applicable, pursuant to
§1003.5(a).
(l) Manufactured home means any residential structure as defined under regulations of the
U.S. Department of Housing and Urban Development establishing manufactured home
construction and safety standards (24 CFR 3280.2). For purposes of §1003.4(a)(5), the term
also includes a multifamily dwelling that is a manufactured home community.
(m) Metropolitan Statistical Area (MSA) and Metropolitan Division (MD).
(1) Metropolitan Statistical Area or MSA means a Metropolitan Statistical Area as defined by the
U.S. Office of Management and Budget.
(2) Metropolitan Division (MD) means a Metropolitan Division of an MSA, as defined by the U.S.
Office of Management and Budget.
(n) Multifamily dwelling means a dwelling, regardless of construction method, that contains
five or more individual dwelling units.
(o) Open-end line of credit means an extension of credit that:
(1) Is secured by a lien on a dwelling; and
(2) Is an open-end credit plan as defined in Regulation Z, 12 CFR 1026.2(a)(20), but without
regard to whether the credit is consumer credit, as defined in §1026.2(a)(12), is extended by a
creditor, as defined in §1026.2(a)(17), or is extended to a consumer, as defined in
§1026.2(a)(11).

H-4

(p) Refinancing means a closed-end mortgage loan or an open-end line of credit in which a
new, dwelling-secured debt obligation satisfies and replaces an existing, dwelling-secured debt
obligation by the same borrower.
(q) Reverse mortgage means a closed-end mortgage loan or an open-end line of credit that is
a reverse mortgage transaction as defined in Regulation Z, 12 CFR 1026.33(a), but without
regard to whether the security interest is created in a principal dwelling.

H-5

§ 1003.3 EXEMPT INSTITUTIONS AND EXCLUDED AND PARTIALLY EXEMPT TRANSACTIONS.
(a) Exemption based on state law.
(1) A state-chartered or state-licensed financial institution is exempt from the requirements of
this part if the Bureau determines that the institution is subject to a state disclosure law that
contains requirements substantially similar to those imposed by this part and that contains
adequate provisions for enforcement.
(2) Any state, state-chartered or state-licensed financial institution, or association of such
institutions, may apply to the Bureau for an exemption under paragraph (a) of this section.
(3) An institution that is exempt under paragraph (a) of this section shall use the disclosure form
required by its state law and shall submit the data required by that law to its state supervisory
agency for purposes of aggregation.
(b) Loss of exemption. An institution losing a state-law exemption under paragraph (a) of this
section shall comply with this part beginning with the calendar year following the year for which
it last reported loan data under the state disclosure law.
(c) Excluded transactions. The requirements of this part do not apply to:
(1) A closed-end mortgage loan or open-end line of credit originated or purchased by a financial
institution acting in a fiduciary capacity;
(2) A closed-end mortgage loan or open-end line of credit secured by a lien on unimproved land;
(3) Temporary financing;
(4) The purchase of an interest in a pool of closed-end mortgage loans or open-end lines of
credit;
(5) The purchase solely of the right to service closed-end mortgage loans or open-end lines of
credit;
(6) The purchase of closed-end mortgage loans or open-end lines of credit as part of a merger
or acquisition, or as part of the acquisition of all of the assets and liabilities of a branch office as
defined in §1003.2(c);
(7) A closed-end mortgage loan or open-end line of credit, or an application for a closed-end
mortgage loan or open-end line of credit, for which the total dollar amount is less than $500;
(8) The purchase of a partial interest in a closed-end mortgage loan or open-end line of credit;
H-6

(9) A closed-end mortgage loan or open-end line of credit used primarily for agricultural
purposes;
(10) A closed-end mortgage loan or open-end line of credit that is or will be made primarily for a
business or commercial purpose, unless the closed-end mortgage loan or open-end line of
credit is a home improvement loan under §1003.2(i), a home purchase loan under §1003.2(j), or
a refinancing under §1003.2(p);
(11) A closed-end mortgage loan, if the financial institution originated fewer than 100 closed-end
mortgage loans in either of the two preceding calendar years; a financial institution (including,
for purposes of information collected in 2020, an institution that was a financial institution as of
January 1, 2020) may collect, record, report, and disclose information, as described in §§1003.4
and 1003.5, for such an excluded closed-end mortgage loan as though it were a covered loan,
provided that the financial institution complies with such requirements for all applications for
closed-end mortgage loans that it receives, closed-end mortgage loans that it originates, and
closed-end mortgage loans that it purchases that otherwise would have been covered loans
during the calendar year during which final action is taken on the excluded closed-end mortgage
loan;
(12) An open-end line of credit, if the financial institution originated fewer than 500 open-end
lines of credit in either of the two preceding calendar years; a financial institution may collect,
record, report, and disclose information, as described in §§1003.4 and 1003.5, for such an
excluded open-end line of credit as though it were a covered loan, provided that the financial
institution complies with such requirements for all applications for open-end lines of credit that it
receives, open-end lines of credit that it originates, and open-end lines of credit that it purchases
that otherwise would have been covered loans during the calendar year during which final
action is taken on the excluded open-end line of credit; or
(13) A transaction that provided or, in the case of an application, proposed to provide new funds
to the applicant or borrower in advance of being consolidated in a New York State consolidation,
extension, and modification agreement classified as a supplemental mortgage under New York
Tax Law section 255; the transaction is excluded only if final action on the consolidation was
taken in the same calendar year as final action on the new funds transaction.
(d) Partially exempt transactions. (1) For purposes of this paragraph (d), the following
definitions apply:
(i) Insured credit union means an insured credit union as defined in section 101 of the Federal
Credit Union Act (12 U.S.C. 1752).
(ii) Insured depository institution means an insured depository institution as defined in section 3
of the Federal Deposit Insurance Act (12 U.S.C. 1813).
(iii) Optional data means the data identified in § 1003.4(a)(1)(i), (a)(9)(i), and (a)(12), (15)
through (30), and (32) through (38).
H-7

(iv) Partially exempt transaction means a covered loan or application that is partially exempt
under paragraph (d)(2) or (3) of this section.
(2) Except as provided in paragraph (d)(6) of this section, an insured depository institution or
insured credit union that, in each of the two preceding calendar years, originated fewer than 500
closed-end mortgage loans that are not excluded from this part pursuant to paragraphs (c)(1)
through (10) or paragraph (c)(13) of this section is not required to collect, record, or report
optional data as defined in paragraph (d)(1)(iii) of this section for applications for closed-end
mortgage loans that it receives, closed-end mortgage loans that it originates, and closed-end
mortgage loans that it purchases.
(3) Except as provided in paragraph (d)(6) of this section, an insured depository institution or
insured credit union that, in each of the two preceding calendar years, originated fewer than 500
open-end lines of credit that are not excluded from this part pursuant to paragraphs (c)(1)
through (10) of this section is not required to collect, record, or report optional data as defined in
paragraph (d)(1)(iii) of this section for applications for open-end lines of credit that it receives,
open-end lines of credit that it originates, and open-end lines of credit that it purchases.
(4) A financial institution eligible for a partial exemption under paragraph (d)(2) or (3) of this
section may collect, record, and report optional data as defined in paragraph (d)(1)(iii) of this
section for a partially exempt transaction as though the institution were required to do so,
provided that:
(i) If the institution reports the street address, city name, or Zip Code for the property securing a
covered loan, or in the case of an application, proposed to secure a covered loan pursuant to
§ 1003.4(a)(9)(i), it reports all data that would be required by § 1003.4(a)(9)(i) if the transaction
were not partially exempt;
(ii) If the institution reports any data for the transaction pursuant to § 1003.4(a)(15), (16), (17),
(27), (33), or (35), it reports all data that would be required by § 1003.4(a)(15), (16), (17), (27),
(33), or (35), respectively, if the transaction were not partially exempt.
(5) If, pursuant to paragraph (d)(2) or (3) of this section, a financial institution does not report a
universal loan identifier (ULI) pursuant to § 1003.4(a)(1)(i) for an application for a covered loan
that it receives, a covered loan that it originates, or a covered loan that it purchases, the
financial institution shall assign and report a non-universal loan identifier (NULI). The NULI
must be composed of up to 22 characters to identify the covered loan or application, which:
(i) May be letters, numerals, or a combination of letters and numerals;
(ii) Must be unique within the annual loan/application register in which the covered loan or
application is included; and
(iii) Must not include any information that could be used to directly identify the applicant or
borrower.
(6) Paragraphs (d)(2) and (3) of this section do not apply to an insured depository institution
that, as of the preceding December 31, had received a rating of “needs to improve record of
meeting community credit needs” during each of its two most recent examinations or a rating of
H-8

“substantial noncompliance in meeting community credit needs” on its most recent examination
under section 807(b)(2) of the Community Reinvestment Act of 1977 (12 U.S.C. 2906(b)(2)).
§ 1003.4 COMPILATION OF REPORTABLE DATA.
(a) Data format and itemization. A financial institution shall collect data regarding applications
for covered loans that it receives, covered loans that it originates, and covered loans that it
purchases for each calendar year. A financial institution shall collect data regarding requests
under a preapproval program, as defined in §1003.2(b)(2), only if the preapproval request is
denied, is approved by the financial institution but not accepted by the applicant, or results in the
origination of a home purchase loan. Except as provided in § 1003.3(d), the data collected shall
include the following items:
(1)
(i) A universal loan identifier (ULI) or, for a partially exempt transaction under § 1003.3(d),
either a ULI or a non-universal loan identifier (NULI) as described in § 1003.3(d)(5) for the
covered loan application that can be used to identify and retrieve the covered loan or
application file. Except for a purchased covered loan or application described in paragraphs
(a)(1)(i)(D) and (E) of this section or a partially exempt transaction for which a NULI is
assigned and reported under § 1003.3(d), the financial institution shall assign and report a
ULI that:
(A) Begins with the financial institution's Legal Entity Identifier (LEI) that is issued by:
(1) A utility endorsed by the LEI Regulatory Oversight Committee; or
(2) A utility endorsed or otherwise governed by the Global LEI Foundation (GLEIF) (or
any successor of the GLEIF) after the GLEIF assumes operational governance of the
global LEI system.
(B) Follows the LEI with up to 23 additional characters to identify the covered loan or
application, which:
(1) May be letters, numerals, or a combination of letters and numerals;
(2) Must be unique within the financial institution; and
(3) Must not include any information that could be used to directly identify the applicant
or borrower; and
(C) Ends with a two-character check digit, as prescribed in appendix C to this part.

H-9

(D) For a purchased covered loan that any financial institution has previously assigned or
reported with a ULI under this part, the financial institution that purchases the covered loan
must use the ULI that was assigned or previously reported for the covered loan.
(E) For an application that was previously reported with a ULI under this part and that
results in an origination during the same calendar year that is reported in a subsequent
reporting period pursuant to §1003.5(a)(1)(ii), the financial institution may report the same
ULI for the origination that was previously reported for the application.
(ii) Except for purchased covered loans, the date the application was received or the date
shown on the application form.
(2) Whether the covered loan is, or in the case of an application would have been, insured by
the Federal Housing Administration, guaranteed by the Department of Veterans Affairs, or
guaranteed by the Rural Housing Service or the Farm Service Agency.
(3) Whether the covered loan is, or the application is for, a home purchase loan, a home
improvement loan, a refinancing, a cash-out refinancing, or for a purpose other than home
purchase, home improvement, refinancing, or cash-out refinancing.
(4) Whether the application or covered loan involved a request for a preapproval of a home
purchase loan under a preapproval program.
(5) Whether the construction method for the dwelling related to the property identified in
paragraph (a)(9) of this section is site-built or a manufactured home.
(6) Whether the property identified in paragraph (a)(9) of this section is or will be used by the
applicant or borrower as a principal residence, as a second residence, or as an investment
property.
(7) The amount of the covered loan or the amount applied for, as applicable.
(i) For a closed-end mortgage loan, other than a purchased loan, an assumption, or a
reverse mortgage, the amount to be repaid as disclosed on the legal obligation. For a
purchased closed-end mortgage loan or an assumption of a closed-end mortgage loan, the
unpaid principal balance at the time of purchase or assumption.
(ii) For an open-end line of credit, other than a reverse mortgage open-end line of credit, the
amount of credit available to the borrower under the terms of the plan.
(iii) For a reverse mortgage, the initial principal limit, as determined pursuant to section 255
of the National Housing Act (12 U.S.C. 1715z-20) and implementing regulations and
mortgagee letters issued by the U.S. Department of Housing and Urban Development.
(8) The following information about the financial institution's action:
H-10

(i) The action taken by the financial institution, recorded as one of the following:
(A) Whether a covered loan was originated or purchased;
(B) Whether an application for a covered loan that did not result in the origination of a
covered loan was approved but not accepted, denied, withdrawn by the applicant, or
closed for incompleteness; and
(C) Whether a preapproval request that did not result in the origination of a home
purchase loan was denied or approved but not accepted.
(ii) The date of the action taken by the financial institution.
(9) The following information about the location of the property securing the covered loan or, in
the case of an application, proposed to secure the covered loan:
(i) The property address; and
(ii) If the property is located in an MSA or MD in which the financial institution has a home or
branch office, or if the institution is subject to paragraph (e) of this section, the location of the
property by:
(A) State;
(B) County; and
(C) Census tract if the property is located in a county with a population of more than
30,000 according to the most recent decennial census conducted by the U.S. Census
Bureau.
(10) The following information about the applicant or borrower:
(i) Ethnicity, race, and sex, and whether this information was collected on the basis of visual
observation or surname;
(ii) Age; and
(iii) Except for covered loans or applications for which the credit decision did not consider or
would not have considered income, the gross annual income relied on in making the credit
decision or, if a credit decision was not made, the gross annual income relied on in
processing the application.
(11) The type of entity purchasing a covered loan that the financial institution originates or
purchases and then sells within the same calendar year.
(12)
H-11

(i) For covered loans and applications that are approved but not accepted, and that are
subject to Regulation Z, 12 CFR part 1026, other than assumptions, purchased covered
loans, and reverse mortgages, the difference between the covered loan's annual percentage
rate and the average prime offer rate for a comparable transaction as of the date the interest
rate is set.
(ii) “Average prime offer rate” means an annual percentage rate that is derived from average
interest rates and other loan pricing terms currently offered to consumers by a set of
creditors for mortgage loans that have low-risk pricing characteristics. The Bureau publishes
tables of average prime offer rates by transaction type at least weekly and also publishes
the methodology it uses to derive these rates.
(13) For covered loans subject to the Home Ownership and Equity Protection Act of 1994, as
implemented in Regulation Z, 12 CFR 1026.32, whether the covered loan is a high-cost
mortgage under Regulation Z, 12 CFR 1026.32(a).
(14) The lien status (first or subordinate lien) of the property identified under paragraph (a)(9) of
this section.
(15)
(i) Except for purchased covered loans, the credit score or scores relied on in making the
credit decision and the name and version of the scoring model used to generate each credit
score.
(ii) For purposes of this paragraph (a)(15), “credit score” has the meaning set forth in 15
U.S.C. 1681g(f)(2)(A).
(16) The principal reason or reasons the financial institution denied the application, if applicable.
(17) For covered loans subject to Regulation Z, 12 CFR 1026.43(c), the following information:
(i) If a disclosure is provided for the covered loan pursuant to Regulation Z, 12 CFR
1026.19(f), the amount of total loan costs, as disclosed pursuant to Regulation Z, 12 CFR
1026.38(f)(4); or
(ii) If the covered loan is not subject to the disclosure requirements in Regulation Z, 12 CFR
1026.19(f), and is not a purchased covered loan, the total points and fees charged in
connection with the covered loan, expressed in dollars and calculated pursuant to
Regulation Z, 12 CFR 1026.32(b)(1).
(18) For covered loans subject to the disclosure requirements in Regulation Z, 12 CFR
1026.19(f), the total of all itemized amounts that are designated borrower-paid at or before
closing, as disclosed pursuant to Regulation Z, 12 CFR 1026.38(f)(1).
H-12

(19) For covered loans subject to the disclosure requirements in Regulation Z, 12 CFR
1026.19(f), the points paid to the creditor to reduce the interest rate, expressed in dollars, as
described in Regulation Z, 12 CFR 1026.37(f)(1)(i), and disclosed pursuant to Regulation Z, 12
CFR 1026.38(f)(1).
(20) For covered loans subject to the disclosure requirements in Regulation Z, 12 CFR
1026.19(f), the amount of lender credits, as disclosed pursuant to Regulation Z, 12 CFR
1026.38(h)(3).
(21) The interest rate applicable to the approved application, or to the covered loan at closing or
account opening.
(22) For covered loans or applications subject to Regulation Z, 12 CFR part 1026, other than
reverse mortgages or purchased covered loans, the term in months of any prepayment penalty,
as defined in Regulation Z, 12 CFR 1026.32(b)(6)(i) or (ii), as applicable.
(23) Except for purchased covered loans, the ratio of the applicant's or borrower's total monthly
debt to the total monthly income relied on in making the credit decision.
(24) Except for purchased covered loans, the ratio of the total amount of debt secured by the
property to the value of the property relied on in making the credit decision.
(25) The scheduled number of months after which the legal obligation will mature or terminate or
would have matured or terminated.
(26) The number of months, or proposed number of months in the case of an application, until
the first date the interest rate may change after closing or account opening.
(27) Whether the contractual terms include or would have included any of the following:
(i) A balloon payment as defined in Regulation Z, 12 CFR 1026.18(s)(5)(i);
(ii) Interest-only payments as defined in Regulation Z, 12 CFR 1026.18(s)(7)(iv);
(iii) A contractual term that would cause the covered loan to be a negative amortization loan
as defined in Regulation Z, 12 CFR 1026.18(s)(7)(v); or
(iv) Any other contractual term that would allow for payments other than fully amortizing
payments, as defined in Regulation Z, 12 CFR 1026.43(b)(2), during the loan term, other
than the contractual terms described in this paragraph (a)(27)(i), (ii), and (iii).
(28) The value of the property securing the covered loan or, in the case of an application,
proposed to secure the covered loan relied on in making the credit decision.

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(29) If the dwelling related to the property identified in paragraph (a)(9) of this section is a
manufactured home and not a multifamily dwelling, whether the covered loan is, or in the case
of an application would have been, secured by a manufactured home and land, or by a
manufactured home and not land.
(30) If the dwelling related to the property identified in paragraph (a)(9) of this section is a
manufactured home and not a multifamily dwelling, whether the applicant or borrower:
(i) Owns the land on which it is or will be located or, in the case of an application, did or
would have owned the land on which it would have been located, through a direct or indirect
ownership interest; or
(ii) Leases or, in the case of an application, leases or would have leased the land through a
paid or unpaid leasehold.
(31) The number of individual dwelling units related to the property securing the covered loan or,
in the case of an application, proposed to secure the covered loan.
(32) If the property securing the covered loan or, in the case of an application, proposed to
secure the covered loan includes a multifamily dwelling, the number of individual dwelling units
related to the property that are income-restricted pursuant to Federal, State, or local affordable
housing programs.
(33) Except for purchased covered loans, the following information about the application
channel of the covered loan or application:
(i) Whether the applicant or borrower submitted the application for the covered loan directly
to the financial institution; and
(ii) Whether the obligation arising from the covered loan was, or in the case of an
application, would have been initially payable to the financial institution.
(34) For a covered loan or application, the unique identifier assigned by the Nationwide
Mortgage Licensing System and Registry for the mortgage loan originator, as defined in
Regulation G, 12 CFR 1007.102, or Regulation H, 12 CFR 1008.23, as applicable.
(35)
(i) Except for purchased covered loans, the name of the automated underwriting system
used by the financial institution to evaluate the application and the result generated by that
automated underwriting system.
(ii) For purposes of this paragraph (a)(35), an “automated underwriting system” means an
electronic tool developed by a securitizer, Federal government insurer, or Federal
government guarantor of closed-end mortgage loans or open-end lines of credit that
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provides a result regarding the credit risk of the applicant and whether the covered loan is
eligible to be originated, purchased, insured, or guaranteed by that securitizer, Federal
government insurer, or Federal government guarantor. A person is a securitizer, Federal
government insurer, or Federal government guarantor of closed-end mortgage loans or
open-end lines of credit, respectively, if it has ever securitized, provided Federal government
insurance, or provided a Federal government guarantee for a closed-end mortgage loan or
open-end line of credit.
(36) Whether the covered loan is, or the application is for, a reverse mortgage.
(37) Whether the covered loan is, or the application is for, an open-end line of credit.
(38) Whether the covered loan is, or the application is for a covered loan that will be, made
primarily for a business or commercial purpose.

(b) Collection of data on ethnicity, race, sex, age, and income.
(1) A financial institution shall collect data about the ethnicity, race, and sex of the applicant or
borrower as prescribed in appendix B to this part.
(2) Ethnicity, race, sex, age, and income data may but need not be collected for covered loans
purchased by a financial institution.
(c)-(d) [Reserved]
(e) Data reporting for banks and savings associations that are required to report data on
small business, small farm, and community development lending under CRA. Banks and
savings associations that are required to report data on small business, small farm, and
community development lending under regulations that implement the Community
Reinvestment Act of 1977 (12 U.S.C. 2901 et seq.) shall also collect the information required by
paragraph 4(a)(9)(ii) of this section for property located outside MSAs and MDs in which the
institution has a home or branch office, or outside any MSA.
(f) Quarterly recording of data. A financial institution shall record the data collected pursuant
to this section on a loan/application register within 30 calendar days after the end of the
calendar quarter in which final action is taken (such as origination or purchase of a covered
loan, sale of a covered loan in the same calendar year it is originated or purchased, or denial or
withdrawal of an application).

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§ 1003.5 DISCLOSURE AND REPORTING.
(a) Reporting to agency.
(1)(i) Annual reporting. By March 1 following the calendar year for which data are collected and
recorded as required by§ 1003.4, a financial institution shall submit its annual loan/application
register in electronic format to the appropriate Federal agency at the address identified by such
agency. An authorized representative of the financial institution with knowledge of the data
submitted shall certify to the accuracy and completeness of data submitted pursuant to this
paragraph (a)(1)(i). The financial institution shall retain a copy of its annual loan/ application
register submitted pursuant to this paragraph (a)(1)(i) for its records for at least three years.
(ii) [Reserved]
(iii) When the last day for submission of data prescribed under this paragraph (a)(1) falls on a
Saturday or Sunday, a submission shall be considered timely if it is submitted on the next
succeeding Monday.
(2) A financial institution that is a subsidiary of a bank or savings association shall complete a
separate loan/application register. The subsidiary shall submit the loan/application register,
directly or through its parent, to the appropriate Federal agency for the subsidiary’s parent at the
address identified by the agency.
(3) A financial institution shall provide with its submission:
(i) Its name;
(ii) The calendar year the data submission covers pursuant to paragraph (a)(1)(i) of this section;
(iii) The name and contact information of a person who may be contacted with questions about
the institution’s submission;
(iv) Its appropriate Federal agency;
(v) The total number of entries contained in the submission;
(vi) Its Federal Taxpayer Identification number; and
(vii) Its Legal Entity Identifier (LEI) as described in § 1003.4(a)(1)(i)(A).
(4) For purposes of paragraph (a) of this section, ‘‘appropriate Federal agency’’ means the
appropriate agency for the financial institution as determined pursuant to section 304(h)(2) of
the Home Mortgage Disclosure Act (12 U.S.C. 2803(h)(2)) or, with respect to a financial
institution subject to the Bureau’s supervisory authority under section 1025(a) of the Consumer
Financial Protection Act of 2010 (12 U.S.C. 5515(a)), the Bureau.

H-16

(5) Procedures for the submission of data pursuant to paragraph (a) of this section are available
at www.consumerfinance.gov/hmda.
(b) Disclosure statement.
(1) The Federal Financial Institutions Examination Council (FFIEC) will make available a
disclosure statement based on the data each financial institution submits for the preceding
calendar year pursuant to paragraph (a)(1)(i) of this section.
(2) No later than three business days after receiving notice from the FFIEC that a financial
institution's disclosure statement is available, the financial institution shall make available to the
public upon request at its home office, and each branch office physically located in each MSA
and each MD, a written notice that clearly conveys that the institution's disclosure statement
may be obtained on the Bureau's Web site at www.consumerfinance.gov/hmda.
(c) Modified loan/application register.
(1) A financial institution shall make available to the public upon request at its home office, and
each branch office physically located in each MSA and each MD, a written notice that clearly
conveys that the institution's loan/application register, as modified by the Bureau to protect
applicant and borrower privacy, may be obtained on the Bureau's Web site at
www.consumerfinance.gov/hmda.
(2) A financial institution shall make available the notice required by paragraph (c)(1) of this
section following the calendar year for which the data are collected.
(d) Availability of written notices.
(1) A financial institution shall make the notice required by paragraph (c) of this section available
to the public for a period of three years and the notice required by paragraph (b)(2) of this
section available to the public for a period of five years. An institution shall make these notices
available during the hours the office is normally open to the public for business.
(2) A financial institution may make available to the public, at its discretion and in addition to the
written notices required by paragraphs (b)(2) or (c)(1) of this section, as applicable, its
disclosure statement or its loan/application register, as modified by the Bureau to protect
applicant and borrower privacy. A financial institution may impose a reasonable fee for any cost
incurred in providing or reproducing these data.
(e) Posted notice of availability of data. A financial institution shall post a general notice
about the availability of its HMDA data in the lobby of its home office and of each branch office
physically located in each MSA and each MD. This notice must clearly convey that the
institution's HMDA data is available on the Bureau's Web site at
www.consumerfinance.gov/hmda.
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(f) Aggregated data. Using data submitted by financial institutions pursuant to paragraph
(a)(1)(i) of this section, the FFIEC will make available aggregate data for each MSA and MD,
showing lending patterns by property location, age of housing stock, and income level, sex,
ethnicity, and race.
§ 1003.6 ENFORCEMENT.
(a) Administrative enforcement. A violation of the Act or this part is subject to administrative
sanctions as provided in section 305 of the Act (12 U.S.C. 2804), including the imposition of civil
money penalties, where applicable. Compliance is enforced by the agencies listed in section
305 of the Act.
(b) Bona fide errors.
(1) An error in compiling or recording data for a covered loan or application is not a violation of
the Act or this part if the error was unintentional and occurred despite the maintenance of
procedures reasonably adapted to avoid such an error.
(2) An incorrect entry for a census tract number is deemed a bona fide error, and is not a
violation of the Act or this part, provided that the financial institution maintains procedures
reasonably adapted to avoid such an error.
(c) Quarterly recording and reporting.
If a financial institution makes a good-faith effort to record all data required to be recorded
pursuant to § 1003.4(f) fully and accurately within 30 calendar days after the end of each
calendar quarter, and some data are nevertheless inaccurate or incomplete, the inaccuracy or
omission is not a violation of the Act or this part provided that the institution corrects or
completes the data prior to submitting its annual loan/application register pursuant to
§ 1003.5(a)(1)(i).

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APPENDIX A TO PART 1003—[Reserved]
APPENDIX B TO PART 1003—FORM AND INSTRUCTIONS FOR DATA COLLECTION ON ETHNICITY,
RACE, AND SEX
You may list questions regarding the ethnicity, race, and sex of the applicant on your loan
application form, or on a separate form that refers to the application. (See the sample data
collection form below for model language.)
1. You must ask the applicant for this information (but you cannot require the applicant to
provide it) whether the application is taken in person, by mail or telephone, or on the
internet. For applications taken by telephone, you must state the information in the collection
form orally, except for that information which pertains uniquely to applications taken in
writing, for example, the italicized language in the sample data collection form.
2. Inform the applicant that Federal law requires this information to be collected in order to
protect consumers and to monitor compliance with Federal statutes that prohibit
discrimination against applicants on these bases. Inform the applicant that if the information
is not provided where the application is taken in person, you are required to note the
information on the basis of visual observation or surname.
3. If you accept an application through electronic media with a video component, you must
treat the application as taken in person. If you accept an application through electronic
media without a video component (for example, facsimile), you must treat the application as
accepted by mail.
4. For purposes of §1003.4(a)(10)(i), if a covered loan or application includes a guarantor,
you do not report the guarantor's ethnicity, race, and sex.
5. If there are no co-applicants, you must report that there is no co-applicant. If there is more
than one co-applicant, you must provide the ethnicity, race, and sex only for the first coapplicant listed on the collection form. A co-applicant may provide an absent co-applicant's
ethnicity, race, and sex on behalf of the absent co-applicant. If the information is not
provided for an absent co-applicant, you must report “information not provided by applicant
in mail, internet, or telephone application” for the absent co-applicant.
6. When you purchase a covered loan and you choose not to report the applicant's or coapplicant's ethnicity, race, and sex, you must report that the requirement is not applicable.
7. You must report that the requirement to report the applicant's or co-applicant's ethnicity,
race, and sex is not applicable when the applicant or co-applicant is not a natural person (for
example, a corporation, partnership, or trust). For example, for a transaction involving a
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trust, you must report that the requirement to report the applicant's ethnicity, race, and sex is
not applicable if the trust is the applicant. On the other hand, if the applicant is a natural
person, and is the beneficiary of a trust, you must report the applicant's ethnicity, race, and
sex.
8. You must report the ethnicity, race, and sex of an applicant as provided by the applicant.
For example, if an applicant selects the “Asian” box the institution reports “Asian” for the
race of the applicant. Only an applicant may self-identify as being of a particular Hispanic or
Latino subcategory (Mexican, Puerto Rican, Cuban, Other Hispanic or Latino) or of a
particular Asian subcategory (Asian Indian, Chinese, Filipino, Japanese, Korean,
Vietnamese, Other Asian) or of a particular Native Hawaiian or Other Pacific Islander
subcategory (Native Hawaiian, Guamanian or Chamorro, Samoan, Other Pacific Islander) or
of a particular American Indian or Alaska Native enrolled or principal tribe. An applicant may
select an ethnicity or race subcategory even if the applicant does not select an aggregate
ethnicity or aggregate race category. For example, if an applicant selects only the “Mexican”
box, the institution reports “Mexican” for the ethnicity of the applicant but does not also
report “Hispanic or Latino.”
9. You must offer the applicant the option of selecting more than one ethnicity or race. If an
applicant selects more than one ethnicity or race, you must report each selected
designation, subject to the limits described below.
i. Ethnicity—Aggregate categories and subcategories. There are two aggregate ethnicity
categories: Hispanic or Latino; and Not Hispanic or Latino. The Hispanic or Latino
category has four subcategories: Mexican; Puerto Rican; Cuban; and Other Hispanic or
Latino. You must report every aggregate ethnicity category selected by the applicant. If the
applicant also selects one or more ethnicity subcategories, you must report each ethnicity
subcategory selected by the applicant, except that you must not report more than a total of
five aggregate ethnicity categories and ethnicity subcategories combined. For example, if
the applicant selects both aggregate ethnicity categories and also selects all four ethnicity
subcategories, you must report Hispanic or Latino, Not Hispanic or Latino, and any three,
at your option, of the four ethnicity subcategories selected by the applicant. To determine
how to report the Other Hispanic or Latino ethnicity subcategory for purposes of the fiveethnicity maximum, see paragraph 9.ii below.
ii. Ethnicity—Other subcategories. An applicant may select the Other Hispanic or Latino
ethnicity subcategory, an applicant may provide a particular Hispanic or Latino ethnicity
not listed in the standard subcategories, or an applicant may do both. If the applicant
provides only a particular Hispanic or Latino ethnicity in the space provided, you are
permitted, but are not required, to report Other Hispanic or Latino in addition to reporting
the particular Hispanic or Latino ethnicity provided by the applicant. For example, if an
applicant provides only “Dominican,” you should report “Dominican.” You are permitted,
but not required, to report Other Hispanic or Latino as well. If an applicant selects the
Other Hispanic or Latino ethnicity subcategory and also provides a particular Hispanic or
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Latino ethnicity not listed in the standard subcategories, you must report both the selection
of Other Hispanic or Latino and the additional information provided by the applicant,
subject to the five-ethnicity maximum. For purposes of the maximum of five reportable
ethnicity categories and ethnicity subcategories combined, as set forth in paragraph 9.i,
the Other Hispanic or Latino subcategory and additional information provided by the
applicant together constitute only one selection. For example, if the applicant selects Other
Hispanic or Latino and enters “Dominican” in the space provided, Other Hispanic or Latino
and “Dominican” are considered one selection. Similarly, if the applicant only enters
“Dominican” in the space provided and you report both “Dominican” and Other Hispanic or
Latino as permitted by this paragraph 9.ii, the reported items together are considered one
selection.
iii. Race—Aggregate categories and subcategories. There are five aggregate race
categories: American Indian or Alaska Native; Asian; Black or African American; Native
Hawaiian or Other Pacific Islander; and White. The Asian and the Native Hawaiian or
Other Pacific Islander aggregate categories have seven and four subcategories,
respectively. The Asian race subcategories are: Asian Indian; Chinese; Filipino; Japanese;
Korean; Vietnamese; and Other Asian. The Native Hawaiian or Other Pacific Islander race
subcategories are: Native Hawaiian; Guamanian or Chamorro; Samoan; and Other Pacific
Islander. You must report every aggregate race category selected by the applicant. If the
applicant also selects one or more race subcategories, you must report each race
subcategory selected by the applicant, except that you must not report more than a total of
five aggregate race categories and race subcategories combined. For example, if the
applicant selects all five aggregate race categories and also selects some race
subcategories, you report only the five aggregate race categories. On the other hand, if
the applicant selects the White, Asian, and Native Hawaiian or Other Pacific Islander
aggregate race categories, and the applicant also selects the Korean, Vietnamese, and
Samoan race subcategories, you must report White, Asian, Native Hawaiian or Other
Pacific Islander, and any two, at your option, of the three race subcategories selected by
the applicant. In this example, you must report White, Asian, and Native Hawaiian or Other
Pacific Islander, and in addition you must report (at your option) either Korean and
Vietnamese, Korean and Samoan, or Vietnamese and Samoan. To determine how to
report an Other race subcategory and the American Indian or Alaska Native category for
purposes of the five-race maximum, see paragraphs 9.iv and 9.v below.
iv. Race—Other subcategories. An applicant may select the Other Asian race subcategory
or the Other Pacific Islander race subcategory, an applicant may provide a particular Asian
race or Pacific Islander race not listed in the standard subcategories, or an applicant may
do both. If the applicant provides only a particular Asian race or Pacific Islander race in the
space provided, you are permitted, but are not required, to report Other Asian or Other
Pacific Islander, as applicable, in addition to reporting the particular Asian race or Pacific
Islander race provided by the applicant. For example, if an applicant provides only
“Hmong,” you should report “Hmong.” You are permitted, but not required, to report Other
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Asian as well. If an applicant selects the Other Asian race or the Other Pacific Islander
race subcategory and provides a particular Asian race or Pacific Islander race not listed in
the standard subcategories, you must report both the selection of Other Asian or Other
Pacific Islander, as applicable, and the additional information provided by the applicant,
subject to the five-race maximum. For purposes of the maximum of five reportable race
categories and race subcategories combined, as set forth in paragraph 9.iii, the Other race
subcategory and additional information provided by the applicant together constitute only
one selection. Thus, using the same facts in the example offered in paragraph 9.iii above,
if the applicant also selects Other Asian and enters “Thai” in the space provided, Other
Asian and Thai are considered one selection. Similarly, if the applicant enters only “Thai”
in the space provided and you report both “Thai” and Other Asian as permitted by this
paragraph 9.iv, the reported items together are considered one selection. In the same
example, you must report any two (at your option) of the four race subcategories selected
by the applicant, Korean, Vietnamese, Other Asian-Thai, and Samoan, in addition to the
three aggregate race categories selected by the applicant.
v. Race—American Indian or Alaska Native category. An applicant may select the
American Indian or Alaska Native race category, an applicant may provide a particular
American Indian or Alaska Native enrolled or principal tribe, or an applicant may do both. If
the applicant provides only a particular American Indian or Alaska Native enrolled or
principal tribe in the space provided, you are permitted, but are not required, to report
American Indian or Alaska Native in addition to reporting the particular American Indian or
Alaska Native enrolled or principal tribe provided by the applicant. For example, if an
applicant provides only “Navajo,” you should report “Navajo.” You are permitted, but not
required, to report American Indian or Alaska Native as well. If an applicant selects the
American Indian or Alaska Native race category and also provides a particular American
Indian or Alaska Native enrolled or principal tribe, you must report both the selection of
American Indian or Alaska Native and the additional information provided by the applicant.
For purposes of the maximum of five reportable race categories and race subcategories
combined, as set forth in paragraph 9.iii, the American Indian or Alaska Native category
and additional information provided by the applicant together constitute only one selection.
10. If the applicant chooses not to provide the information for an application taken in person,
note this fact on the collection form and then collect the applicant's ethnicity, race, and sex
on the basis of visual observation or surname. You must report whether the applicant's
ethnicity, race, and sex was collected on the basis of visual observation or surname. When
you collect an applicant's ethnicity, race, and sex on the basis of visual observation or
surname, you must select from the following aggregate categories: Ethnicity (Hispanic or
Latino; not Hispanic or Latino); race (American Indian or Alaska Native; Asian; Black or
African American; Native Hawaiian or Other Pacific Islander; White); sex (male; female).
11. If the applicant declines to answer these questions by checking the “I do not wish to
provide this information” box on an application that is taken by mail or on the internet, or
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declines to provide this information by stating orally that he or she does not wish to provide
this information on an application that is taken by telephone, you must report “information
not provided by applicant in mail, internet, or telephone application.”
12. If the applicant begins an application by mail, internet, or telephone, and does not
provide the requested information on the application but does not check or select the “I do
not wish to provide this information” box on the application, and the applicant meets in
person with you to complete the application, you must request the applicant's ethnicity, race,
and sex. If the applicant does not provide the requested information during the in-person
meeting, you must collect the information on the basis of visual observation or surname. If
the meeting occurs after the application process is complete, for example, at closing or
account opening, you are not required to obtain the applicant's ethnicity, race, and sex.
13. When an applicant provides the requested information for some but not all fields, you
report the information that was provided by the applicant, whether partial or complete. If an
applicant provides partial or complete information on ethnicity, race, and sex and also
checks the “I do not wish to provide this information” box on an application that is taken by
mail or on the internet, or makes that selection when applying by telephone, you must report
the information on ethnicity, race, and sex that was provided by the applicant.

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H-24

APPENDIX C TO PART 1003—PROCEDURES FOR GENERATING A CHECK DIGIT AND VALIDATING A
ULI
The check digit for the Universal Loan Identifier (ULI) pursuant to §1003.4(a)(1)(i)(C) is
calculated using the ISO/IEC 7064, MOD 97-10 as it appears on the International Standard
ISO/IEC 7064:2003, which is published by the International Organization for Standardization
(ISO).
©ISO. This material is reproduced from ISO/IEC 7064:2003 with permission of the American
National Standards Institute (ANSI) on behalf of ISO. All rights reserved.
Generating a Check Digit
Step 1: Starting with the leftmost character in the string that consists of the combination of the
Legal Entity Identifier (LEI) pursuant to §1003.4(a)(1)(i)(A) and the additional characters
identifying the covered loan or application pursuant to §1003.4(a)(1)(i)(B), replace each
alphabetic character with numbers in accordance with Table I below to obtain all numeric values
in the string.
Table I—Alphabetic to Numeric Conversion Table
The alphabetic characters are not case-sensitive and each letter, whether it is capitalized or in
lower-case, is equal to the same value as each letter illustrates in the conversion table. For
example, A and a are each equal to 10.
A = 10
B = 11
C = 12
D = 13
E = 14
F = 15
G = 16
H = 17
H-25

I = 18
J = 19
K = 20
L = 21
M = 22
N = 23
O = 24
P = 25
Q = 26
R = 27
S = 28
T = 29
U = 30
V = 31
W = 32
X = 33
Y = 34
Z = 35

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Step 2: After converting the combined string of characters to all numeric values, append two
zeros to the rightmost positions.
Step 3: Apply the mathematical function mod = (n,97) where n = the number obtained in step 2
above and 97 is the divisor.
Alternatively, to calculate without using the modulus operator, divide the numbers in step 2
above by 97. Truncate the remainder to three digits and multiply it by 97. Round the result to the
nearest whole number.
Step 4: Subtract the result in step 3 from 98. If the result is one digit, add a leading 0 to make it
two digits.
Step 5: The two digits in the result from step 4 is the check digit. Append the resulting check
digit to the rightmost position in the combined string of characters described in step 1 above to
generate the ULI.
Example
For example, assume the LEI for a financial institution is 10Bx939c5543TqA1144M and the
financial institution assigned the following string of characters to identify the covered loan:
999143X. The combined string of characters is 10Bx939c5543TqA1144M999143X.
Step 1: Starting with the leftmost character in the combined string of characters, replace each
alphabetic character with numbers in accordance with Table I above to obtain all numeric values
in the string. The result is 10113393912554329261011442299914333.
Step 2: Append two zeros to the rightmost positions in the combined string. The result is
1011339391255432926101144229991433300.

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Step 3: Apply the mathematical function mod = (n,97) where n = the number obtained in step 2
above and 97 is the divisor. The result is 60.
Alternatively, to calculate without using the modulus operator, divide the numbers in step 2
above by 97. The result is 1042617929129312294946332267952920.618556701030928.
Truncate the remainder to three digits, which is .618, and multiply it by 97. The result is 59.946.
Round this result to the nearest whole number, which is 60.
Step 4: Subtract the result in step 3 from 98. The result is 38.
Step 5: The two digits in the result from step 4 is the check digit. Append the check digit to the
rightmost positions in the combined string of characters that consists of the LEI and the string of
characters assigned by the financial institution to identify the covered loan to obtain the ULI. In
this example, the ULI would be 10Bx939c5543TqA1144M999143X38.
Validating A ULI
To determine whether the ULI contains a transcription error using the check digit calculation, the
procedures are described below.
Step 1: Starting with the leftmost character in the ULI, replace each alphabetic character with
numbers in accordance with Table I above to obtain all numeric values in the string.
Step 2: Apply the mathematical function mod=(n,97) where n=the number obtained in step 1
above and 97 is the divisor.
Step 3: If the result is 1, the ULI does not contain transcription errors.
Example
For example, the ULI assigned to a covered loan is 10Bx939c5543TqA1144M999143X38.
Step 1: Starting with the leftmost character in the ULI, replace each alphabetic character with
numbers in accordance with Table I above to obtain all numeric values in the string. The result
is 1011339391255432926101144229991433338.
Step 2: Apply the mathematical function mod=(n,97) where n is the number obtained in step 1
above and 97 is the divisor.
Step 3: The result is 1. The ULI does not contain transcription errors.

H-28

Appendix

APPENDIX I:

Official Interpretations to Regulation C

The following is a copy of the commentary to Regulation C. This copy is current as
March 19, 2021. This appendix is a compilation of material and not an official legal
edition of the Code of Federal Regulations or the Federal Register. We have made
every effort to ensure the material presented in this tool is accurate, but if you are
relying on it for legal research you should consult the official editions of those sources
to confirm your findings.

Supplement I to Part 1003—Official Interpretations
INTRODUCTION
1. Status. The commentary in this supplement is the vehicle by which the Bureau of Consumer
Financial Protection issues formal interpretations of Regulation C (12 CFR part 1003).
SECTION 1003.2—DEFINITIONS

2(B) APPLICATION
1. Consistency with Regulation B. Bureau interpretations that appear in the official commentary
to Regulation B (Equal Credit Opportunity Act, 12 CFR part 1002, Supplement I) are generally
applicable to the definition of application under Regulation C. However, under Regulation C the
definition of an application does not include prequalification requests.
2. Prequalification. A prequalification request is a request by a prospective loan applicant (other
than a request for preapproval) for a preliminary determination on whether the prospective loan
applicant would likely qualify for credit under an institution's standards, or for a determination on
the amount of credit for which the prospective applicant would likely qualify. Some institutions
evaluate prequalification requests through a procedure that is separate from the institution's
normal loan application process; others use the same process. In either case, Regulation C
does not require an institution to report prequalification requests on the loan/application register,
even though these requests may constitute applications under Regulation B for purposes of
adverse action notices.
3. Requests for preapproval. To be a preapproval program as defined in § 1003.2(b)(2), the
written commitment issued under the program must result from a comprehensive review of the
creditworthiness of the applicant, including such verification of income, resources, and other
matters as is typically done by the institution as part of its normal credit evaluation program. In
addition to conditions involving the identification of a suitable property and verification that no
material change has occurred in the applicant's financial condition or creditworthiness, the
written commitment may be subject only to other conditions (unrelated to the financial condition
or creditworthiness of the applicant) that the lender ordinarily attaches to a traditional home
mortgage application approval. These conditions are limited to conditions such as requiring an
acceptable title insurance binder or a certificate indicating clear termite inspection, and, in the
case where the applicant plans to use the proceeds from the sale of the applicant's present
home to purchase a new home, a settlement statement showing adequate proceeds from the
sale of the present home. Regardless of its name, a program that satisfies the definition of a
preapproval program in § 1003.2(b)(2) is a preapproval program for purposes of Regulation C.
Conversely, a program that a financial institution describes as a “preapproval program” that

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does not satisfy the requirements of § 1003.2(b)(2) is not a preapproval program for purposes of
Regulation C. If a financial institution does not regularly use the procedures specified in
§ 1003.2(b)(2), but instead considers requests for preapprovals on an ad hoc basis, the financial
institution need not treat ad hoc requests as part of a preapproval program for purposes of
Regulation C. A financial institution should, however, be generally consistent in following
uniform procedures for considering such ad hoc requests.
2(C) BRANCH OFFICE
Paragraph 2(c)(1)
1. Credit unions. For purposes of Regulation C, a “branch” of a credit union is any office where
member accounts are established or loans are made, whether or not the office has been
approved as a branch by a Federal or State agency. (See 12 U.S.C. 1752.)
2. Bank, savings association, or credit unions. A branch office of a bank, savings association, or
credit union does not include a loan-production office if the loan-production office is not
considered a branch by the Federal or State supervisory authority applicable to that institution.
A branch office also does not include the office of an affiliate or of a third party, such as a thirdparty broker.
Paragraph 2(c)(2)
1. General. A branch office of a for-profit mortgage lending institution, other than a bank savings
association or credit union, does not include the office of an affiliate or of a third party, such as a
third-party broker.
2(D) CLOSED-END MORTGAGE LOAN
1. Dwelling-secured. Section 1003.2(d) defines a closed-end mortgage loan as an extension of
credit that is secured by a lien on a dwelling and that is not an open-end line of credit under
§1003.2(o). Thus, for example, a loan to purchase a dwelling and secured only by a personal
guarantee is not a closed-end mortgage loan because it is not dwelling-secured.
2. Extension of credit. Under § 1003.2(d), a dwelling-secured loan is not a closed-end mortgage
loan unless it involves an extension of credit. For example, some transactions completed
pursuant to installment sales contracts, such as some land contracts, depending on the facts
and circumstances, may or may not involve extensions of credit rendering the transactions
closed-end mortgage loans. In general, extension of credit under § 1003.2(d) refers to the
granting of credit only pursuant to a new debt obligation. Thus, except as described in
comments 2(d)-2.i and .ii, if a transaction modifies, renews, extends, or amends the terms of an
existing debt obligation, but the existing debt obligation is not satisfied and replaced, the
transaction is not a closed-end mortgage loan under § 1003.2(d) because there has been no

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new extension of credit. The phrase extension of credit thus is defined differently under
Regulation C than under Regulation B, 12 CFR part 1002.
i. Assumptions. For purposes of Regulation C, an assumption is a transaction in which an
institution enters into a written agreement accepting a new borrower in place of an existing
borrower as the obligor on an existing debt obligation. For purposes of Regulation C,
assumptions include successor-in-interest transactions, in which an individual succeeds the
prior owner as the property owner and then assumes the existing debt secured by the
property. Under § 1003.2(d), assumptions are extensions of credit even if the new borrower
merely assumes the existing debt obligation and no new debt obligation is created. See also
comment 2(j)-5.
ii. New York State consolidation, extension, and modification agreements. A transaction
completed pursuant to a New York State consolidation, extension, and modification
agreement and classified as a supplemental mortgage under New York Tax Law section
255, such that the borrower owes reduced or no mortgage recording taxes, is an extension
of credit under § 1003.2(d). Comments 2(i)-1, 2(j)-5, and 2(p)-2 clarify whether such
transactions are home improvement loans, home purchase loans, or refinancings,
respectively. Section 1003.3(c)(13) provides an exclusion from the reporting requirement for
a preliminary transaction providing or, in the case of an application, proposing to provide
new funds to the borrower in advance of being consolidated within the same calendar year
into a supplemental mortgage under New York Tax Law section 255. See comment 3(c)(13)1 concerning how to report a supplemental mortgage under New York Tax Law section 255
in this situation.
2(F) DWELLING
1. General. The definition of a dwelling is not limited to the principal or other residence of the
applicant or borrower, and thus includes vacation or second homes and investment properties.
2. Multifamily residential structures and communities. A dwelling also includes a multifamily
residential structure or community such as an apartment, condominium, cooperative building or
housing complex, or a manufactured home community. A loan related to a manufactured home
community is secured by a dwelling for purposes of § 1003.2(f) even if it is not secured by any
individual manufactured homes, but only by the land that constitutes the manufactured home
community including sites for manufactured homes. However, a loan related to a multifamily
residential structure or community that is not a manufactured home community is not secured
by a dwelling for purposes of § 1003.2(f) if it is not secured by any individual dwelling units and
is, for example, instead secured only by property that only includes common areas, or is
secured only by an assignment of rents or dues.
3. Exclusions. Recreational vehicles, including boats, campers, travel trailers, and park model
recreational vehicles, are not considered dwellings for purposes of § 1003.2(f), regardless of
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whether they are used as residences. Houseboats, floating homes, and mobile homes
constructed before June 15, 1976, are also excluded, regardless of whether they are used as
residences. Also excluded are transitory residences such as hotels, hospitals, college
dormitories, and recreational vehicle parks, and structures originally designed as dwellings but
used exclusively for commercial purposes, such as homes converted to daycare facilities or
professional offices.
4. Mixed-use properties. A property used for both residential and commercial purposes, such as
a building containing apartment units and retail space, is a dwelling if the property's primary use
is residential. An institution may use any reasonable standard to determine the primary use of
the property, such as by square footage or by the income generated. An institution may select
the standard to apply on a case-by-case basis.
5. Properties with service and medical components. For purposes of § 1003.2(f), a property
used for both long-term housing and to provide related services, such as assisted living for
senior citizens or supportive housing for persons with disabilities, is a dwelling and does not
have a non-residential purpose merely because the property is used for both housing and to
provide services. However, transitory residences that are used to provide such services are not
dwellings. See comment 2(f)-3. Properties that are used to provide medical care, such as skilled
nursing, rehabilitation, or long-term medical care, also are not dwellings. See comment 2(f)-3. If
a property that is used for both long-term housing and to provide related services also is used to
provide medical care, the property is a dwelling if its primary use is residential. An institution
may use any reasonable standard to determine the property's primary use, such as by square
footage, income generated, or number of beds or units allocated for each use. An institution
may select the standard to apply on a case-by-case basis.
2(G) FINANCIAL INSTITUTION
1. Preceding calendar year and preceding December 31. The definition of financial institution
refers both to the preceding calendar year and the preceding December 31. These terms refer
to the calendar year and the December 31 preceding the current calendar year. For example, in
2021, the preceding calendar year is 2020 and the preceding December 31 is December 31,
2020. Accordingly, in 2021, Financial Institution A satisfies the asset-size threshold described in
§ 1003.2(g)(1)(i) if its assets exceeded the threshold specified in comment 2(g)-2 on December
31, 2021. Likewise, in 2021, Financial Institution A does not meet the loan-volume test
described in § 1003.2(g)(1)(v)(A) if it originated fewer than 100 closed-end mortgage loans
during either 2019 or 2020.
2. Adjustment of exemption threshold for banks, savings associations, and credit unions. For
data collection in 2021, the asset-size exemption threshold is $48 million. Banks, savings
associations, and credit unions with assets at or below $48 million as of December 31, 2020,
are exempt from collecting data for 2021.

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3. Merger or acquisition—coverage of surviving or newly formed institution. After a merger or
acquisition, the surviving or newly formed institution is a financial institution under § 1003.2(g) if
it, considering the combined assets, location, and lending activity of the surviving or newly
formed institution and the merged or acquired institutions or acquired branches, satisfies the
criteria included in § 1003.2(g). For example, A and B merge. The surviving or newly formed
institution meets the loan threshold described in § 1003.2(g)(1)(v)(B) if the surviving or newly
formed institution, A, and B originated a combined total of at least 500 open-end lines of credit
in each of the two preceding calendar years. Likewise, the surviving or newly formed institution
meets the asset-size threshold in § 1003.2(g)(1)(i) if its assets and the combined assets of A
and B on December 31 of the preceding calendar year exceeded the threshold described in
§ 1003.2(g)(1)(i). Comment 2(g)-4 discusses a financial institution's responsibilities during the
calendar year of a merger.
4. Merger or acquisition—coverage for calendar year of merger or acquisition. The scenarios
described below illustrate a financial institution's responsibilities for the calendar year of a
merger or acquisition. For purposes of these illustrations, a “covered institution” means a
financial institution, as defined in § 1003.2(g), that is not exempt from reporting under
§ 1003.3(a), and “an institution that is not covered” means either an institution that is not a
financial institution, as defined in § 1003.2(g), or an institution that is exempt from reporting
under § 1003.3(a).
i. Two institutions that are not covered merge. The surviving or newly formed institution
meets all of the requirements necessary to be a covered institution. No data collection is
required for the calendar year of the merger (even though the merger creates an institution
that meets all of the requirements necessary to be a covered institution). When a branch
office of an institution that is not covered is acquired by another institution that is not
covered, and the acquisition results in a covered institution, no data collection is required for
the calendar year of the acquisition.
ii. A covered institution and an institution that is not covered merge. The covered institution
is the surviving institution, or a new covered institution is formed. For the calendar year of
the merger, data collection is required for covered loans and applications handled in the
offices of the merged institution that was previously covered and is optional for covered
loans and applications handled in offices of the merged institution that was previously not
covered. When a covered institution acquires a branch office of an institution that is not
covered, data collection is optional for covered loans and applications handled by the
acquired branch office for the calendar year of the acquisition.
iii. A covered institution and an institution that is not covered merge. The institution that is
not covered is the surviving institution, or a new institution that is not covered is formed. For
the calendar year of the merger, data collection is required for covered loans and
applications handled in offices of the previously covered institution that took place prior to
the merger. After the merger date, data collection is optional for covered loans and
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applications handled in the offices of the institution that was previously covered. When an
institution remains not covered after acquiring a branch office of a covered institution, data
collection is required for transactions of the acquired branch office that take place prior to
the acquisition. Data collection by the acquired branch office is optional for transactions
taking place in the remainder of the calendar year after the acquisition.
iv. Two covered institutions merge. The surviving or newly formed institution is a covered
institution. Data collection is required for the entire calendar year of the merger. The
surviving or newly formed institution files either a consolidated submission or separate
submissions for that calendar year. When a covered institution acquires a branch office of a
covered institution, data collection is required for the entire calendar year of the merger.
Data for the acquired branch office may be submitted by either institution.
5. Originations. Whether an institution is a financial institution depends in part on whether the
institution originated at least 100 closed-end mortgage loans in each of the two preceding
calendar years or at least 500 open-end lines of credit in each of the two preceding calendar
years. Comments 4(a)-2 through -4 discuss whether activities with respect to a particular
closed-end mortgage loan or open-end line of credit constitute an origination for purposes of
§ 1003.2(g).
6. Branches of foreign banks—treated as banks. A Federal branch or a State-licensed or
insured branch of a foreign bank that meets the definition of a “bank” under section 3(a)(1) of
the Federal Deposit Insurance Act (12 U.S.C. 1813(a)) is a bank for the purposes of
§ 1003.2(g).
7. Branches and offices of foreign banks and other entities—treated as nondepository financial
institutions. A Federal agency, State-licensed agency, State-licensed uninsured branch of a
foreign bank, commercial lending company owned or controlled by a foreign bank, or entity
operating under section 25 or 25A of the Federal Reserve Act, 12 U.S.C. 601 and 611 (Edge
Act and agreement corporations) may not meet the definition of “bank” under the Federal
Deposit Insurance Act and may thereby fail to satisfy the definition of a depository financial
institution under § 1003.2(g)(1). An entity is nonetheless a financial institution if it meets the
definition of nondepository financial institution under § 1003.2(g)(2).
2(I) HOME IMPROVEMENT LOAN
1. General. Section 1003.2(i) defines a home improvement loan as a closed-end mortgage loan
or an open-end line of credit that is for the purpose, in whole or in part, of repairing,
rehabilitating, remodeling, or improving a dwelling or the real property on which the dwelling is
located. For example, a closed-end mortgage loan obtained to repair a dwelling by replacing a
roof is a home improvement loan under § 1003.2(i). A loan or line of credit is a home
improvement loan even if only a part of the purpose is for repairing, rehabilitating, remodeling,
or improving a dwelling. For example, an open-end line of credit obtained in part to remodel a
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kitchen and in part to pay college tuition is a home improvement loan under § 1003.2(i).
Similarly, for example, a loan that is completed pursuant to a New York State consolidation,
extension, and modification agreement and that is classified as a supplemental mortgage under
New York Tax Law section 255, such that the borrower owes reduced or no mortgage recording
taxes, is a home improvement loan if any of the loan's funds are for home improvement
purposes. See also comment 2(d)-2.ii.
2. Improvements to real property. Home improvements include improvements both to a dwelling
and to the real property on which the dwelling is located (for example, installation of a swimming
pool, construction of a garage, or landscaping).
3. Commercial and other loans. A home improvement loan may include a closed-end mortgage
loan or an open-end line of credit originated outside an institution's residential mortgage lending
division, such as a loan or line of credit to improve an apartment building originated in the
commercial loan department.
4. Mixed-use property. A closed-end mortgage loan or an open-end line of credit to improve a
multifamily dwelling used for residential and commercial purposes (for example, a building
containing apartment units and retail space), or the real property on which such a dwelling is
located, is a home improvement loan if the loan's proceeds are used either to improve the entire
property (for example, to replace the heating system), or if the proceeds are used primarily to
improve the residential portion of the property. An institution may use any reasonable standard
to determine the primary use of the loan proceeds. An institution may select the standard to
apply on a case-by-case basis. See comment 3(c)(10)-3.ii for guidance on loans to improve
primarily the commercial portion of a dwelling other than a multifamily dwelling.
5. Multiple-purpose loans. A closed-end mortgage loan or an open-end line of credit may be
used for multiple purposes. For example, a closed-end mortgage loan that is a home
improvement loan under § 1003.2(i) may also be a refinancing under § 1003.2(p) if the
transaction is a cash-out refinancing and the funds will be used to improve a home. Such a
transaction is a multiple-purpose loan. Comment 4(a)(3)-3 provides details about how to report
multiple-purpose covered loans.
6. Statement of borrower. In determining whether a closed-end mortgage loan or an open-end
line of credit, or an application for a closed-end mortgage loan or an open-end line of credit, is
for home improvement purposes, an institution may rely on the applicant's or borrower's stated
purpose(s) for the loan or line of credit at the time the application is received or the credit
decision is made. An institution need not confirm that the borrower actually uses any of the
funds for the stated purpose(s).
2(J) HOME PURCHASE LOAN

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1. Multiple properties. A home purchase loan includes a closed-end mortgage loan or an openend line of credit secured by one dwelling and used to purchase another dwelling. For example,
if a person obtains a home-equity loan or a reverse mortgage secured by dwelling A to
purchase dwelling B, the home-equity loan or the reverse mortgage is a home purchase loan
under § 1003.2(j).
2. Commercial and other loans. A home purchase loan may include a closed-end mortgage loan
or an open-end line of credit originated outside an institution's residential mortgage lending
division, such as a loan or line of credit to purchase an apartment building originated in the
commercial loan department.
3. Construction and permanent financing. A home purchase loan includes both a combined
construction/permanent loan or line of credit, and the separate permanent financing that
replaces a construction-only loan or line of credit for the same borrower at a later time. A home
purchase loan does not include a construction-only loan or line of credit that is designed to be
replaced by separate permanent financing extended by any financial institution to the same
borrower at a later time or that is extended to a person exclusively to construct a dwelling for
sale, which are excluded from Regulation C as temporary financing under § 1003.3(c)(3).
Comments 3(c)(3)-1 and -2 provide additional details about transactions that are excluded as
temporary financing.
4. Second mortgages that finance the downpayments on first mortgages. If an institution making
a first mortgage loan to a home purchaser also makes a second mortgage loan or line of credit
to the same purchaser to finance part or all of the home purchaser's downpayment, both the
first mortgage loan and the second mortgage loan or line of credit are home purchase loans.
5. Assumptions. Under § 1003.2(j), an assumption is a home purchase loan when an institution
enters into a written agreement accepting a new borrower as the obligor on an existing
obligation to finance the new borrower's purchase of the dwelling securing the existing
obligation, if the resulting obligation is a closed-end mortgage loan or an open-end line of credit.
A transaction in which borrower B finances the purchase of borrower A's dwelling by assuming
borrower A's existing debt obligation and that is completed pursuant to a New York State
consolidation, extension, and modification agreement and is classified as a supplemental
mortgage under New York Tax Law section 255, such that the borrower owes reduced or no
mortgage recording taxes, is an assumption and a home purchase loan. See comment 2(d)-2.ii.
On the other hand, a transaction in which borrower B, a successor-in-interest, assumes
borrower A's existing debt obligation only after acquiring title to borrower A's dwelling is not a
home purchase loan because borrower B did not assume the debt obligation for the purpose of
purchasing a dwelling. See § 1003.4(a)(3) and comment 4(a)(3)-4 for guidance about how to
report covered loans that are not home improvement loans, home purchase loans, or
refinancings.

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6. Multiple-purpose loans. A closed-end mortgage loan or an open-end line of credit may be
used for multiple purposes. For example, a closed-end mortgage loan that is a home purchase
loan under § 1003.2(j) may also be a home improvement loan under § 1003.2(i) and a
refinancing under § 1003.2(p) if the transaction is a cash-out refinancing and the funds will be
used to purchase and improve a dwelling. Such a transaction is a multiple-purpose loan.
Comment 4(a)(3)-3 provides details about how to report multiple-purpose covered loans.
2(L) MANUFACTURED HOME
1. Definition of a manufactured home. The definition in § 1003.2(l) refers to the Federal building
code for manufactured housing established by the U.S. Department of Housing and Urban
Development (HUD) (24 CFR part 3280.2). Modular or other factory-built homes that do not
meet the HUD code standards are not manufactured homes for purposes of § 1003.2(l).
Recreational vehicles are excluded from the HUD code standards pursuant to
24 CFR 3282.8(g) and are also excluded from the definition of dwelling for purposes of
§ 1003.2(f). See comment 2(f)-3.
2. Identification. A manufactured home will generally bear a data plate affixed in a permanent
manner near the main electrical panel or other readily accessible and visible location noting its
compliance with the Federal Manufactured Home Construction and Safety Standards in force at
the time of manufacture and providing other information about its manufacture pursuant to
24 CFR 3280.5. A manufactured home will generally also bear a HUD Certification Label
pursuant to 24 CFR 3280.11.
2(M) METROPOLITAN STATISTICAL AREA (MD) OR METROPOLITAN DIVISION (MD).
1. Use of terms “Metropolitan Statistical Area (MSA)” and “Metropolitan Division (MD).” The U.S.
Office of Management and Budget (OMB) defines Metropolitan Statistical Areas (MSAs) and
Metropolitan Divisions (MDs) to provide nationally consistent definitions for collecting,
tabulating, and publishing Federal statistics for a set of geographic areas. For all purposes
under Regulation C, if an MSA is divided by OMB into MDs, the appropriate geographic unit to
be used is the MD; if an MSA is not so divided by OMB into MDs, the appropriate geographic
unit to be used is the MSA.
2(N) MULTIFAMILY DWELLING
1. Multifamily residential structures. The definition of dwelling in § 1003.2(f) includes multifamily
residential structures and the corresponding commentary provides guidance on when such
residential structures are included in that definition. See comments 2(f)-2 through -5.
2. Special reporting requirements for multifamily dwellings. The definition of multifamily dwelling
in § 1003.2(n) includes a dwelling, regardless of construction method, that contains five or more
individual dwelling units. Covered loans secured by a multifamily dwelling are subject to
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additional reporting requirements under § 1003.4(a)(32), but are not subject to reporting
requirements under § 1003.4(a)(4), (10)(iii), (23), (29), or (30).
3. Separate dwellings. A covered loan secured by five or more separate dwellings, which are
not multifamily dwellings, in more than one location is not a loan secured by a multifamily
dwelling. For example, assume a landlord uses a covered loan to improve five or more
dwellings, each with one individual dwelling unit, located in different parts of a town, and the
loan is secured by those properties. The covered loan is not secured by a multifamily dwelling
as defined by § 1003.2(n). Likewise, a covered loan secured by five or more separate dwellings
that are located within a multifamily dwelling, but which is not secured by the entire multifamily
dwelling (e.g., an entire apartment building or housing complex), is not secured by a multifamily
dwelling as defined by § 1003.2(n). For example, assume that an investor purchases 10
individual unit condominiums in a 100-unit condominium complex using a covered loan. The
covered loan would not be secured by a multifamily dwelling as defined by § 1003.2(n). In both
of these situations, a financial institution reporting a covered loan or application secured by
these separate dwellings would not be subject to the additional reporting requirements for
covered loans secured by or applications proposed to be secured by multifamily dwellings under
§ 1003.4(a)(32). However, a financial institution would report the information required by
§ 1003.4(a)(4), (a)(10)(iii), and (a)(23), (29), and (30), which is not applicable to covered loans
secured by and applications proposed to be secured by multifamily dwellings. See comment
2(n)-2. In addition, in both of these situations, the financial institution reports the number of
individual dwelling units securing the covered loan or proposed to secure a covered loan as
required by § 1003.4(a)(31). See comment 4(a)(31)-3.
2(O) OPEN-END LINE OF CREDIT
1. General. Section 1003.2(o) defines an open-end line of credit as an extension of credit that is
secured by a lien on a dwelling and that is an open-end credit plan as defined in Regulation Z,
12 CFR 1026.2(a)(20), but without regard to whether the credit is consumer credit, as defined in
§1026.2(a)(12), is extended by a creditor, as defined in §1026.2(a)(17), or is extended to a
consumer, as defined in § 1026.2(a)(11). Aside from these distinctions, institutions may rely on
12 CFR 1026.2(a)(20) and its related commentary in determining whether a transaction is an
open-end line of credit under § 1003.2(o). For example, assume a business-purpose transaction
that is exempt from Regulation Z pursuant to §1026.3(a)(1) but that otherwise is open-end credit
under Regulation Z § 1026.2(a)(20). The business-purpose transaction is an open-end line of
credit under Regulation C, provided the other requirements of § 1003.2(o) are met. Similarly,
assume a transaction in which the person extending open-end credit is a financial institution
under § 1003.2(g) but is not a creditor under Regulation Z, § 1026.2(a)(17). In this example, the
transaction is an open-end line of credit under Regulation C, provided the other requirements of
§ 1003.2(o) are met.

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2. Extension of credit. Extension of credit has the same meaning under § 1003.2(o) as under
§ 1003.2(d) and comment 2(d)-2. Thus, for example, a renewal of an open-end line of credit is
not an extension of credit under § 1003.2(o) and is not covered by Regulation C unless the
existing debt obligation is satisfied and replaced. Likewise, under § 1003.2(o), each draw on an
open-end line of credit is not an extension of credit.
2(P) REFINANCING
1. General. Section 1003.2(p) defines a refinancing as a closed-end mortgage loan or an openend line of credit in which a new, dwelling-secured debt obligation satisfies and replaces an
existing, dwelling-secured debt obligation by the same borrower. Except as described in
comment 2(p)-2, whether a refinancing has occurred is determined by reference to whether,
based on the parties' contract and applicable law, the original debt obligation has been satisfied
or replaced by a new debt obligation. Whether the original lien is satisfied is irrelevant. For
example:
i. A new closed-end mortgage loan that satisfies and replaces one or more existing closedend mortgage loans is a refinancing under § 1003.2(p).
ii. A new open-end line of credit that satisfies and replaces an existing closed-end mortgage
loan is a refinancing under § 1003.2(p).
iii. Except as described in comment 2(p)-2, a new debt obligation that renews or modifies
the terms of, but that does not satisfy and replace, an existing debt obligation, is not a
refinancing under § 1003.2(p).
2. New York State consolidation, extension, and modification agreements. Where a transaction
is completed pursuant to a New York State consolidation, extension, and modification
agreement and is classified as a supplemental mortgage under New York Tax Law section 255,
such that the borrower owes reduced or no mortgage recording taxes, and where, but for the
agreement, the transaction would have met the definition of a refinancing under § 1003.2(p), the
transaction is considered a refinancing under § 1003.2(p). See also comment 2(d)-2.ii.
3. Existing debt obligation. A closed-end mortgage loan or an open-end line of credit that
satisfies and replaces one or more existing debt obligations is not a refinancing under
§ 1003.2(p) unless the existing debt obligation (or obligations) also was secured by a dwelling.
For example, assume that a borrower has an existing $30,000 closed-end mortgage loan and
obtains a new $50,000 closed-end mortgage loan that satisfies and replaces the existing
$30,000 loan. The new $50,000 loan is a refinancing under § 1003.2(p). However, if the
borrower obtains a new $50,000 closed-end mortgage loan that satisfies and replaces an
existing $30,000 loan secured only by a personal guarantee, the new $50,000 loan is not a
refinancing under § 1003.2(p). See § 1003.4(a)(3) and related commentary for guidance about

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how to report the loan purpose of such transactions, if they are not otherwise excluded under
§ 1003.3(c).
4. Same borrower. Section 1003.2(p) provides that, even if all of the other requirements of
§ 1003.2(p) are met, a closed-end mortgage loan or an open-end line of credit is not a
refinancing unless the same borrower undertakes both the existing and the new obligation(s).
Under § 1003.2(p), the “same borrower” undertakes both the existing and the new obligation(s)
even if only one borrower is the same on both obligations. For example, assume that an existing
closed-end mortgage loan (obligation X) is satisfied and replaced by a new closed-end
mortgage loan (obligation Y). If borrowers A and B both are obligated on obligation X, and only
borrower B is obligated on obligation Y, then obligation Y is a refinancing under § 1003.2(p),
assuming the other requirements of § 1003.2(p) are met, because borrower B is obligated on
both transactions. On the other hand, if only borrower A is obligated on obligation X, and only
borrower B is obligated on obligation Y, then obligation Y is not a refinancing under § 1003.2(p).
For example, assume that two spouses are divorcing. If both spouses are obligated on
obligation X, but only one spouse is obligated on obligation Y, then obligation Y is a refinancing
under § 1003.2(p), assuming the other requirements of § 1003.2(p) are met. On the other hand,
if only spouse A is obligated on obligation X, and only spouse B is obligated on obligation Y,
then obligation Y is not a refinancing under § 1003.2(p). See § 1003.4(a)(3) and related
commentary for guidance about how to report the loan purpose of such transactions, if they are
not otherwise excluded under § 1003.3(c).
5. Two or more debt obligations. Section 1003.2(p) provides that, to be a refinancing, a new
debt obligation must satisfy and replace an existing debt obligation. Where two or more new
obligations replace an existing obligation, each new obligation is a refinancing if, taken together,
the new obligations satisfy the existing obligation. Similarly, where one new obligation replaces
two or more existing obligations, the new obligation is a refinancing if it satisfies each of the
existing obligations.
6. Multiple-purpose loans. A closed-end mortgage loan or an open-end line of credit may be
used for multiple purposes. For example, a closed-end mortgage loan that is a refinancing
under § 1003.2(p) may also be a home improvement loan under § 1003.2(i) and be used for
other purposes if the refinancing is a cash-out refinancing and the funds will be used both for
home improvement and to pay college tuition. Such a transaction is a multiple-purpose loan.
Comment 4(a)(3)-3 provides details about how to report multiple-purpose covered loans.
SECTION 1003.3—EXEMPT INSTITUTIONS AND EXCLUDED AND PARTIALLY EXEMPT
TRANSACTIONS

3(C) EXCLUDED TRANSACTIONS

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Paragraph 3(c)(1)
1. Financial institution acting in a fiduciary capacity. Section 1003.3(c)(1) provides that a closedend mortgage loan or an open-end line of credit originated or purchased by a financial institution
acting in a fiduciary capacity is an excluded transaction. A financial institution acts in a fiduciary
capacity if, for example, the financial institution acts as a trustee.
Paragraph 3(c)(2)
1. Loan or line of credit secured by a lien on unimproved land. Section 1003.3(c)(2) provides
that a closed-end mortgage loan or an open-end line of credit secured by a lien on unimproved
land is an excluded transaction. A loan or line of credit is secured by a lien on unimproved land
if the loan or line of credit is secured by vacant or unimproved property, unless the institution
knows, based on information that it receives from the applicant or borrower at the time the
application is received or the credit decision is made, that the proceeds of that loan or credit line
will be used within two years after closing or account opening to construct a dwelling on, or to
purchase a dwelling to be placed on, the land. A loan or line of credit that is not excludable
under § 1003.3(c)(2) nevertheless may be excluded, for example, as temporary financing under
§ 1003.3(c)(3).
Paragraph 3(c)(3)
1. Temporary financing. Section 1003.3(c)(3) provides that closed-end mortgage loans or openend lines of credit obtained for temporary financing are excluded transactions. A loan or line of
credit is considered temporary financing and excluded under § 1003.3(c)(3) if the loan or line of
credit is designed to be replaced by separate permanent financing extended by any financial
institution to the same borrower at a later time. For example:
i. Lender A extends credit in the form of a bridge or swing loan to finance a borrower's down
payment on a home purchase. The borrower pays off the bridge or swing loan with funds
from the sale of his or her existing home and obtains permanent financing for his or her new
home from Lender A or from another lender. The bridge or swing loan is excluded as
temporary financing under § 1003.3(c)(3).
ii. Lender A extends credit to a borrower to finance construction of a dwelling. The borrower
will obtain a new extension of credit for permanent financing for the dwelling, either from
Lender A or from another lender, and either through a refinancing of the initial construction
loan or a separate loan. The initial construction loan is excluded as temporary financing
under § 1003.3(c)(3).
iii. Assume the same scenario as in comment 3(c)(3)-1.ii, except that the initial construction
loan is, or may be, renewed one or more times before the separate permanent financing is
obtained. The initial construction loan, including any renewal thereof, is excluded as
temporary financing under § 1003.3(c)(3).

I-13

iv. Lender A extends credit to finance construction of a dwelling. The loan automatically will
convert to permanent financing extended to the same borrower with Lender A once the
construction phase is complete. Under § 1003.3(c)(3), the loan is not designed to be
replaced by separate permanent financing extended to the same borrower, and therefore
the temporary financing exclusion does not apply. See also comment 2(j)-3.
v. Lender A originates a loan with a nine-month term to enable an investor to purchase a
home, renovate it, and re-sell it before the term expires. Under § 1003.3(c)(3), the loan is
not designed to be replaced by separate permanent financing extended to the same
borrower, and therefore the temporary financing exclusion does not apply. Such a
transaction is not temporary financing under § 1003.3(c)(3) merely because its term is short.
2. Loan or line of credit to construct a dwelling for sale. A construction-only loan or line of credit
is considered temporary financing and excluded under § 1003.3(c)(3) if the loan or line of credit
is extended to a person exclusively to construct a dwelling for sale. See comment 3(c)(3)-1.ii
through .iv for examples of the reporting requirement for construction loans that are not
extended to a person exclusively to construct a dwelling for sale.
Paragraph 3(c)(4)
1. Purchase of an interest in a pool of loans. Section 1003.3(c)(4) provides that the purchase of
an interest in a pool of closed-end mortgage loans or open-end lines of credit is an excluded
transaction. The purchase of an interest in a pool of loans or lines of credit includes, for
example, mortgage-participation certificates, mortgage-backed securities, or real estate
mortgage investment conduits.
Paragraph 3(c)(6)
1. Mergers and acquisitions. Section 1003.3(c)(6) provides that the purchase of closed-end
mortgage loans or open-end lines of credit as part of a merger or acquisition, or as part of the
acquisition of all of the assets and liabilities of a branch office, are excluded transactions. If a
financial institution acquires loans or lines of credit in bulk from another institution (for example,
from the receiver for a failed institution), but no merger or acquisition of an institution, or
acquisition of a branch office, is involved and no other exclusion applies, the acquired loans or
lines of credit are covered loans and are reported as described in comment 4(a)-1.iii.
Paragraph 3(c)(8)
1. Partial interest. Section 1003.3(c)(8) provides that the purchase of a partial interest in a
closed-end mortgage loan or an open-end line of credit is an excluded transaction. If an
institution acquires only a partial interest in a loan or line of credit, the institution does not report
the transaction even if the institution participated in the underwriting and origination of the loan
or line of credit. If an institution acquires a 100 percent interest in a loan or line of credit, the
transaction is not excluded under § 1003.3(c)(8).

I-14

Paragraph 3(c)(9)
1. Loan or line of credit used primarily for agricultural purposes. Section 1003.3(c)(9) provides
that an institution does not report a closed-end mortgage loan or an open-end line of credit used
primarily for agricultural purposes. A loan or line of credit is used primarily for agricultural
purposes if its funds will be used primarily for agricultural purposes, or if the loan or line of credit
is secured by a dwelling that is located on real property that is used primarily for agricultural
purposes (e.g., a farm). An institution may refer to comment 3(a)-8 in the official interpretations
of Regulation Z, 12 CFR part 1026, supplement I, for guidance on what is an agricultural
purpose. An institution may use any reasonable standard to determine the primary use of the
property. An institution may select the standard to apply on a case-by-case basis.
Paragraph 3(c)(10)
1. General. Section 1003.3(c)(10) provides a special rule for reporting a closed-end mortgage
loan or an open-end line of credit that is or will be made primarily for a business or commercial
purpose. If an institution determines that a closed-end mortgage loan or an open-end line of
credit primarily is for a business or commercial purpose, then the loan or line of credit is a
covered loan only if it is a home improvement loan under § 1003.2(i), a home purchase loan
under § 1003.2(j), or a refinancing under § 1003.2(p) and no other exclusion applies. Section
1003.3(c)(10) does not categorically exclude all business- or commercial-purpose loans and
lines of credit from coverage.
2. Primary purpose. An institution must determine in each case if a closed-end mortgage loan or
an open-end line of credit primarily is for a business or commercial purpose. If a closed-end
mortgage loan or an open-end line of credit is deemed to be primarily for a business,
commercial, or organizational purpose under Regulation Z, 12 CFR 1026.3(a) and its related
commentary, then the loan or line of credit also is deemed to be primarily for a business or
commercial purpose under § 1003.3(c)(10).
3. Examples—covered business- or commercial-purpose transactions. The following are
examples of closed-end mortgage loans and open-end lines of credit that are not excluded from
reporting under § 1003.3(c)(10) because, although they primarily are for a business or
commercial purpose, they also meet the definition of a home improvement loan under
§ 1003.2(i), a home purchase loan under § 1003.2(j), or a refinancing under § 1003.2(p):
i. A closed-end mortgage loan or an open-end line of credit to purchase or to improve a
multifamily dwelling or a single-family investment property, or a refinancing of a closed-end
mortgage loan or an open-end line of credit secured by a multifamily dwelling or a singlefamily investment property;
ii. A closed-end mortgage loan or an open-end line of credit to improve a doctor's office or a
daycare center that is located in a dwelling other than a multifamily dwelling; and

I-15

iii. A closed-end mortgage loan or an open-end line of credit to a corporation, if the funds
from the loan or line of credit will be used to purchase or to improve a dwelling, or if the
transaction is a refinancing.
4. Examples—excluded business- or commercial-purpose transactions. The following are
examples of closed-end mortgage loans and open-end lines of credit that are not covered loans
because they primarily are for a business or commercial purpose, but they do not meet the
definition of a home improvement loan under § 1003.2(i), a home purchase loan under
§ 1003.2(j), or a refinancing under § 1003.2(p):
i. A closed-end mortgage loan or an open-end line of credit whose funds will be used
primarily to improve or expand a business, for example to renovate a family restaurant that
is not located in a dwelling, or to purchase a warehouse, business equipment, or inventory;
ii. A closed-end mortgage loan or an open-end line of credit to a corporation whose funds
will be used primarily for business purposes, such as to purchase inventory; and
iii. A closed-end mortgage loan or an open-end line of credit whose funds will be used
primarily for business or commercial purposes other than home purchase, home
improvement, or refinancing, even if the loan or line of credit is cross-collateralized by a
covered loan.
Paragraph 3(c)(11)
1. General. Section 1003.3(c)(11) provides that a closed-end mortgage loan is an excluded
transaction if a financial institution originated fewer than 100 closed-end mortgage loans in
either of the two preceding calendar years. For example, assume that a bank is a financial
institution in 2021 under § 1003.2(g) because it originated 600 open-end lines of credit in 2019,
650 open-end lines of credit in 2020, and met all of the other requirements under § 1003.2(g)(1).
Also assume that the bank originated 75 and 90 closed-end mortgage loans in 2019 and 2020,
respectively. The open-end lines of credit that the bank originated or purchased, or for which it
received applications, during 2021 are covered loans and must be reported, unless they
otherwise are excluded transactions under § 1003.3(c). However, the closed-end mortgage
loans that the bank originated or purchased, or for which it received applications, during 2021
are excluded transactions under § 1003.3(c)(11) and need not be reported. See comments 4(a)2 through -4 for guidance about the activities that constitute an origination.
2. Optional reporting. A financial institution may report applications for, originations of, or
purchases of closed-end mortgage loans that are excluded transactions because the financial
institution originated fewer than 100 closed-end mortgage loans in either of the two preceding
calendar years. However, a financial institution that chooses to report such excluded
applications for, originations of, or purchases of closed-end mortgage loans must report all such
applications for closed-end mortgage loans that it receives, closed-end mortgage loans that it
originates, and closed-end mortgage loans that it purchases that otherwise would be covered
I-16

loans for a given calendar year. Note that applications which remain pending at the end of a
calendar year are not reported, as described in comment 4(a)(8)(i)-14. An institution that was a
financial institution as of January 1, 2020 but is not a financial institution on July 1, 2020
because it originated fewer than 100 closed-end mortgage loans in 2018 or 2019 is not required
in 2021 to report, but may report, applications for, originations of, or purchases of closed-end
mortgage loans for calendar year 2020 that are excluded transactions because the institution
originated fewer than 100 closed-end mortgage loans in 2018 or 2019. However, an institution
that was a financial institution as of January 1, 2020 and chooses to report such excluded
applications for, originations of, or purchases of closed-end mortgage loans in 2021 must report
all such applications for closed-end mortgage loans that it receives, closed-end mortgage loans
that it originates, and closed-end mortgage loans that it purchases that otherwise would be
covered loans for all of calendar year 2020.
Paragraph 3(c)(12)
1. General. Section 1003.3(c)(12) provides that an open-end line of credit is an excluded
transaction if a financial institution originated fewer than 500 open-end lines of credit in either of
the two preceding calendar years. For example, assume that a bank is a financial institution in
2020 under § 1003.2(g) because it originated 50 closed-end mortgage loans in 2018, 75 closedend mortgage loans in 2019, and met all of the other requirements under § 1003.2(g)(1). Also
assume that the bank originated 75 and 85 open-end lines of credit in 2018 and 2019,
respectively. The closed-end mortgage loans that the bank originated or purchased, or for which
it received applications, during 2020 are covered loans and must be reported, unless they
otherwise are excluded transactions under § 1003.3(c). However, the open-end lines of credit
that the bank originated or purchased, or for which it received applications, during 2020 are
excluded transactions under § 1003.3(c)(12) and need not be reported. See comments 4(a)-2
through -4 for guidance about the activities that constitute an origination.
2. Optional reporting. A financial institution may report applications for, originations of, or
purchases of open-end lines of credit that are excluded transactions because the financial
institution originated fewer than 500 open-end lines of credit in either of the two preceding
calendar years. However, a financial institution that chooses to report such excluded
applications for, originations of, or purchases of open-end lines of credit must report all such
applications for open-end lines of credit on which it receives, open-end lines of credit that it
originates, and open-end lines of credit that it purchases that otherwise would be covered loans
for a given calendar year. Note that applications which remain pending at the end of a calendar
year are not reported, as described in comment 4(a)(8)(i)-14.
Paragraph 3(c)(13)
1. New funds extended before consolidation. Section 1003.3(c)(13) provides an exclusion for a
transaction that provided or, in the case of an application, proposed to provide new funds to the
borrower in advance of being consolidated in a New York State consolidation, extension, and
modification agreement classified as a supplemental mortgage under New York Tax Law
I-17

section 255 (New York CEMA) and for which final action is taken on both transactions within the
same calendar year. The excluded transaction provides or proposes to provide funds that are
not part of any existing debt obligation of the borrower and that are then consolidated or
proposed to be consolidated with an existing debt obligation or obligations as part of the
supplemental mortgage. The new funds are reported only insofar as they form part of the total
amount of the reported New York CEMA, and not as a separate amount. This exclusion applies
only if, at the time the transaction that provided new funds was originated, the financial
institution intended to consolidate the loan into a New York CEMA. If a New York CEMA that
consolidates an excluded preliminary transaction is carried out in a transaction involving an
assumption, the financial institution reports the New York CEMA and does not report the
preliminary transaction separately. The § 1003.3(c)(13) exclusion does not apply to similar
preliminary transactions that provide or propose to provide new funds to be consolidated not
pursuant to New York Tax Law section 255 but under some other law in a transaction that is not
an extension of credit. For example, assume a financial institution extends new funds to a
consumer in a preliminary transaction that is then consolidated as part of a consolidation,
extension and modification agreement pursuant to the law of a State other than New York. If the
preliminary extension of new funds is a covered loan, it must be reported. If the consolidation,
extension and modification agreement pursuant to the law of a State other than New York is not
an extension of credit pursuant to Regulation C, it may not be reported. For discussion of how to
report a cash-out refinancing, see comment 4(a)(3)-2.
3(D) PARTIALLY EXEMPT TRANSACTIONS
1. Merger or acquisition—application of partial exemption thresholds to surviving or newly
formed institution. After a merger or acquisition, the surviving or newly formed institution falls
below the loan threshold described in § 1003.3(d)(2) or (3) if it, considering the combined
lending activity of the surviving or newly formed institution and the merged or acquired
institutions or acquired branches, falls below the loan threshold described in § 1003.3(d)(2) or
(3). For example, A and B merge. The surviving or newly formed institution falls below the loan
threshold described in § 1003.3(d)(2) if the surviving or newly formed institution, A, and B
originated a combined total of fewer than 500 closed-end mortgage loans that are not excluded
from this part pursuant to § 1003.3(c)(1) through (10) or (c)(13) in each of the two preceding
calendar years. Comment 3(d)-3 discusses eligibility for partial exemptions during the calendar
year of a merger.
2. Merger or acquisition—Community Reinvestment Act examination history. After a merger or
acquisition, the surviving or newly formed institution is deemed to be ineligible for the partial
exemptions pursuant to § 1003.3(d)(6) if either it or any of the merged or acquired institutions
received a rating of “needs to improve record of meeting community credit needs” during each
of its two most recent examinations or a rating of “substantial noncompliance in meeting
community credit needs” on its most recent examination under section 807(b)(2) of the
Community Reinvestment Act of 1977 (12 U.S.C. 2906(b)(2)). Comment 3(d)-3.iii discusses

I-18

eligibility for partial exemptions during the calendar year of a merger when an institution that is
eligible for a partial exemption merges with an institution that is ineligible for the partial
exemption (including, for example, an institution that is ineligible for the partial exemptions
pursuant to § 1003.3(d)(6)) and the surviving or newly formed institution is ineligible for the
partial exemption.
3. Merger or acquisition—applicability of partial exemptions during calendar year of merger or
acquisition. The scenarios described below illustrate the applicability of partial exemptions
under § 1003.3(d) during the calendar year of a merger or acquisition. For purposes of these
illustrations, “institution” means a financial institution, as defined in § 1003.2(g), that is not
exempt from reporting under § 1003.3(a). Although the scenarios below refer to the partial
exemption for closed-end mortgage loans under § 1003.3(d)(2), the same principles apply with
respect to the partial exemption for open-end lines of credit under § 1003.3(d)(3).
i. Assume two institutions that are eligible for the partial exemption for closed-end mortgage
loans merge and the surviving or newly formed institution meets all of the requirements for the
partial exemption. The partial exemption for closed-end mortgage loans applies for the calendar
year of the merger.
ii. Assume two institutions that are eligible for the partial exemption for closed-end mortgage
loans merge and the surviving or newly formed institution does not meet the requirements for
the partial exemption. Collection of optional data for closed-end mortgage loans is permitted but
not required for the calendar year of the merger (even though the merger creates an institution
that does not meet the requirements for the partial exemption for closed-end mortgage loans).
When a branch office of an institution that is eligible for the partial exemption is acquired by
another institution that is eligible for the partial exemption, and the acquisition results in an
institution that is not eligible for the partial exemption, data collection for closed-end mortgage
loans is permitted but not required for the calendar year of the acquisition.
iii. Assume an institution that is eligible for the partial exemption for closed-end mortgage loans
merges with an institution that is ineligible for the partial exemption and the surviving or newly
formed institution is ineligible for the partial exemption. For the calendar year of the merger,
collection of optional data as defined in § 1003.3(d)(1)(iii) for closed-end mortgage loans is
required for covered loans and applications handled in the offices of the merged institution that
was previously ineligible for the partial exemption. For the calendar year of the merger,
collection of optional data for closed-end mortgage loans is permitted but not required for
covered loans and applications handled in the offices of the merged institution that was
previously eligible for the partial exemption. When an institution that is ineligible for the partial
exemption for closed-end mortgage loans acquires a branch office of an institution that is
eligible for the partial exemption, collection of optional data for closed-end mortgage loans is
permitted but not required for covered loans and applications handled by the acquired branch
office for the calendar year of the acquisition.

I-19

iv. Assume an institution that is eligible for the partial exemption for closed-end mortgage loans
merges with an institution that is ineligible for the partial exemption and the surviving or newly
formed institution is eligible for the partial exemption. For the calendar year of the merger,
collection of optional data for closed-end mortgage loans is required for covered loans and
applications handled in the offices of the previously ineligible institution that took place prior to
the merger. After the merger date, collection of optional data for closed-end mortgage loans is
permitted but not required for covered loans and applications handled in the offices of the
institution that was previously ineligible for the partial exemption. When an institution remains
eligible for the partial exemption for closed-end mortgage loans after acquiring a branch office of
an institution that is ineligible for the partial exemption, collection of optional data for closed-end
mortgage loans is required for transactions of the acquired branch office that take place prior to
the acquisition. Collection of optional data for closed-end mortgage loans by the acquired
branch office is permitted but not required for transactions taking place in the remainder of the
calendar year after the acquisition.
4. Originations. Whether applications for covered loans that an insured depository institution or
insured credit union receives, covered loans that it originates, or covered loans that it purchases
are partially exempt transactions under § 1003.3(d) depends, in part, on whether the institution
originated fewer than 500 closed-end mortgage loans that are not excluded from this part
pursuant to § 1003.3(c)(1) through (10) or (c)(13) in each of the two preceding calendar years or
fewer than 500 open-end lines of credit that are not excluded from this part pursuant to
§ 1003.3(c)(1) through (10) in each of the two preceding calendar years. See comments 4(a)-2
through -4 for guidance about the activities that constitute an origination for purposes of
§ 1003.3(d).
5. Affiliates. A financial institution that is not itself an insured credit union or an insured
depository institution as defined in § 1003.3(d)(1)(i) and (ii) is not eligible for the partial
exemptions under § 1003.3(d)(1) through (3), even if it is owned by or affiliated with an insured
credit union or an insured depository institution. For example, an institution that is a subsidiary
of an insured credit union or insured depository institution may not claim a partial exemption
under § 1003.3(d) for its closed-end mortgage loans unless the subsidiary institution itself:
i. Is an insured credit union or insured depository institution,
ii. In each of the two preceding calendar years originated fewer than 500 closed-end mortgage
loans that are not excluded from this part pursuant to § 1003.3(c)(1) through (10) or (c)(13), and
iii. If the subsidiary is an insured depository institution, had not received as of the preceding
December 31 a rating of “needs to improve record of meeting community credit needs” during
each of its two most recent examinations or a rating of “substantial noncompliance in meeting
community credit needs” on its most recent examination under section 807(b)(2) of the
Community Reinvestment Act of 1977 (12 U.S.C. 2906(b)(2)).

I-20

Paragraph 3(d)(1)(iii)
1. Optional data. The definition of optional data in § 1003.3(d)(1)(iii) identifies the data that are
covered by the partial exemptions for certain transactions of insured depository institutions and
insured credit unions under § 1003.3(d). If a transaction is not partially exempt under
§ 1003.3(d)(2) or (3), a financial institution must collect, record, and report optional data as
otherwise required under this part.
Paragraph 3(d)(2)
1. General. Section 1003.3(d)(2) provides that, except as provided in § 1003.3(d)(6), an
insured depository institution or insured credit union that, in each of the two preceding calendar
years, originated fewer than 500 closed-end mortgage loans that are not excluded from this part
pursuant to § 1003.3(c)(1) through (10) or (c)(13) is not required to collect, record, or report
optional data as defined in § 1003.3(d)(1)(iii) for applications for closed-end mortgage loans that
it receives, closed-end mortgage loans that it originates, and closed-end mortgage loans that it
purchases. For example, assume that an insured credit union is a financial institution in 2020
under § 1003.2(g) and originated, in 2018 and 2019 respectively, 100 and 200 closed-end
mortgage loans that are not excluded from this part pursuant to § 1003.3(c)(1) through (10) or
(c)(13). The closed-end mortgage loans that the insured credit union originated or purchased,
or for which it received applications, during 2020 are not excluded transactions under
§ 1003.3(c)(11). However, due to the partial exemption in § 1003.3(d)(2), the insured credit
union is not required to collect, record, or report optional data as defined in § 1003.3(d)(1)(iii) for
the closed-end mortgage loans that it originated or purchased, or for which it received
applications, for which final action is taken during 2020. See comments 4(a)-2 through -4 for
guidance about the activities that constitute an origination.
Paragraph 3(d)(3)
1. General. Section 1003.3(d)(3) provides that, except as provided in § 1003.3(d)(6), an insured
depository institution or insured credit union that, in each of the two preceding calendar years,
originated fewer than 500 open-end lines of credit that are not excluded from this part pursuant
to § 1003.3(c)(1) through (10) is not required to collect, record, or report optional data as
defined in § 1003.3(d)(1)(iii) for applications for open-end lines of credit that it receives, openend lines of credit that it originates, and open-end lines of credit that it purchases. See
§ 1003.3(c)(12) and comments 3(c)(12)-1 and -2, which provide an exclusion for certain openend lines of credit from this part and permit voluntary reporting of such transactions under
certain circumstances. See also comments 4(a)-2 through -4 for guidance about the activities
that constitute an origination.
Paragraph 3(d)(4)

I-21

1. General. Section 1003.3(d)(4) provides that an insured depository institution or insured credit
union may collect, record, and report optional data as defined in § 1003.3(d)(1)(iii) for a partially
exempt transaction as though the institution were required to do so, provided that, if an
institution voluntarily reports any data pursuant to any of the seven paragraphs identified in
§ 1003.3(d)(4)(i) and (ii) (§ 1003.4(a)(9)(i) and (a)(15), (16), (17), (27), (33), and (35)), it also
must report all other data for the covered loan or application that would be required by that
applicable paragraph if the transaction were not partially exempt. For example, an insured
depository institution or insured credit union may voluntarily report the existence of a balloon
payment for a partially exempt transaction pursuant to § 1003.4(a)(27), but, if it does so, it must
also report all other data for the transaction that would be required by § 1003.4(a)(27) if the
transaction were not partially exempt (i.e., whether the transaction has interest-only payments,
negative amortization, or other non-amortizing features).
2. Partially exempt transactions within the same loan/application register. A financial institution
may collect, record, and report optional data for some partially exempt transactions under
§ 1003.3(d) in the manner specified in § 1003.3(d)(4), even if it does not collect, record, and
report optional data for other partially exempt transactions under § 1003.3(d).
3. Exempt or not applicable. i. If a financial institution would otherwise report that a transaction
is partially exempt pursuant to § 1003.3(d) and a particular requirement to report optional data is
not applicable to the transaction, the insured depository institution or insured credit union
complies with the particular requirement by reporting either that the transaction is exempt from
the requirement or that the requirement is not applicable. For example, assume that an insured
depository institution or insured credit union originates a partially exempt reverse mortgage.
The requirement to report lender credits is not applicable to reverse mortgages, as comment
4(a)(20)-1 explains. Accordingly, the institution could report either exempt or not applicable for
lender credits for the reverse mortgage transaction.
ii. An institution is considered as reporting data in a data field for purposes of § 1003.3(d)(4)(i)
and (ii) when it reports not applicable for that data field for a partially exempt transaction. For
example, assume an insured depository institution or insured credit union originates a covered
loan that is eligible for a partial exemption and is made primarily for business or commercial
purposes. The requirement to report total loan costs or total points and fees is not applicable to
loans made primarily for business or commercial purposes, as comments 4(a)(17)(i)-1 and (ii)-1
explain. The institution can report not applicable for both total loan costs and total points and
fees, or it can report exempt for both total loan costs and total points and fees for the loan.
Pursuant to § 1003.3(d)(4)(ii), the institution is not permitted to report not applicable for total
loan costs and report exempt for total points and fees for the business or commercial purpose
loan.
Paragraph 3(d)(4)(i)

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1. State. Section 1003.3(d)(4)(i) provides that if an institution eligible for a partial exemption
under § 1003.3(d)(2) or (3) reports the street address, city name, or Zip Code for a partially
exempt transaction pursuant to § 1003.4(a)(9)(i), it reports all data that would be required by §
1003.4(a)(9)(i) if the transaction were not partially exempt, including the State. An insured
depository institution or insured credit union that reports the State pursuant to § 1003.4(a)(9)(ii)
or comment 4(a)(9)(ii)-1 for a partially exempt transaction without reporting any other data
required by § 1003.4(a)(9)(i) is not required to report the street address, city name, or Zip Code
pursuant to § 1003.4(a)(9)(i).
Paragraph 3(d)(5)
1. NULI—uniqueness. For a partially exempt transaction under § 1003.3(d), a financial
institution may report a ULI or a NULI. Section 1003.3(d)(5)(ii) requires an insured depository
institution or insured credit union that assigns a NULI to a covered loan or application to ensure
that the character sequence it assigns is unique within the institution’s annual loan/application
register in which it appears. A financial institution should assign only one NULI to any particular
covered loan or application within each annual loan/application register, and each NULI should
correspond to a single application and ensuing loan within the annual loan/application register in
which the NULI appears in the case that the application is approved and a loan is originated. A
financial institution may use a NULI more than once within an annual loan/application register
only if the NULI refers to the same loan or application or a loan that ensues from an application
referred to elsewhere in the annual loan/application register. Refinancings or applications for
refinancing that are included in same annual loan/application register as the loan that is being
refinanced should be assigned a different NULI than the loan that is being refinanced. An
insured depository institution or insured credit union with multiple branches must ensure that its
branches do not use the same NULI to refer to multiple covered loans or applications within the
institution’s same annual loan/application register.
2. NULI—privacy. Section 1003.3(d)(5)(iii) prohibits an insured depository institution or insured
credit union from including information in the NULI that could be used to directly identify the
applicant or borrower. Information that could be used to directly identify the applicant or
borrower includes, but is not limited to, the applicant’s or borrower’s name, date of birth, Social
Security number, official government-issued driver’s license or identification number, alien
registration number, government passport number, or employer or taxpayer identification
number.
Paragraph 3(d)(6)
1. Preceding calendar year. Section 1003.3(d)(6) refers to the preceding December 31, which
means the December 31 preceding the current calendar year. For example, in 2020, the
preceding December 31 is December 31, 2019. Assume that, as of December 31, 2019, an
insured depository institution received ratings of “needs to improve record of meeting
community credit needs” during its two most recent examinations under section 807(b)(2) of the
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Community Reinvestment Act (12 U.S.C. 2906(b)(2)) in 2018 and 2014. Accordingly, in 2020,
the insured depository institution’s transactions are not partially exempt pursuant to § 1003.3(d).

SECTION 1003.4—COMPILATION OF REPORTABLE DATA

4(A) DATA FORMAT AND ITEMIZATION
1. General. Except as otherwise provided in § 1003.3, § 1003.4(a) describes a financial
institution's obligation to collect data on applications it received, on covered loans that it
originated, and on covered loans that it purchased during the calendar year covered by the
loan/application register.
i. A financial institution reports these data even if the covered loans were subsequently sold
by the institution.
ii. A financial institution reports data for applications that did not result in an origination but
on which actions were taken-for example, an application that the institution denied, that it
approved but that was not accepted, that it closed for incompleteness, or that the applicant
withdrew during the calendar year covered by the loan/application register. A financial
institution is required to report data regarding requests under a preapproval program (as
defined in § 1003.2(b)(2)) only if the preapproval request is denied, results in the origination
of a home purchase loan, or was approved but not accepted.
iii. If a financial institution acquires covered loans in bulk from another institution (for
example, from the receiver for a failed institution), but no merger or acquisition of an
institution, or acquisition of a branch office, is involved, the acquiring financial institution
reports the covered loans as purchased loans.
iv. A financial institution reports the data for an application on the loan/application register
for the calendar year during which the application was acted upon even if the institution
received the application in a previous calendar year.
2. Originations and applications involving more than one institution. Section 1003.4(a) requires a
financial institution to collect certain information regarding applications for covered loans that it
receives and regarding covered loans that it originates. The following provides guidance on how
to report originations and applications involving more than one institution. The discussion below
assumes that all of the parties are financial institutions as defined by § 1003.2(g). The same
principles apply if any of the parties is not a financial institution. Comment 4(a)-3 provides
examples of transactions involving more than one institution, and comment 4(a)-4 discusses
how to report actions taken by agents.

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i. Only one financial institution reports each originated covered loan as an origination. If
more than one institution was involved in the origination of a covered loan, the financial
institution that made the credit decision approving the application before closing or account
opening reports the loan as an origination. It is not relevant whether the loan closed or, in
the case of an application, would have closed in the institution's name. If more than one
institution approved an application prior to closing or account opening and one of those
institutions purchased the loan after closing, the institution that purchased the loan after
closing reports the loan as an origination. If a financial institution reports a transaction as an
origination, it reports all of the information required for originations, even if the covered loan
was not initially payable to the financial institution that is reporting the covered loan as an
origination.
ii. In the case of an application for a covered loan that did not result in an origination, a
financial institution reports the action it took on that application if it made a credit decision on
the application or was reviewing the application when the application was withdrawn or
closed for incompleteness. It is not relevant whether the financial institution received the
application from the applicant or from another institution, such as a broker, or whether
another financial institution also reviewed and reported an action taken on the same
application.
3. Examples—originations and applications involving more than one institution. The following
scenarios illustrate how an institution reports a particular application or covered loan. The
illustrations assume that all of the parties are financial institutions as defined by § 1003.2(g).
However, the same principles apply if any of the parties is not a financial institution.
i. Financial Institution A received an application for a covered loan from an applicant and
forwarded that application to Financial Institution B. Financial Institution B reviewed the
application and approved the loan prior to closing. The loan closed in Financial Institution
A's name. Financial Institution B purchased the loan from Financial Institution A after
closing. Financial Institution B was not acting as Financial Institution A's agent. Since
Financial Institution B made the credit decision prior to closing, Financial Institution B reports
the transaction as an origination, not as a purchase. Financial Institution A does not report
the transaction.
ii. Financial Institution A received an application for a covered loan from an applicant and
forwarded that application to Financial Institution B. Financial Institution B reviewed the
application before the loan would have closed, but the application did not result in an
origination because Financial Institution B denied the application. Financial Institution B was
not acting as Financial Institution A's agent. Since Financial Institution B made the credit
decision, Financial Institution B reports the application as a denial. Financial Institution A
does not report the application. If, under the same facts, the application was withdrawn
before Financial Institution B made a credit decision, Financial Institution B would report the
application as withdrawn and Financial Institution A would not report the application.
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iii. Financial Institution A received an application for a covered loan from an applicant and
approved the application before closing the loan in its name. Financial Institution A was not
acting as Financial Institution B's agent. Financial Institution B purchased the covered loan
from Financial Institution A. Financial Institution B did not review the application before
closing. Financial Institution A reports the loan as an origination. Financial Institution B
reports the loan as a purchase.
iv. Financial Institution A received an application for a covered loan from an applicant. If
approved, the loan would have closed in Financial Institution B's name. Financial Institution
A denied the application without sending it to Financial Institution B for approval. Financial
Institution A was not acting as Financial Institution B's agent. Since Financial Institution A
made the credit decision before the loan would have closed, Financial Institution A reports
the application. Financial Institution B does not report the application.
v. Financial Institution A reviewed an application and made the credit decision to approve a
covered loan using the underwriting criteria provided by a third party (e.g., another financial
institution, Fannie Mae, or Freddie Mac). The third party did not review the application and
did not make a credit decision prior to closing. Financial Institution A was not acting as the
third party's agent. Financial Institution A reports the application or origination. If the third
party purchased the loan and is subject to Regulation C, the third party reports the loan as a
purchase whether or not the third party reviewed the loan after closing. Assume the same
facts, except that Financial Institution A approved the application, and the applicant chose
not to accept the loan from Financial Institution A. Financial Institution A reports the
application as approved but not accepted and the third party, assuming the third party is
subject to Regulation C, does not report the application.
vi. Financial Institution A reviewed and made the credit decision on an application based on
the criteria of a third-party insurer or guarantor (for example, a government or private insurer
or guarantor). Financial Institution A reports the action taken on the application.
vii. Financial Institution A received an application for a covered loan and forwarded it to
Financial Institutions B and C. Financial Institution A made a credit decision, acting as
Financial Institution D's agent, and approved the application. The applicant did not accept
the loan from Financial Institution D. Financial Institution D reports the application as
approved but not accepted. Financial Institution A does not report the application. Financial
Institution B made a credit decision, approving the application, the applicant accepted the
offer of credit from Financial Institution B, and credit was extended. Financial Institution B
reports the origination. Financial Institution C made a credit decision and denied the
application. Financial Institution C reports the application as denied.
4. Agents. If a financial institution made the credit decision on a covered loan or application
through the actions of an agent, the institution reports the application or origination. State law
determines whether one party is the agent of another. For example, acting as Financial
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Institution A's agent, Financial Institution B approved an application prior to closing and a
covered loan was originated. Financial Institution A reports the loan as an origination.
5. Purchased loans.
i. A financial institution is required to collect data regarding covered loans it purchases. For
purposes of § 1003.4(a), a purchase includes a repurchase of a covered loan, regardless of
whether the institution chose to repurchase the covered loan or was required to repurchase
the covered loan because of a contractual obligation and regardless of whether the
repurchase occurs within the same calendar year that the covered loan was originated or in
a different calendar year. For example, assume that Financial Institution A originates or
purchases a covered loan and then sells it to Financial Institution B, who later requires
Financial Institution A to repurchase the covered loan pursuant to the relevant contractual
obligations. Financial Institution B reports the purchase from Financial Institution A,
assuming it is a financial institution as defined under § 1003.2(g). Financial Institution A
reports the repurchase from Financial Institution B as a purchase.
ii. In contrast, for purposes of § 1003.4(a), a purchase does not include a temporary transfer
of a covered loan to an interim funder or warehouse creditor as part of an interim funding
agreement under which the originating financial institution is obligated to repurchase the
covered loan for sale to a subsequent investor. Such agreements, often referred to as
“repurchase agreements,” are sometimes employed as functional equivalents of warehouse
lines of credit. Under these agreements, the interim funder or warehouse creditor acquires
legal title to the covered loan, subject to an obligation of the originating institution to
repurchase at a future date, rather than taking a security interest in the covered loan as
under the terms of a more conventional warehouse line of credit. To illustrate, assume
Financial Institution A has an interim funding agreement with Financial Institution B to
enable Financial Institution B to originate loans. Assume further that Financial Institution B
originates a covered loan and that, pursuant to this agreement, Financial Institution A takes
a temporary transfer of the covered loan until Financial Institution B arranges for the sale of
the covered loan to a subsequent investor and that Financial Institution B repurchases the
covered loan to enable it to complete the sale to the subsequent investor (alternatively,
Financial Institution A may transfer the covered loan directly to the subsequent investor at
Financial Institution B's direction, pursuant to the interim funding agreement). The
subsequent investor could be, for example, a financial institution or other entity that intends
to hold the loan in portfolio, a GSE or other securitizer, or a financial institution or other
entity that intends to package and sell multiple loans to a GSE or other securitizer. In this
example, the temporary transfer of the covered loan from Financial Institution B to Financial
Institution A is not a purchase, and any subsequent transfer back to Financial Institution B
for delivery to the subsequent investor is not a purchase, for purposes of § 1003.4(a).
Financial Institution B reports the origination of the covered loan as well as its sale to the
subsequent investor. If the subsequent investor is a financial institution under § 1003.2(g), it

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reports a purchase of the covered loan pursuant to § 1003.4(a), regardless of whether it
acquired the covered loan from Financial Institution B or directly from Financial Institution A.
Paragraph 4(a)(1)(i)
1. ULI—uniqueness. Section 1003.4(a)(1)(i)(B)(2) requires a financial institution that assigns a
universal loan identifier (ULI) to each covered loan or application (except as provided in
§ 1003.4(a)(1)(i)(D) and (E)) to ensure that the character sequence it assigns is unique within
the institution and used only for the covered loan or application. A financial institution should
assign only one ULI to any particular covered loan or application, and each ULI should
correspond to a single application and ensuing loan in the case that the application is approved
and a loan is originated. A financial institution may use a ULI that was reported previously to
refer only to the same loan or application for which the ULI was used previously or a loan that
ensues from an application for which the ULI was used previously. A financial institution may not
report an application for a covered loan in 2030 using the same ULI that was reported for a
covered loan that was originated in 2020. Similarly, refinancings or applications for refinancing
should be assigned a different ULI than the loan that is being refinanced. A financial institution
with multiple branches must ensure that its branches do not use the same ULI to refer to
multiple covered loans or applications.
2. ULI—privacy. Section 1003.4(a)(1)(i)(B)(3) prohibits a financial institution from including
information that could be used to directly identify the applicant or borrower in the identifier that it
assigns for the application or covered loan of the applicant or borrower. Information that could
be used to directly identify the applicant or borrower includes, but is not limited to, the
applicant's or borrower's name, date of birth, Social Security number, official government-issued
driver's license or identification number, alien registration number, government passport
number, or employer or taxpayer identification number.
3. ULI—purchased covered loan. If a financial institution has previously assigned a covered loan
with a ULI or reported a covered loan with a ULI under this part, a financial institution that
purchases that covered loan must report the same ULI that was previously assigned or reported
unless the purchaser of the covered loan is a partially exempt transaction under § 1003.3(d).
For example, if a financial institution that submits an annual loan/application register pursuant to
§ 1003.5(a)(1)(i) originates a covered loan that is purchased by a financial institution that also
submits an annual loan/application register pursuant to § 1003.5(a)(1)(i), the financial institution
that purchases the covered loan must report the purchase of the covered loan using the same
ULI that was reported by the originating financial institution if the purchase is not a partially
exempt transaction. If a financial institution that originates a covered loan has previously
assigned the covered loan with a ULI under this part but has not yet reported the covered loan,
a financial institution that purchases that covered loan must report the same ULI that was
previously assigned if the purchase is not a partially exempt transaction. For example, if a
financial institution that submits an annual loan/application register pursuant to § 1003.5(a)(1)(i)
(Institution A) originates a covered loan that is purchased by a financial institution that submits a

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quarterly loan/application register pursuant to § 1003.5(a)(1)(ii) (Institution B) and Institution A
assigned a ULI to the loan, then unless the purchase is a partially exempt transaction Institution
B must report the ULI that was assigned by Institution A on Institution B’s quarterly
loan/application register pursuant to § 1003.5(a)(1)(ii), even though Institution A has not yet
submitted its annual loan/application register pursuant to § 1003.5(a)(1)(i). A financial institution
that purchases a covered loan and is ineligible for a partial exemption with respect to the
purchased covered loan must assign it a ULI pursuant to § 1003.4(a)(1)(i) and report it pursuant
to § 1003.5(a)(1)(i) or (ii), whichever is applicable, if the covered loan was not assigned a ULI by
the financial institution that originated the loan because, for example, the loan was originated
prior to January 1, 2018, the loan was originated by an institution not required to report under
this part, or the loan was assigned a non-universal loan identifier (NULI) under § 1003.3(d)(5)
rather than a ULI by the loan originator.
4. ULI—reinstated or reconsidered application. A financial institution may, at its option, report a
ULI previously reported under this part if, during the same calendar year, an applicant asks the
institution to reinstate a counteroffer that the applicant previously did not accept or asks the
financial institution to reconsider an application that was previously denied, withdrawn, or closed
for incompleteness. For example, if a financial institution reports a denied application in its
second-quarter 2020 data submission, pursuant to § 1003.5(a)(1)(ii), but then reconsiders the
application, resulting in an origination in the third quarter of 2020, the financial institution may
report the origination in its third-quarter 2020 data submission using the same ULI that was
reported for the denied application in its second-quarter 2020 data submission, so long as the
financial institution treats the origination as the same transaction for reporting. However, a
financial institution may not use a ULI previously reported if it reinstates or reconsiders an
application that was reported in a prior calendar year. For example, if a financial institution
reports a denied application that is not partially exempt in its fourth-quarter 2020 data
submission, pursuant to § 1003.5(a)(1)(ii), but then reconsiders the application, resulting in an
origination that is not partially exempt in the first quarter of 2021, the financial institution reports
a denied application under the original ULI in its fourth-quarter 2020 data submission and an
origination with a different ULI in its first-quarter 2021 data submission, pursuant to
§ 1003.5(a)(1)(ii).
5. ULI—check digit. Section 1003.(4)(a)(1)(i)(C) requires that the two right-most characters in
the ULI represent the check digit. Appendix C prescribes the requirements for generating a
check digit and validating a ULI.
6. NULI. For a partially exempt transaction under § 1003.3(d), a financial institution may report
a ULI or a NULI. See § 1003.3(d)(5) and comments 3(d)(5)-1 and -2 for guidance on the NULI.
Paragraph 4(a)(1)(ii)
1. Application date—consistency. Section 1003.4(a)(1)(ii) requires that, in reporting the date of
application, a financial institution report the date it received the application, as defined under

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§ 1003.2(b), or the date shown on the application form. Although a financial institution need not
choose the same approach for its entire HMDA submission, it should be generally consistent
(such as by routinely using one approach within a particular division of the institution or for a
category of loans). If the financial institution chooses to report the date shown on the application
form and the institution retains multiple versions of the application form, the institution reports
the date shown on the first application form satisfying the application definition provided under
§ 1003.2(b).
2. Application date—indirect application. For an application that was not submitted directly to the
financial institution, the institution may report the date the application was received by the party
that initially received the application, the date the application was received by the institution, or
the date shown on the application form. Although an institution need not choose the same
approach for its entire HMDA submission, it should be generally consistent (such as by routinely
using one approach within a particular division of the institution or for a category of loans).
3. Application date—reinstated application. If, within the same calendar year, an applicant asks
a financial institution to reinstate a counteroffer that the applicant previously did not accept (or
asks the institution to reconsider an application that was denied, withdrawn, or closed for
incompleteness), the institution may treat that request as the continuation of the earlier
transaction using the same ULI or NULI or as a new transaction with a new ULI or NULI. If the
institution treats the request for reinstatement or reconsideration as a new transaction, it reports
the date of the request as the application date. If the institution does not treat the request for
reinstatement or reconsideration as a new transaction, it reports the original application date.
Paragraph 4(a)(2)
1. Loan type—general. If a covered loan is not, or in the case of an application would not have
been, insured by the Federal Housing Administration, guaranteed by the Department of
Veterans Affairs, or guaranteed by the Rural Housing Service or the Farm Service Agency, an
institution complies with § 1003.4(a)(2) by reporting the covered loan as not insured or
guaranteed by the Federal Housing Administration, Department of Veterans Affairs, Rural
Housing Service, or Farm Service Agency.
Paragraph 4(a)(3)
1. Purpose—statement of applicant. A financial institution may rely on the oral or written
statement of an applicant regarding the proposed use of covered loan proceeds. For example, a
lender could use a check-box or a purpose line on a loan application to determine whether the
applicant intends to use covered loan proceeds for home improvement purposes. If an applicant
provides no statement as to the proposed use of covered loan proceeds and the covered loan is
not a home purchase loan, cash-out refinancing, or refinancing, a financial institution reports the
covered loan as for a purpose other than home purchase, home improvement, refinancing, or
cash-out refinancing for purposes of § 1003.4(a)(3).

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2. Purpose—refinancing and cash-out refinancing. Section 1003.4(a)(3) requires a financial
institution to report whether a covered loan is, or an application is for, a refinancing or a cashout refinancing. A financial institution reports a covered loan or an application as a cash-out
refinancing if it is a refinancing as defined by § 1003.2(p) and the institution considered it to be a
cash-out refinancing in processing the application or setting the terms (such as the interest rate
or origination charges) under its guidelines or an investor's guidelines. For example:
i. Assume a financial institution considers an application for a loan product to be a cash-out
refinancing under an investor's guidelines because of the amount of cash received by the
borrower at closing or account opening. Assume also that under the investor's guidelines,
the applicant qualifies for the loan product and the financial institution approves the
application, originates the covered loan, and sets the terms of the covered loan consistent
with the loan product. In this example, the financial institution would report the covered loan
as a cash-out refinancing for purposes of § 1003.4(a)(3).
ii. Assume a financial institution does not consider an application for a covered loan to be a
cash-out refinancing under its own guidelines because the amount of cash received by the
borrower does not exceed a certain threshold. Assume also that the institution approves the
application, originates the covered loan, and sets the terms of the covered loan consistent
with its own guidelines applicable to refinancings other than cash-out refinancings. In this
example, the financial institution would report the covered loan as a refinancing for purposes
of § 1003.4(a)(3).
iii. Assume a financial institution does not distinguish between a cash-out refinancing and a
refinancing under its own guidelines, and sets the terms of all refinancings without regard to
the amount of cash received by the borrower at closing or account opening, and does not
offer loan products under investor guidelines. In this example, the financial institution reports
all covered loans and applications for covered loans that are defined by § 1003.2(p) as
refinancings for purposes of § 1003.4(a)(3).
3. Purpose—multiple-purpose loan. Section 1003.4(a)(3) requires a financial institution to report
the purpose of a covered loan or application. If a covered loan is a home purchase loan as well
as a home improvement loan, a refinancing, or a cash-out refinancing, an institution complies
with § 1003.4(a)(3) by reporting the loan as a home purchase loan. If a covered loan is a home
improvement loan as well as a refinancing or cash-out refinancing, but the covered loan is not a
home purchase loan, an institution complies with § 1003.4(a)(3) by reporting the covered loan
as a refinancing or a cash-out refinancing, as appropriate. If a covered loan is a refinancing or
cash-out refinancing as well as for another purpose, such as for the purpose of paying
educational expenses, but the covered loan is not a home purchase loan, an institution complies
with § 1003.4(a)(3) by reporting the covered loan as a refinancing or a cash-out refinancing, as
appropriate. See comment 4(a)(3)-2. If a covered loan is a home improvement loan as well as
for another purpose, but the covered loan is not a home purchase loan, a refinancing, or cash-

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out refinancing, an institution complies with § 1003.4(a)(3) by reporting the covered loan as a
home improvement loan. See comment 2(i)-1.
4. Purpose—other. If a covered loan is not, or an application is not for, a home purchase loan, a
home improvement loan, a refinancing, or a cash-out refinancing, a financial institution complies
with § 1003.4(a)(3) by reporting the covered loan or application as for a purpose other than
home purchase, home improvement, refinancing, or cash-out refinancing. For example, if a
covered loan is for the purpose of paying educational expenses, the financial institution
complies with § 1003.4(a)(3) by reporting the covered loan as for a purpose other than home
purchase, home improvement, refinancing, or cash-out refinancing. Section 1003.4(a)(3) also
requires an institution to report a covered loan or application as for a purpose other than home
purchase, home improvement, refinancing, or cash-out refinancing if it is a refinancing but,
under the terms of the agreement, the financial institution was unconditionally obligated to
refinance the obligation subject to conditions within the borrower's control.
5. Purpose—business or commercial purpose loans. If a covered loan primarily is for a business
or commercial purpose as described in § 1003.3(c)(10) and comment 3(c)(10)-2 and is a home
purchase loan, home improvement loan, or a refinancing, § 1003.4(a)(3) requires the financial
institution to report the applicable loan purpose. If a loan primarily is for a business or
commercial purpose but is not a home purchase loan, home improvement loan, or a refinancing,
the loan is an excluded transaction under § 1003.3(c)(10).
6. Purpose—purchased loans. For purchased covered loans where origination took place prior
to January 1, 2018, a financial institution complies with § 1003.4(a)(3) by reporting that the
requirement is not applicable.
Paragraph 4(a)(4)
1. Request under a preapproval program. Section 1003.4(a)(4) requires a financial institution to
report whether an application or covered loan involved a request for a preapproval of a home
purchase loan under a preapproval program as defined by § 1003.2(b)(2). If an application or
covered loan did not involve a request for a preapproval of a home purchase loan under a
preapproval program as defined by § 1003.2(b)(2), a financial institution complies with
§ 1003.4(a)(4) by reporting that the application or covered loan did not involve such a request,
regardless of whether the institution has such a program and the applicant did not apply through
that program or the institution does not have a preapproval program as defined by
§ 1003.2(b)(2).
2. Scope of requirement. A financial institution reports that the application or covered loan did
not involve a preapproval request for a purchased covered loan; an application or covered loan
for any purpose other than a home purchase loan; an application for a home purchase loan or a
covered loan that is a home purchase loan secured by a multifamily dwelling; an application or

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covered loan that is an open-end line of credit or a reverse mortgage; or an application that is
denied, withdrawn by the applicant, or closed for incompleteness.
Paragraph 4(a)(5)
1. Modular homes and prefabricated components. Covered loans or applications related to
modular homes should be reported with a construction method of site-built, regardless of
whether they are on-frame or off-frame modular homes. Modular homes comply with local or
other recognized buildings codes rather than standards established by the National
Manufactured Housing Construction and Safety Standards Act, 42 U.S.C. 5401 et seq. Modular
homes are not required to have HUD Certification Labels under 24 CFR 3280.11 or data plates
under 24 CFR 3280.5. Modular homes may have a certification from a State licensing agency
that documents compliance with State or other applicable building codes. On-frame modular
homes are constructed on permanent metal chassis similar to those used in manufactured
homes. The chassis are not removed on site and are secured to the foundation. Off-frame
modular homes typically have floor construction similar to the construction of other site-built
homes, and the construction typically includes wooden floor joists and does not include
permanent metal chassis. Dwellings built using prefabricated components assembled at the
dwelling's permanent site should also be reported with a construction method of site-built.
2. Multifamily dwelling. For a covered loan or an application for a covered loan related to a
multifamily dwelling, the financial institution should report the construction method as site-built
unless the multifamily dwelling is a manufactured home community, in which case the financial
institution should report the construction method as manufactured home.
3. Multiple properties. See comment 4(a)(9)-2 regarding transactions involving multiple
properties with more than one property taken as security.
Paragraph 4(a)(6)
1. Multiple properties. See comment 4(a)(9)-2 regarding transactions involving multiple
properties with more than one property taken as security.
2. Principal residence. Section 1003.4(a)(6) requires a financial institution to identify whether the
property to which the covered loan or application relates is or will be used as a residence that
the applicant or borrower physically occupies and uses, or will occupy and use, as his or her
principal residence. For purposes of § 1003.4(a)(6), an applicant or borrower can have only one
principal residence at a time. Thus, a vacation or other second home would not be a principal
residence. However, if an applicant or borrower buys or builds a new dwelling that will become
the applicant's or borrower's principal residence within a year or upon the completion of
construction, the new dwelling is considered the principal residence for purposes of applying
this definition to a particular transaction.

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3. Second residences. Section 1003.4(a)(6) requires a financial institution to identify whether the
property to which the loan or application relates is or will be used as a second residence. For
purposes of § 1003.4(a)(6), a property is a second residence of an applicant or borrower if the
property is or will be occupied by the applicant or borrower for a portion of the year and is not
the applicant's or borrower's principal residence. For example, if a person purchases a property,
occupies the property for a portion of the year, and rents the property for the remainder of the
year, the property is a second residence for purposes of § 1003.4(a)(6). Similarly, if a couple
occupies a property near their place of employment on weekdays, but the couple returns to their
principal residence on weekends, the property near the couple's place of employment is a
second residence for purposes of § 1003.4(a)(6).
4. Investment properties. Section 1003.4(a)(6) requires a financial institution to identify whether
the property to which the covered loan or application relates is or will be used as an investment
property. For purposes of § 1003.4(a)(6), a property is an investment property if the borrower
does not, or the applicant will not, occupy the property. For example, if a person purchases a
property, does not occupy the property, and generates income by renting the property, the
property is an investment property for purposes of § 1003.4(a)(6). Similarly, if a person
purchases a property, does not occupy the property, and does not generate income by renting
the property, but intends to generate income by selling the property, the property is an
investment property for purposes of § 1003.4(a)(6). Section 1003.4(a)(6) requires a financial
institution to identify a property as an investment property if the borrower or applicant does not
or will not occupy the property, even if the borrower or applicant does not consider the property
as owned for investment purposes. For example, if a corporation purchases a property that is a
dwelling under § 1003.2(f), that it does not occupy, but that is for the long-term residential use of
its employees, the property is an investment property for purposes of § 1003.4(a)(6), even if the
corporation considers the property as owned for business purposes rather than investment
purposes, does not generate income by renting the property, and does not intend to generate
income by selling the property at some point in time. If the property is for transitory use by
employees, the property would not be considered a dwelling under § 1003.2(f). See comment
2(f)-3.
5. Purchased covered loans. For purchased covered loans, a financial institution may report
principal residence unless the loan documents or application indicate that the property will not
be occupied as a principal residence.
Paragraph 4(a)(7)
1. Covered loan amount—counteroffer. If an applicant accepts a counteroffer for an amount
different from the amount for which the applicant applied, the financial institution reports the
covered loan amount granted. If an applicant does not accept a counteroffer or fails to respond,
the institution reports the amount initially requested.

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2. Covered loan amount—application approved but not accepted or preapproval request
approved but not accepted. A financial institution reports the covered loan amount that was
approved.
3. Covered loan amount—preapproval request denied, application denied, closed for
incompleteness or withdrawn. For a preapproval request that was denied, and for an application
that was denied, closed for incompleteness, or withdrawn, a financial institution reports the
amount for which the applicant applied.
4. Covered loan amount—multiple-purpose loan. A financial institution reports the entire amount
of the covered loan, even if only a part of the proceeds is intended for home purchase, home
improvement, or refinancing.
5. Covered loan amount—closed-end mortgage loan. For a closed-end mortgage loan, other
than a purchased loan, an assumption, or a reverse mortgage, a financial institution reports the
amount to be repaid as disclosed on the legal obligation. For a purchased closed-end mortgage
loan or an assumption of a closed-end mortgage loan, a financial institution reports the unpaid
principal balance at the time of purchase or assumption.
6. Covered loan amount—open-end line of credit. For an open-end line of credit, a financial
institution reports the entire amount of credit available to the borrower under the terms of the
open-end plan, including a purchased open-end line of credit and an assumption of an openend line of credit, but not for a reverse mortgage open-end line of credit.
7. Covered loan amount—refinancing. For a refinancing, a financial institution reports the
amount of credit extended under the terms of the new debt obligation.
8. Covered loan amount—home improvement loan. A financial institution reports the entire
amount of a home improvement loan, even if only a part of the proceeds is intended for home
improvement.
9. Covered loan amount—non-federally insured reverse mortgage. A financial institution reports
the initial principal limit of a non-federally insured reverse mortgage as set forth in
§ 1003.4(a)(7)(iii).
Paragraph 4(a)(8)(i)
1. Action taken—covered loan originated. A financial institution reports that the covered loan
was originated if the financial institution made a credit decision approving the application before
closing or account opening and that credit decision results in an extension of credit. The same is
true for an application that began as a request for a preapproval that subsequently results in a
covered loan being originated. See comments 4(a)-2 through -4 for guidance on transactions in
which more than one institution is involved.

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2. Action taken—covered loan purchased. A financial institution reports that the covered loan
was purchased if the covered loan was purchased by the financial institution after closing or
account opening and the financial institution did not make a credit decision on the application
prior to closing or account opening, or if the financial institution did make a credit decision on the
application prior to closing or account opening, but is repurchasing the loan from another entity
that the loan was sold to. See comment 4(a)-5. See comments 4(a)-2 through -4 for guidance
on transactions in which more than one financial institution is involved.
3. Action taken—application approved but not accepted. A financial institution reports
application approved but not accepted if the financial institution made a credit decision
approving the application before closing or account opening, subject solely to outstanding
conditions that are customary commitment or closing conditions, but the applicant or the party
that initially received the application fails to respond to the financial institution's approval within
the specified time, or the closed-end mortgage loan was not otherwise consummated or the
account was not otherwise opened. See comment 4(a)(8)(i)-13.
4. Action taken—application denied. A financial institution reports that the application was
denied if it made a credit decision denying the application before an applicant withdraws the
application or the file is closed for incompleteness. See comments 4(a)-2 through -4 for
guidance on transactions in which more than one institution is involved.
5. Action taken—application withdrawn. A financial institution reports that the application was
withdrawn when the application is expressly withdrawn by the applicant before the financial
institution makes a credit decision denying the application, before the financial institution makes
a credit decision approving the application, or before the file is closed for incompleteness. A
financial institution also reports application withdrawn if the financial institution provides a
conditional approval specifying underwriting or creditworthiness conditions, pursuant to
comment 4(a)(8)(i)-13, and the application is expressly withdrawn by the applicant before the
applicant satisfies all specified underwriting or creditworthiness conditions. A preapproval
request that is withdrawn is not reportable under HMDA. See § 1003.4(a).
6. Action taken—file closed for incompleteness. A financial institution reports that the file was
closed for incompleteness if the financial institution sent a written notice of incompleteness
under Regulation B, 12 CFR 1002.9(c)(2), and the applicant did not respond to the request for
additional information within the period of time specified in the notice before the applicant
satisfies all underwriting or creditworthiness conditions. See comment 4(a)(8)(i)-13. If a financial
institution then provides a notification of adverse action on the basis of incompleteness under
Regulation B, 12 CFR 1002.9(c)(1)(i), the financial institution may report the action taken as
either file closed for incompleteness or application denied. A preapproval request that is closed
for incompleteness is not reportable under HMDA. See § 1003.4(a) and comment 4(a)-1.ii.
7. Action taken—preapproval request denied. A financial institution reports that the preapproval
request was denied if the application was a request for a preapproval under a preapproval
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program as defined in § 1003.2(b)(2) and the institution made a credit decision denying the
preapproval request.
8. Action taken—preapproval request approved but not accepted. A financial institution reports
that the preapproval request was approved but not accepted if the application was a request for
a preapproval under a preapproval program as defined in § 1003.2(b)(2) and the institution
made a credit decision approving the preapproval request but the application did not result in a
covered loan originated by the financial institution.
9. Action taken—counteroffers. If a financial institution makes a counteroffer to lend on terms
different from the applicant's initial request (for example, for a shorter loan maturity, with a
different interest rate, or in a different amount) and the applicant declines to proceed with the
counteroffer or fails to respond, the institution reports the action taken as a denial on the original
terms requested by the applicant. If the applicant agrees to proceed with consideration of the
financial institution's counteroffer, the financial institution reports the action taken as the
disposition of the application based on the terms of the counteroffer. For example, assume a
financial institution makes a counteroffer, the applicant agrees to proceed with the terms of the
counteroffer, and the financial institution then makes a credit decision approving the application
conditional on satisfying underwriting or creditworthiness conditions, and the applicant expressly
withdraws before satisfying all underwriting or creditworthiness conditions and before the
institution denies the application or closes the file for incompleteness. The financial institution
reports the action taken as application withdrawn in accordance with comment 4(a)(8)(i)-13.i.
Similarly, assume a financial institution makes a counteroffer, the applicant agrees to proceed
with consideration of the counteroffer, and the financial institution provides a conditional
approval stating the conditions to be met to originate the counteroffer. The financial institution
reports the action taken on the application in accordance with comment 4(a)(8)(i)-13 regarding
conditional approvals.
10. Action taken—rescinded transactions. If a borrower rescinds a transaction after closing and
before a financial institution is required to submit its loan/application register containing the
information for the transaction under § 1003.5(a), the institution reports the transaction as an
application that was approved but not accepted.
11. Action taken—purchased covered loans. An institution reports the covered loans that it
purchased during the calendar year. An institution does not report the covered loans that it
declined to purchase, unless, as discussed in comments 4(a)-2 through -4, the institution
reviewed the application prior to closing, in which case it reports the application or covered loan
according to comments 4(a)-2 through -4.
12. Action taken—repurchased covered loans. See comment 4(a)-5 regarding reporting
requirements when a covered loan is repurchased by the originating financial institution.

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13. Action taken—conditional approvals. If an institution issues an approval other than a
commitment pursuant to a preapproval program as defined under § 1003.2(b)(2), and that
approval is subject to the applicant meeting certain conditions, the institution reports the action
taken as provided below dependent on whether the conditions are solely customary
commitment or closing conditions or if the conditions include any underwriting or
creditworthiness conditions.
i. Action taken examples. If the approval is conditioned on satisfying underwriting or
creditworthiness conditions and they are not met, the institution reports the action taken as a
denial. If, however, the conditions involve submitting additional information about
underwriting or creditworthiness that the institution needs to make the credit decision, and
the institution has sent a written notice of incompleteness under Regulation B, 12 CFR
1002.9(c)(2), and the applicant did not respond within the period of time specified in the
notice, the institution reports the action taken as file closed for incompleteness. See
comment 4(a)(8)(i)-6. If the conditions are solely customary commitment or closing
conditions and the conditions are not met, the institution reports the action taken as
approved but not accepted. If all the conditions (underwriting, creditworthiness, or customary
commitment or closing conditions) are satisfied and the institution agrees to extend credit
but the covered loan is not originated, the institution reports the action taken as application
approved but not accepted. If the applicant expressly withdraws before satisfying all
underwriting or creditworthiness conditions and before the institution denies the application
or closes the file for incompleteness, the institution reports the action taken as application
withdrawn. If all underwriting and creditworthiness conditions have been met, and the
outstanding conditions are solely customary commitment or closing conditions and the
applicant expressly withdraws before the covered loan is originated, the institution reports
the action taken as application approved but not accepted.
ii. Customary commitment or closing conditions. Customary commitment or closing
conditions include, for example: a clear-title requirement, an acceptable property survey,
acceptable title insurance binder, clear termite inspection, a subordination agreement from
another lienholder, and, where the applicant plans to use the proceeds from the sale of one
home to purchase another, a settlement statement showing adequate proceeds from the
sale.
iii. Underwriting or creditworthiness conditions. Underwriting or creditworthiness conditions
include, for example: conditions that constitute a counter-offer, such as a demand for a
higher down-payment; satisfactory debt-to-income or loan-to-value ratios, a determination of
need for private mortgage insurance, or a satisfactory appraisal requirement; or verification
or confirmation, in whatever form the institution requires, that the applicant meets
underwriting conditions concerning applicant creditworthiness, including documentation or
verification of income or assets.

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14. Action taken—pending applications. An institution does not report any covered loan
application still pending at the end of the calendar year; it reports that application on its
loan/application register for the year in which final action is taken.
Paragraph 4(a)(8)(ii)
1. Action taken date—general. A financial institution reports the date of the action taken.
2. Action taken date—applications denied and files closed for incompleteness. For applications,
including requests for a preapproval, that are denied or for files closed for incompleteness, the
financial institution reports either the date the action was taken or the date the notice was sent
to the applicant.
3. Action taken date—application withdrawn. For applications withdrawn, the financial institution
may report the date the express withdrawal was received or the date shown on the notification
form in the case of a written withdrawal.
4. Action taken date—approved but not accepted. For a covered loan approved by an institution
but not accepted by the applicant, the institution reports any reasonable date, such as the
approval date, the deadline for accepting the offer, or the date the file was closed. Although an
institution need not choose the same approach for its entire HMDA submission, it should be
generally consistent (such as by routinely using one approach within a particular division of the
institution or for a category of covered loans).
5. Action taken date—originations. For covered loan originations, including a preapproval
request that leads to an origination by the financial institution, an institution generally reports the
closing or account opening date. For covered loan originations that an institution acquires from
a party that initially received the application, the institution reports either the closing or account
opening date, or the date the institution acquired the covered loan from the party that initially
received the application. If the disbursement of funds takes place on a date later than the
closing or account opening date, the institution may use the date of initial disbursement. For a
construction/permanent covered loan, the institution reports either the closing or account
opening date, or the date the covered loan converts to the permanent financing. Although an
institution need not choose the same approach for its entire HMDA submission, it should be
generally consistent (such as by routinely using one approach within a particular division of the
institution or for a category of covered loans). Notwithstanding this flexibility regarding the use of
the closing or account opening date in connection with reporting the date action was taken, the
institution must report the origination as occurring in the year in which the origination goes to
closing or the account is opened.
6. Action taken date—loan purchased. For covered loans purchased, a financial institution
reports the date of purchase.

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Paragraph 4(a)(9)
1. Multiple properties with one property taken as security. If a covered loan is related to more
than one property, but only one property is taken as security (or, in the case of an application,
proposed to be taken as security), a financial institution reports the information required by
§ 1003.4(a)(9) for the property taken as or proposed to be taken as security. A financial
institution does not report the information required by § 1003.4(a)(9) for the property or
properties related to the loan that are not taken as or proposed to be taken as security. For
example, if a covered loan is secured by property A, and the proceeds are used to purchase or
rehabilitate (or to refinance home purchase or home improvement loans related to) property B,
the institution reports the information required by §1003.4(a)(9) for property A and does not
report the information required by § 1003.4(a)(9) for property B.
2. Multiple properties with more than one property taken as security. If more than one property
is taken or, in the case of an application, proposed to be taken as security for a single covered
loan, a financial institution reports the covered loan or application in a single entry on its
loan/application register and provides the information required by § 1003.4(a)(9) for one of the
properties taken as security that contains a dwelling. A financial institution does not report
information about the other properties taken as security. If an institution is required to report
specific information about the property identified in § 1003.4(a)(9), the institution reports the
information that relates to the property identified in § 1003.4(a)(9) (or, if the transaction is
partially exempt under § 1003.3(d) and no data are reported pursuant to § 1003.4(a)(9), the
property that the institution would have identified in § 1003.4(a)(9) if the transaction were not
partially exempt). For example, Financial Institution A originated a covered loan that is secured
by both property A and property B, each of which contains a dwelling. Financial Institution A
reports the loan as one entry on its loan/application register, reporting the information required
by § 1003.4(a)(9) for either property A or property B. If Financial Institution A elects to report the
information required by § 1003.4(a)(9) about property A, Financial Institution A also reports the
information required by § 1003.4(a)(5), (6), (14), (29), and (30) related to property A. For
aspects of the entries that do not refer to the property identified in § 1003.4(a)(9) (i.e.,
§ 1003.4(a)(1) through (4), (7), (8), (10) through (13), (15) through (28), (31) through (38)),
Financial Institution A reports the information applicable to the covered loan or application and
not information that relates only to the property identified in § 1003.4(a)(9).
3. Multifamily dwellings. A single multifamily dwelling may have more than one postal address.
For example, three apartment buildings, each with a different street address, comprise a single
multifamily dwelling that secures a covered loan. For the purposes of § 1003.4(a)(9), a financial
institution reports the information required by § 1003.4(a)(9) in the same manner described in
comment 4(a)(9)-2.
4. Loans purchased from another institution. The requirement to report the property location
information required by § 1003.4(a)(9) applies not only to applications and originations but also
to purchased covered loans.

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5. Manufactured home. If the site of a manufactured home has not been identified, a financial
institution complies by reporting that the information required by § 1003.4(a)(9) is not applicable.
Paragraph 4(a)(9)(i)
1. General. Except for partially exempt transactions under § 1003.3(d), § 1003.4(a)(9)(i)
requires a financial institution to report the property address of the location of the property
securing a covered loan or, in the case of an application, proposed to secure a covered loan.
The address should correspond to the property identified on the legal obligation related to the
covered loan. For applications that did not result in an origination, the address should
correspond to the location of the property proposed to secure the loan as identified by the
applicant. For example, assume a loan is secured by a property located at 123 Main Street, and
the applicant's or borrower's mailing address is a post office box. The financial institution should
not report the post office box, and should report 123 Main Street.
2. Property address—format. A financial institution complies with the requirements in
§ 1003.4(a)(9)(i) by reporting the following information about the physical location of the
property securing the loan.
i. Street address. When reporting the street address of the property, a financial institution
complies by including, as applicable, the primary address number, the predirectional, the
street name, street prefixes and/or suffixes, the postdirectional, the secondary address
identifier, and the secondary address, as applicable. For example, 100 N Main ST Apt 1.
ii. City name. A financial institution complies by reporting the name of the city in which the
property is located.
iii. State name. A financial institution complies by reporting the two letter State code for the
State in which the property is located, using the U.S. Postal Service official State
abbreviations.
iv. Zip Code. A financial institution complies by reporting the five or nine digit Zip Code in
which the property is located.
3. Property address—not applicable. A financial institution complies with § 1003.4(a)(9)(i) by
reporting that the requirement is not applicable if the property address of the property securing
the covered loan is not known. For example, if the property did not have a property address at
closing or if the applicant did not provide the property address of the property to the financial
institution before the application was denied, withdrawn, or closed for incompleteness, the
financial institution complies with § 1003.4(a)(9)(i) by reporting that the requirement is not
applicable.

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Paragraph 4(a)(9)(ii)
1. Optional reporting. Section 1003.4(a)(9)(ii) requires a financial institution to report the State,
county, and census tract of the property securing the covered loan or, in the case of an
application, proposed to secure the covered loan if the property is located in an MSA or MD in
which the financial institution has a home or branch office or if the institution is subject to
§ 1003.4(e). Section 1003.4(a)(9)(ii)(C) further limits the requirement to report census tract to
covered loans secured by or applications proposed to be secured by properties located in
counties with a population of more than 30,000 according to the most recent decennial census
conducted by the U.S. Census Bureau. For transactions for which State, county, or census tract
reporting is not required under § 1003.4(a)(9)(ii) or (e), financial institutions may report that the
requirement is not applicable, or they may voluntarily report the State, county, or census tract
information.
Paragraph 4(a)(9)(ii)(A)
1. Applications—State not provided. When reporting an application, a financial institution
complies with § 1003.4(a)(9)(ii)(A) by reporting that the requirement is not applicable if the State
in which the property is located was not known before the application was denied, withdrawn, or
closed for incompleteness.
Paragraph 4(a)(9)(ii)(B)
1. General. A financial institution complies by reporting the five-digit Federal Information
Processing Standards (FIPS) numerical county code.
2. Applications—county not provided. When reporting an application, a financial institution
complies with § 1003.4(a)(9)(ii)(B) by reporting that the requirement is not applicable if the
county in which the property is located was not known before the application was denied,
withdrawn, or closed for incompleteness.
Paragraph 4(a)(9)(ii)(C)
1. General. Census tract numbers are defined by the U.S. Census Bureau. A financial institution
complies with § 1003.4(a)(9)(ii)(C) if it uses the boundaries and codes in effect on January 1 of
the calendar year covered by the loan/application register that it is reporting.
2. Applications—census tract not provided. When reporting an application, a financial institution
complies with § 1003.4(a)(9)(ii)(C) by reporting that the requirement is not applicable if the
census tract in which the property is located was not known before the application was denied,
withdrawn, or closed for incompleteness.
Paragraph 4(a)(10)(i)
1. Applicant data—general. Refer to appendix B to this part for instructions on collection of an
applicant's ethnicity, race, and sex.
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2. Transition rule for applicant data collected prior to January 1, 2018. If a financial institution
receives an application prior to January 1, 2018, but final action is taken on or after January 1,
2018, the financial institution complies with § 1003.4(a)(10)(i) and (b) if it collects the information
in accordance with the requirements in effect at the time the information was collected. For
example, if a financial institution receives an application on November 15, 2017, collects the
applicant's ethnicity, race, and sex in accordance with the instructions in effect on that date, and
takes final action on the application on January 5, 2018, the financial institution has complied
with the requirements of § 1003.4(a)(10)(i) and (b), even though those instructions changed
after the information was collected but before the date of final action. However, if, in this
example, the financial institution collected the applicant's ethnicity, race, and sex on or after
January 1, 2018, § 1003.4(a)(10)(i) and (b) requires the financial institution to collect the
information in accordance with the amended instructions.
Paragraph 4(a)(10)(ii)
1. Applicant data—completion by financial institution. A financial institution complies with
§ 1003.4(a)(10)(ii) by reporting the applicant's age, as of the application date under
§ 1003.4(a)(1)(ii), as the number of whole years derived from the date of birth as shown on the
application form. For example, if an applicant provides a date of birth of 01/15/1970 on the
application form that the financial institution receives on 01/14/2015, the institution reports 44 as
the applicant's age.
2. Applicant data—co-applicant. If there are no co-applicants, the financial institution reports that
there is no co-applicant. If there is more than one co-applicant, the financial institution reports
the age only for the first co-applicant listed on the application form. A co-applicant may provide
an absent co-applicant's age on behalf of the absent co-applicant.
3. Applicant data—purchased loan. A financial institution complies with § 1003.4(a)(10)(ii) by
reporting that the requirement is not applicable when reporting a purchased loan for which the
institution chooses not to report the age.
4. Applicant data—non-natural person. A financial institution complies with § 1003.4(a)(10)(ii) by
reporting that the requirement is not applicable if the applicant or co-applicant is not a natural
person (for example, a corporation, partnership, or trust). For example, for a transaction
involving a trust, a financial institution reports that the requirement to report the applicant's age
is not applicable if the trust is the applicant. On the other hand, if the applicant is a natural
person, and is the beneficiary of a trust, a financial institution reports the applicant's age.
5. Applicant data—guarantor. For purposes of § 1003.4(a)(10)(ii), if a covered loan or
application includes a guarantor, a financial institution does not report the guarantor's age.

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Paragraph 4(a)(10)(iii)
1. Income data—income relied on. When a financial institution evaluates income as part of a
credit decision, it reports the gross annual income relied on in making the credit decision. For
example, if an institution relies on an applicant's salary to compute a debt-to-income ratio but
also relies on the applicant's annual bonus to evaluate creditworthiness, the institution reports
the salary and the bonus to the extent relied upon. If an institution relies on only a portion of an
applicant's income in its determination, it does not report that portion of income not relied on.
For example, if an institution, pursuant to lender and investor guidelines, does not rely on an
applicant's commission income because it has been earned for less than 12 months, the
institution does not include the applicant's commission income in the income reported. Likewise,
if an institution relies on the verified gross income of the applicant in making the credit decision,
then the institution reports the verified gross income. Similarly, if an institution relies on the
income of a cosigner to evaluate creditworthiness, the institution includes the cosigner's income
to the extent relied upon. An institution, however, does not include the income of a guarantor
who is only secondarily liable.
2. Income data—co-applicant. If two persons jointly apply for a covered loan and both list
income on the application, but the financial institution relies on the income of only one applicant
in evaluating creditworthiness, the institution reports only the income relied on.
3. Income data—loan to employee. A financial institution complies with § 1003.4(a)(10)(iii) by
reporting that the requirement is not applicable for a covered loan to, or an application from, its
employee to protect the employee's privacy, even though the institution relied on the employee's
income in making the credit decision.
4. Income data—assets. A financial institution does not include as income amounts considered
in making a credit decision based on factors that an institution relies on in addition to income,
such as amounts derived from underwriting calculations of the potential annuitization or
depletion of an applicant's remaining assets. Actual distributions from retirement accounts or
other assets that are relied on by the financial institution as income should be reported as
income. The interpretation of income in this paragraph does not affect § 1003.4(a)(23), which
requires, except for purchased covered loans, the collection of the ratio of the applicant's or
borrower's total monthly debt to the total monthly income relied on in making the credit decision.
5. Income data—credit decision not made. Section 1003.4(a)(10)(iii) requires a financial
institution to report the gross annual income relied on in processing the application if a credit
decision was not made. For example, assume an institution received an application that
included an applicant's self-reported income, but the application was withdrawn before a credit
decision that would have considered income was made. The financial institution reports the
income information relied on in processing the application at the time that the application was
withdrawn or the file was closed for incompleteness.

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6. Income data—credit decision not requiring consideration of income. A financial institution
complies with § 1003.4(a)(10)(iii) by reporting that the requirement is not applicable if the
application did not or would not have required a credit decision that considered income under
the financial institution's policies and procedures. For example, if the financial institution's
policies and procedures do not consider income for a streamlined refinance program, the
institution reports that the requirement is not applicable, even if the institution received income
information from the applicant.
7. Income data—non-natural person. A financial institution reports that the requirement is not
applicable when the applicant or co-applicant is not a natural person (e.g., a corporation,
partnership, or trust). For example, for a transaction involving a trust, a financial institution
reports that the requirement to report income data is not applicable if the trust is the applicant.
On the other hand, if the applicant is a natural person, and is the beneficiary of a trust, a
financial institution is required to report the information described in § 1003.4(a)(10)(iii).
8. Income data—multifamily properties. A financial institution complies with § 1003.4(a)(10)(iii)
by reporting that the requirement is not applicable when the covered loan is secured by, or
application is proposed to be secured by, a multifamily dwelling.
9. Income data—purchased loans. A financial institution complies with § 1003.4(a)(10)(iii) by
reporting that the requirement is not applicable when reporting a purchased covered loan for
which the institution chooses not to report the income.
10. Income data—rounding. A financial institution complies by reporting the dollar amount of the
income in thousands, rounded to the nearest thousand ($500 rounds up to the next $1,000). For
example, $35,500 is reported as 36.
Paragraph 4(a)(11)
1. Type of purchaser—loan-participation interests sold to more than one entity. A financial
institution that originates a covered loan, and then sells it to more than one entity, reports the
“type of purchaser” based on the entity purchasing the greatest interest, if any. For purposes of
§ 1003.4(a)(11), if a financial institution sells some interest or interests in a covered loan but
retains a majority interest in that loan, it does not report the sale.
2. Type of purchaser—swapped covered loans. Covered loans “swapped” for mortgage-backed
securities are to be treated as sales; the purchaser is the entity receiving the covered loans that
are swapped.
3. Type of purchaser—affiliate institution. For purposes of complying with § 1003.4(a)(11), the
term “affiliate” means any company that controls, is controlled by, or is under common control
with, another company, as set forth in the Bank Holding Company Act of 1956 (12 U.S.C. 1841
et seq.).

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4. Type of purchaser—private securitizations. A financial institution that knows or reasonably
believes that the covered loan it is selling will be securitized by the entity purchasing the
covered loan, other than by one of the government-sponsored enterprises, reports the
purchasing entity type as a private securitizer regardless of the type or affiliation of the
purchasing entity. Knowledge or reasonable belief could, for example, be based on the
purchase agreement or other related documents, the financial institution's previous transactions
with the purchaser, or the purchaser's role as a securitizer (such as an investment bank). If a
financial institution selling a covered loan does not know or reasonably believe that the
purchaser will securitize the loan, and the seller knows that the purchaser frequently holds or
disposes of loans by means other than securitization, then the financial institution should report
the covered loan as purchased by, as appropriate, a commercial bank, savings bank, savings
association, life insurance company, credit union, mortgage company, finance company, affiliate
institution, or other type of purchaser.
5. Type of purchaser—mortgage company. For purposes of complying with § 1003.4(a)(11), a
mortgage company means a nondepository institution that purchases covered loans and
typically originates such loans. A mortgage company might be an affiliate or a subsidiary of a
bank holding company or thrift holding company, or it might be an independent mortgage
company. Regardless, a financial institution reports the purchasing entity type as a mortgage
company, unless the mortgage company is an affiliate of the seller institution, in which case the
seller institution should report the loan as purchased by an affiliate institution.
6. Purchases by subsidiaries. A financial institution that sells a covered loan to its subsidiary
that is a commercial bank, savings bank, or savings association, should report the covered loan
as purchased by a commercial bank, savings bank, or savings association. A financial institution
that sells a covered loan to its subsidiary that is a life insurance company, should report the
covered loan as purchased by a life insurance company. A financial institution that sells a
covered loan to its subsidiary that is a credit union, mortgage company, or finance company,
should report the covered loan as purchased by a credit union, mortgage company, or finance
company. If the subsidiary that purchases the covered loan is not a commercial bank, savings
bank, savings association, life insurance company, credit union, mortgage company, or finance
company, the seller institution should report the loan as purchased by other type of purchaser.
The financial institution should report the covered loan as purchased by an affiliate institution
when the subsidiary is an affiliate of the seller institution.
7. Type of purchaser—bank holding company or thrift holding company. When a financial
institution sells a covered loan to a bank holding company or thrift holding company (rather than
to one of its subsidiaries), it should report the loan as purchased by other type of purchaser,
unless the bank holding company or thrift holding company is an affiliate of the seller institution,
in which case the seller institution should report the loan as purchased by an affiliate institution.
8. Repurchased covered loans. See comment 4(a)-5 regarding reporting requirements when a
covered loan is repurchased by the originating financial institution.
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9. Type of purchaser—quarterly recording. For purposes of recording the type of purchaser
within 30 calendar days after the end of the calendar quarter pursuant to § 1003.4(f), a financial
institution records that the requirement is not applicable if the institution originated or purchased
a covered loan and did not sell it during the calendar quarter for which the institution is recording
the data. If the financial institution sells the covered loan in a subsequent quarter of the same
calendar year, the financial institution records the type of purchaser on its loan/application
register for the quarter in which the covered loan was sold. If a financial institution sells the
covered loan in a succeeding year, the financial institution should not record the sale.
10. Type of purchaser—not applicable. A financial institution reports that the requirement is not
applicable for applications that were denied, withdrawn, closed for incompleteness or approved
but not accepted by the applicant; and for preapproval requests that were denied or approved
but not accepted by the applicant. A financial institution also reports that the requirement is not
applicable if the institution originated or purchased a covered loan and did not sell it during that
same calendar year.
Paragraph 4(a)(12)
1. Average prime offer rate. Average prime offer rates are annual percentage rates derived from
average interest rates and other loan pricing terms offered to borrowers by a set of creditors for
mortgage loans that have low-risk pricing characteristics. Other loan pricing terms may include
commonly used indices, margins, and initial fixed-rate periods for variable-rate transactions.
Relevant pricing characteristics may include a consumer's credit history and transaction
characteristics such as the loan-to-value ratio, owner-occupant status, and purpose of the
transaction. To obtain average prime offer rates, the Bureau uses creditor data by transaction
type.
2. Bureau tables. The Bureau publishes tables of current and historic average prime offer rates
by transaction type on the FFIEC's Web site (http://www.ffiec.gov/hmda) and the Bureau's Web
site (https://www.consumerfinance.gov). The Bureau calculates an annual percentage rate,
consistent with Regulation Z (see 12 CFR 1026.22 and 12 CFR part 1026, appendix J), for each
transaction type for which pricing terms are available from the creditor data described in
comment 4(a)(12)-1. The Bureau uses loan pricing terms available in the creditor data and other
information to estimate annual percentage rates for other types of transactions for which the
creditor data are limited or not available. The Bureau publishes on the FFIEC's Web site and the
Bureau's Web site the methodology it uses to arrive at these estimates. A financial institution
may either use the average prime offer rates published by the Bureau or determine average
prime offer rates itself by employing the methodology published on the FFIEC's Web site and
the Bureau's Web site. A financial institution that determines average prime offer rates itself,
however, is responsible for correctly determining the rates in accordance with the published
methodology.

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3. Rate spread calculation—annual percentage rate. The requirements of § 1003.4(a)(12)(i)
refer to the covered loan's annual percentage rate. For closed-end mortgage loans, a financial
institution complies with § 1003.4(a)(12)(i) by relying on the annual percentage rate for the
covered loan, as calculated and disclosed pursuant to Regulation Z, 12 CFR 1026.18 or
1026.38. For open-end lines of credit, a financial institution complies with § 1003.4(a)(12)(i) by
relying on the annual percentage rate for the covered loan, as calculated and disclosed
pursuant to Regulation Z, 12 CFR 1026.6. If multiple annual percentage rates are calculated
and disclosed pursuant to Regulation Z, 12 CFR 1026.6, a financial institution relies on the
annual percentage rate in effect at the time of account opening. If an open-end line of credit has
a variable-rate feature and a fixed-rate and -term payment option during the draw period, a
financial institution relies on the annual percentage rate in effect at the time of account opening
under the variable-rate feature, which would be a discounted initial rate if one is offered under
the variable-rate feature. See comment 4(a)(12)-8 for guidance regarding the annual
percentage rate a financial institution relies on in the case of an application or preapproval
request that was approved but not accepted.
4. Rate spread calculation—comparable transaction. The rate spread calculation in
§ 1003.4(a)(12)(i) is defined by reference to a comparable transaction, which is determined
according to the covered loan's amortization type (i.e., fixed- or variable-rate) and loan term. For
covered loans that are open-end lines of credit, § 1003.4(a)(12)(i) requires a financial institution
to identify the most closely comparable closed-end transaction. The tables of average prime
offer rates published by the Bureau (see comment 4(a)(12)-2) provide additional detail about
how to identify the comparable transaction.
i. Fixed-rate transactions. For fixed-rate covered loans, the term for identifying the
comparable transaction is the transaction's maturity (i.e., the period until the last payment
will be due under the closed-end mortgage loan contract or open-end line of credit
agreement). If an open-end credit plan has a fixed rate but no definite plan length, a
financial institution complies with § 1003.4(a)(12)(i) by using a 30-year fixed-rate loan as the
most closely comparable closed-end transaction. Financial institutions may refer to the table
on the FFIEC Web site entitled “Average Prime Offer Rates-Fixed” when identifying a
comparable fixed-rate transaction.
ii. Variable-rate transactions. For variable-rate covered loans, the term for identifying the
comparable transaction is the initial, fixed-rate period (i.e., the period until the first scheduled
rate adjustment). For example, five years is the relevant term for a variable-rate transaction
with a five-year, fixed-rate introductory period that is amortized over thirty years. Financial
institutions may refer to the table on the FFIEC Web site entitled “Average Prime Offer
Rates-Variable” when identifying a comparable variable-rate transaction. If an open-end line
of credit has a variable rate and an optional, fixed-rate feature, a financial institution uses
the rate table for variable-rate transactions.

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iii. Term not in whole years. When a covered loan's term to maturity (or, for a variable-rate
transaction, the initial fixed-rate period) is not in whole years, the financial institution uses
the number of whole years closest to the actual loan term or, if the actual loan term is
exactly halfway between two whole years, by using the shorter loan term. For example, for a
loan term of ten years and three months, the relevant term is ten years; for a loan term of
ten years and nine months, the relevant term is 11 years; for a loan term of ten years and
six months, the relevant term is ten years. If a loan term includes an odd number of days, in
addition to an odd number of months, the financial institution rounds to the nearest whole
month, or rounds down if the number of odd days is exactly halfway between two months.
The financial institution rounds to one year any covered loan with a term shorter than six
months, including variable-rate covered loans with no initial, fixed-rate periods. For example,
if an open-end covered loan has a rate that varies according to an index plus a margin, with
no introductory, fixed-rate period, the transaction term is one year.
iv. Amortization period longer than loan term. If the amortization period of a covered loan is
longer than the term of the transaction to maturity, § 1003.4(a)(12)(i) requires a financial
institution to use the loan term to determine the applicable average prime offer rate. For
example, assume a financial institution originates a closed-end, fixed-rate loan that has a
term to maturity of five years and a thirty-year amortization period that results in a balloon
payment. The financial institution complies with § 1003.4(a)(12)(i) by using the five-year loan
term.
5. Rate-set date. The relevant date to use to determine the average prime offer rate for a
comparable transaction is the date on which the interest rate was set by the financial institution
for the final time before final action is taken (i.e., the application was approved but not accepted
or the covered loan was originated).
i. Rate-lock agreement. If an interest rate is set pursuant to a “lock-in” agreement between
the financial institution and the borrower, then the date on which the agreement fixes the
interest rate is the date the rate was set. Except as provided in comment 4(a)(12)-5.ii, if a
rate is reset after a lock-in agreement is executed (for example, because the borrower
exercises a float-down option or the agreement expires), then the relevant date is the date
the financial institution exercises discretion in setting the rate for the final time before final
action is taken. The same rule applies when a rate-lock agreement is extended and the rate
is reset at the same rate, regardless of whether market rates have increased, decreased, or
remained the same since the initial rate was set. If no lock-in agreement is executed, then
the relevant date is the date on which the institution sets the rate for the final time before
final action is taken.
ii. Change in loan program. If a financial institution issues a rate-lock commitment under one
loan program, the borrower subsequently changes to another program that is subject to
different pricing terms, and the financial institution changes the rate promised to the
borrower under the rate-lock commitment accordingly, the rate-set date is the date of the
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program change. However, if the financial institution changes the promised rate to the rate
that would have been available to the borrower under the new program on the date of the
original rate-lock commitment, then that is the date the rate is set, provided the financial
institution consistently follows that practice in all such cases or the original rate-lock
agreement so provided. For example, assume that a borrower locks a rate of 2.5 percent on
June 1 for a 30-year, variable-rate loan with a five-year, fixed-rate introductory period. On
June 15, the borrower decides to switch to a 30-year, fixed-rate loan, and the rate available
to the borrower for that product on June 15 is 4.0 percent. On June 1, the 30-year, fixed-rate
loan would have been available to the borrower at a rate of 3.5 percent. If the financial
institution offers the borrower the 3.5 percent rate (i.e., the rate that would have been
available to the borrower for the fixed-rate product on June 1, the date of the original ratelock) because the original agreement so provided or because the financial institution
consistently follows that practice for borrowers who change loan programs, then the
financial institution should use June 1 as the rate-set date. In all other cases, the financial
institution should use June 15 as the rate-set date.
iii. Brokered loans. When a financial institution has reporting responsibility for an application
for a covered loan that it received from a broker, as discussed in comment 4(a)-2 (e.g.,
because the financial institution makes a credit decision prior to closing or account opening),
the rate-set date is the last date the financial institution set the rate with the broker, not the
date the broker set the borrower's rate.
6. Compare the annual percentage rate to the average prime offer rate. Section 1003.4(a)(12)(i)
requires a financial institution to compare the covered loan's annual percentage rate to the most
recently available average prime offer rate that was in effect for the comparable transaction as
of the rate-set date. For purposes of § 1003.4(a)(12)(i), the most recently available rate means
the average prime offer rate set forth in the applicable table with the most recent effective date
as of the date the interest rate was set. However, § 1003.4(a)(12)(i) does not permit a financial
institution to use an average prime offer rate before its effective date.
7. Rate spread—scope of requirement. If the covered loan is an assumption, reverse mortgage,
a purchased loan, or is not subject to Regulation Z, 12 CFR part 1026, a financial institution
complies with § 1003.4(a)(12) by reporting that the requirement is not applicable. If the
application did not result in an origination for a reason other than the application was approved
but not accepted by the applicant, a financial institution complies with § 1003.4(a)(12) by
reporting that the requirement is not applicable. For partially exempt transactions under
§ 1003.3(d), an insured depository institution or insured credit union is not required to report the
rate spread. See § 1003.3(d) and related commentary.
8. Application or preapproval request approved but not accepted. In the case of an application
or preapproval request that was approved but not accepted, § 1003.4(a)(12) requires a financial
institution to report the applicable rate spread. In such cases, the financial institution would
provide early disclosures under Regulation Z, 12 CFR 1026.18 or 1026.37 (for closed-end
mortgage loans), or 1026.40 (for open-end lines of credit), but might never provide any
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subsequent disclosures. In such cases where no subsequent disclosures are provided, a
financial institution complies with § 1003.4(a)(12)(i) by relying on the annual percentage rate for
the application or preapproval request, as calculated and disclosed pursuant to Regulation Z, 12
CFR 1026.18 or 1026.37 (for closed-end mortgage loans), or 1026.40 (for open-end lines of
credit), as applicable. For transactions subject to Regulation C for which no disclosures under
Regulation Z are required, a financial institution complies with § 1003.4(a)(12)(i) by reporting
that the requirement is not applicable.
9. Corrected disclosures. In the case of a covered loan or an application that was approved but
not accepted, if the annual percentage rate changes because a financial institution provides a
corrected version of the disclosures required under Regulation Z, 12 CFR 1026.19(a), pursuant
to 12 CFR 1026.19(a)(2), under 12 CFR 1026.19(f), pursuant to 12 CFR 1026.19(f)(2), or under
12 CFR 1026.6(a), the financial institution complies with § 1003.4(a)(12)(i) by comparing the
corrected and disclosed annual percentage rate to the most recently available average prime
offer rate that was in effect for a comparable transaction as of the rate-set date, provided that
the corrected disclosure was provided to the borrower prior to the end of the reporting period in
which final action is taken. For purposes of § 1003.4(a)(12), the date the corrected disclosure
was provided to the borrower is the date the disclosure was mailed or delivered to the borrower
in person; the financial institution's method of delivery does not affect the date provided. For
example, where a financial institution provides a corrected version of the disclosures required
under 12 CFR 1026.19(f), pursuant to 12 CFR 1026.19(f)(2), the date provided is the date
disclosed pursuant to Regulation Z, 12 CFR 1026.38(a)(3)(i). The provision of a corrected
disclosure does not affect how a financial institution determines the rate-set date. See comment
4(a)(12)-5. For example, in the case of a financial institution's annual loan/application register
submission made pursuant to § 1003.5(a)(1), if the financial institution provides a corrected
disclosure to the borrower pursuant to Regulation Z, 12 CFR 1026.19(f)(2)(v), that reflects a
corrected annual percentage rate, the financial institution reports the difference between the
corrected annual percentage rate and the most recently available average prime offer rate that
was in effect for a comparable transaction as of the rate-set date if the corrected disclosure was
provided to the borrower prior to the end of the calendar year in which final action is taken.
Paragraph 4(a)(13)
1. HOEPA status—not applicable. If the covered loan is not subject to the Home Ownership and
Equity Protection Act of 1994, as implemented in Regulation Z, 12 CFR 1026.32, a financial
institution complies with § 1003.4(a)(13) by reporting that the requirement is not applicable. If an
application did not result in an origination, a financial institution complies with § 1003.4(a)(13) by
reporting that the requirement is not applicable.
Paragraph 4(a)(14)
1. Determining lien status for applications and covered loans originated and purchased.

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i. Financial institutions are required to report lien status for covered loans they originate and
purchase and applications that do not result in originations (preapproval requests that are
approved but not accepted, preapproval requests that are denied, applications that are
approved but not accepted, denied, withdrawn, or closed for incompleteness). For covered
loans purchased by a financial institution, lien status is determined by reference to the best
information readily available to the financial institution at the time of purchase. For covered
loans that a financial institution originates and applications that do not result in originations,
lien status is determined by reference to the best information readily available to the
financial institution at the time final action is taken and to the financial institution's own
procedures. Thus, financial institutions may rely on the title search they routinely perform as
part of their underwriting procedures—for example, for home purchase loans. Regulation C
does not require financial institutions to perform title searches solely to comply with HMDA
reporting requirements. Financial institutions may rely on other information that is readily
available to them at the time final action is taken and that they reasonably believe is
accurate, such as the applicant's statement on the application or the applicant's credit
report. For example, where the applicant indicates on the application that there is a
mortgage on the property or where the applicant's credit report shows that the applicant has
a mortgage—and that mortgage will not be paid off as part of the transaction—the financial
institution may assume that the loan it originates is secured by a subordinate lien. If the
same application did not result in an origination—for example, because the application was
denied or withdrawn—the financial institution would report the application as an application
for a subordinate-lien loan.
ii. Financial institutions may also consider their established procedures when determining
lien status for applications that do not result in originations. For example, assume an
applicant applies to a financial institution to refinance a $100,000 first mortgage; the
applicant also has an open-end line of credit for $20,000. If the financial institution's practice
in such a case is to ensure that it will have first-lien position—through a subordination
agreement with the holder of the lien securing the open-end line of credit—then the financial
institution should report the application as an application for a first-lien covered loan.
2. Multiple properties. See comment 4(a)(9)-2 regarding transactions involving multiple
properties with more than one property taken as security.
Paragraph 4(a)(15)
1. Credit score—relied on. Except for purchased covered loans and partially exempt
transactions under § 1003.3(d), § 1003.4(a)(15) requires a financial institution to report the
credit score or scores relied on in making the credit decision and information about the scoring
model used to generate each score. A financial institution relies on a credit score in making the
credit decision if the credit score was a factor in the credit decision even if it was not a
dispositive factor. For example, if a credit score is one of multiple factors in a financial
institution's credit decision, the financial institution has relied on the credit score even if the

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financial institution denies the application because one or more underwriting requirements other
than the credit score are not satisfied.
2. Credit score—multiple credit scores. When a financial institution obtains or creates two or
more credit scores for a single applicant or borrower but relies on only one score in making the
credit decision (for example, by relying on the lowest, highest, most recent, or average of all of
the scores), the financial institution complies with § 1003.4(a)(15) by reporting that credit score
and information about the scoring model used. When a financial institution uses more than one
credit scoring model and combines the scores into a composite credit score that it relies on, the
financial institution reports that score and reports that more than one credit scoring model was
used. When a financial institution obtains or creates two or more credit scores for an applicant
or borrower and relies on multiple scores for the applicant or borrower in making the credit
decision (for example, by relying on a scoring grid that considers each of the scores obtained or
created for the applicant or borrower without combining the scores into a composite score),
§ 1003.4(a)(15) requires the financial institution to report one of the credit scores for the
applicant or borrower that was relied on in making the credit decision. In choosing which credit
score to report in this circumstance, a financial institution need not use the same approach for
its entire HMDA submission, but it should be generally consistent (such as by routinely using
one approach within a particular division of the institution or for a category of covered loans). In
instances such as these, the financial institution should report the name and version of the
credit scoring model for the score reported.
3. Credit score—multiple applicants or borrowers. In a transaction involving two or more
applicants or borrowers for whom the financial institution obtains or creates a single credit score
and relies on that credit score in making the credit decision for the transaction, the institution
complies with § 1003.4(a)(15) by reporting that credit score for the applicant and reporting that
the requirement is not applicable for the first co-applicant or, at the financial institution's
discretion, by reporting that credit score for the first co-applicant and reporting that the
requirement is not applicable for the applicant. Otherwise, a financial institution complies with
§ 1003.4(a)(15) by reporting a credit score for the applicant that it relied on in making the credit
decision, if any, and a credit score for the first co-applicant that it relied on in making the credit
decision, if any. To illustrate, assume a transaction involves one applicant and one co-applicant
and that the financial institution obtains or creates two credit scores for the applicant and two
credit scores for the co-applicant. Assume further that the financial institution relies on a single
credit score that is the lowest, highest, most recent, or average of all of the credit scores
obtained or created to make the credit decision for the transaction. The financial institution
complies with § 1003.4(a)(15) by reporting that credit score and information about the scoring
model used for the applicant and reporting that the requirement is not applicable for the first coapplicant or, at the financial institution's discretion, by reporting the data for the first co-applicant
and reporting that the requirement is not applicable for the applicant. Alternatively, assume a
transaction involves one applicant and one co-applicant and that the financial institution obtains
or creates three credit scores for the applicant and three credit scores for the co-applicant.

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Assume further that the financial institution relies on the middle credit score for the applicant
and the middle credit score for the co-applicant to make the credit decision for the transaction.
The financial institution complies with § 1003.4(a)(15) by reporting both the middle score for the
applicant and the middle score for the co-applicant.
4. Transactions for which no credit decision was made. If a file was closed for incompleteness
or the application was withdrawn before a credit decision was made, the financial institution
complies with § 1003.4(a)(15) by reporting that the requirement is not applicable, even if the
financial institution had obtained or created a credit score for the applicant or co-applicant. For
example, if a file is closed for incompleteness and is so reported in accordance with
§ 1003.4(a)(8), the financial institution complies with § 1003.4(a)(15) by reporting that the
requirement is not applicable, even if the financial institution had obtained or created a credit
score for the applicant or co-applicant. Similarly, if an application was withdrawn by the
applicant before a credit decision was made and is so reported in accordance with
§ 1003.4(a)(8), the financial institution complies with § 1003.4(a)(15) by reporting that the
requirement is not applicable, even if the financial institution had obtained or created a credit
score for the applicant or co-applicant.
5. Transactions for which no credit score was relied on. If a financial institution makes a credit
decision without relying on a credit score for the applicant or borrower, the financial institution
complies with § 1003.4(a)(15) by reporting that the requirement is not applicable.
6. Purchased covered loan. A financial institution complies with § 1003.4(a)(15) by reporting that
the requirement is not applicable when the covered loan is a purchased covered loan.
7. Non-natural person. When the applicant and co-applicant, if applicable, are not natural
persons, a financial institution complies with § 1003.4(a)(15) by reporting that the requirement is
not applicable.
Paragraph 4(a)(16)
1. Reason for denial—general. A financial institution complies with § 1003.4(a)(16) by reporting
the principal reason or reasons it denied the application, indicating up to four reasons. The
financial institution should report only the principal reason or reasons it denied the application,
even if there are fewer than four reasons. For example, if a financial institution denies the
application because of the applicant's credit history and debt-to-income ratio, the financial
institution need only report these two principal reasons. The reasons reported must be specific
and accurately describe the principal reason or reasons the financial institution denied the
application.
2. Reason for denial—preapproval request denied. Section 1003.4(a)(16) requires a financial
institution to report the principal reason or reasons it denied the application. A request for a
preapproval under a preapproval program as defined by § 1003.2(b)(2) is an application. If a

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financial institution denies a preapproval request, the financial institution complies with
§ 1003.4(a)(16) by reporting the reason or reasons it denied the preapproval request.
3. Reason for denial—adverse action model form or similar form. If a financial institution
chooses to provide the applicant the reason or reasons it denied the application using the model
form contained in appendix C to Regulation B (Form C-1, Sample Notice of Action Taken and
Statement of Reasons) or a similar form, § 1003.4(a)(16) requires the financial institution to
report the reason or reasons that were specified on the form by the financial institution, which
includes reporting the “Other” reason or reasons that were specified on the form by the financial
institution, if applicable. If a financial institution chooses to provide a disclosure of the applicant's
right to a statement of specific reasons using the model form contained in appendix C to
Regulation B (Form C-5, Sample Disclosure of Right to Request Specific Reasons for Credit
Denial) or a similar form, or chooses to provide the denial reason or reasons orally under
Regulation B, 12 CFR 1002.9(a)(2)(ii), the financial institution complies with § 1003.4(a)(16) by
entering the principal reason or reasons it denied the application.
4. Reason for denial—scope of requirement. A financial institution complies with § 1003.4(a)(16)
by reporting that the requirement is not applicable if the action taken on the application,
pursuant to § 1003.4(a)(8), is not a denial. For example, a financial institution complies with
§ 1003.4(a)(16) by reporting that the requirement is not applicable if the loan is originated or
purchased by the financial institution, or the application or preapproval request was approved
but not accepted, or the application was withdrawn before a credit decision was made, or the file
was closed for incompleteness. For partially exempt transactions under § 1003.3(d), an insured
depository institution or insured credit union is not required to report the principal reason or
reasons it denied an application. See § 1003.3(d) and related commentary.
Paragraph 4(a)(17)(i)
1. Total loan costs—scope of requirement. Section 1003.4(a)(17)(i) does not require financial
institutions to report the total loan costs for applications, or for transactions not subject to
Regulation Z, 12 CFR 1026.43(c), and 12 CFR 1026.19(f), such as open-end lines of credit,
reverse mortgages, or loans or lines of credit made primarily for business or commercial
purposes. In these cases, a financial institution complies with § 1003.4(a)(17)(i) by reporting that
the requirement is not applicable to the transaction. For partially exempt transactions under
§ 1003.3(d), an insured depository institution or insured credit union is not required to report the
total loan costs. See § 1003.3(d) and related commentary.
2. Purchased loans—applications received prior to the integrated disclosure effective date. For
purchased covered loans subject to this reporting requirement for which applications were
received by the selling entity prior to the effective date of Regulation Z, 12 CFR 1026.19(f), a
financial institution complies with § 1003.4(a)(17)(i) by reporting that the requirement is not
applicable to the transaction.

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3. Corrected disclosures. If the amount of total loan costs changes because a financial
institution provides a corrected version of the disclosures required under Regulation Z, 12 CFR
1026.19(f), pursuant to 12 CFR 1026.19(f)(2), the financial institution complies with
§ 1003.4(a)(17)(i) by reporting the corrected amount, provided that the corrected disclosure was
provided to the borrower prior to the end of the reporting period in which closing occurs. For
purposes of § 1003.4(a)(17)(i), the date the corrected disclosure was provided to the borrower is
the date disclosed pursuant to Regulation Z, 12 CFR 1026.38(a)(3)(i). For example, in the case
of a financial institution's annual loan/application register submission made pursuant to
§ 1003.5(a)(1), if the financial institution provides a corrected disclosure to the borrower to
reflect a refund made pursuant to Regulation Z, 12 CFR 1026.19(f)(2)(v), the financial institution
reports the corrected amount of total loan costs only if the corrected disclosure was provided to
the borrower prior to the end of the calendar year in which closing occurs.
Paragraph 4(a)(17)(ii)
1. Total points and fees—scope of requirement. Section 1003.4(a)(17)(ii) does not require
financial institutions to report the total points and fees for transactions not subject to Regulation
Z, 12 CFR 1026.43(c), such as open-end lines of credit, reverse mortgages, or loans or lines of
credit made primarily for business or commercial purposes, or for applications or purchased
covered loans. In these cases, a financial institution complies with § 1003.4(a)(17)(ii) by
reporting that the requirement is not applicable to the transaction. For partially exempt
transactions under § 1003.3(d), an insured depository institution or insured credit union is not
required to report the total points and fees. See § 1003.3(d) and related commentary.
2. Total points and fees cure mechanism. For covered loans subject to this reporting
requirement, if a financial institution determines that the transaction's total points and fees
exceeded the applicable limit and cures the overage pursuant to Regulation Z, 12 CFR
1026.43(e)(3)(iii) and (iv), a financial institution complies with § 1003.4(a)(17)(ii) by reporting the
correct amount of total points and fees, provided that the cure was effected during the same
reporting period in which closing occurred. For example, in the case of a financial institution's
quarterly submission, the financial institution reports the revised amount of total points and fees
only if it cured the overage prior to the end of the quarter in which closing occurred. The
financial institution does not report the revised amount of total points and fees in its quarterly
submission if it cured the overage after the end of the quarter, even if the cure was effected
prior to the deadline for timely submission of the financial institution's quarterly data. However,
the financial institution reports the revised amount of total points and fees on its annual
loan/application register.
Paragraph 4(a)(18)
1. Origination charges—scope of requirement. Section 1003.4(a)(18) does not require financial
institutions to report the total borrower-paid origination charges for applications, or for
transactions not subject to Regulation Z, 12 CFR 1026.19(f), such as open-end lines of credit,
reverse mortgages, or loans or lines of credit made primarily for business or commercial

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purposes. In these cases, a financial institution complies with § 1003.4(a)(18) by reporting that
the requirement is not applicable to the transaction. For partially exempt transactions under
§ 1003.3(d), an insured depository institution or insured credit union is not required to report the
total borrower-paid origination charges. See § 1003.3(d) and related commentary.
2. Purchased loans—applications received prior to the integrated disclosure effective date. For
purchased covered loans subject to this reporting requirement for which applications were
received by the selling entity prior to the effective date of Regulation Z, 12 CFR 1026.19(f), a
financial institution complies with § 1003.4(a)(18) by reporting that the requirement is not
applicable to the transaction.
3. Corrected disclosures. If the total amount of borrower-paid origination charges changes
because a financial institution provides a corrected version of the disclosures required under
Regulation Z, 12 CFR 1026.19(f), pursuant to 12 CFR 1026.19(f)(2), the financial institution
complies with §1003.4(a)(18) by reporting the corrected amount, provided that the corrected
disclosure was provided to the borrower prior to the end of the reporting period in which closing
occurs. For purposes of §1003.4(a)(18), the date the corrected disclosure was provided to the
borrower is the date disclosed pursuant to Regulation Z, 12 CFR 1026.38(a)(3)(i). For example,
in the case of a financial institution's annual loan/application register submission made pursuant
to §1003.5(a)(1), if the financial institution provides a corrected disclosure to the borrower to
reflect a refund made pursuant to Regulation Z, 12 CFR 1026.19(f)(2)(v), the financial institution
reports the corrected amount of borrower-paid origination charges only if the corrected
disclosure was provided to the borrower prior to the end of the calendar year in which closing
occurs.
Paragraph 4(a)(19)
1. Discount points—scope of requirement. Section 1003.4(a)(19) does not require financial
institutions to report the discount points for applications, or for transactions not subject to
Regulation Z, 12 CFR 1026.19(f), such as open-end lines of credit, reverse mortgages, or loans
or lines of credit made primarily for business or commercial purposes. In these cases, a
financial institution complies with § 1003.4(a)(19) by reporting that the requirement is not
applicable to the transaction. For partially exempt transactions under § 1003.3(d), an insured
depository institution or insured credit union is not required to report the discount points. See
§ 1003.3(d) and related commentary.
2. Purchased loans—applications received prior to the integrated disclosure effective date. For
purchased covered loans subject to this reporting requirement for which applications were
received by the selling entity prior to the effective date of Regulation Z, 12 CFR 1026.19(f), a
financial institution complies with § 1003.4(a)(19) by reporting that the requirement is not
applicable to the transaction.
3. Corrected disclosures. If the amount of discount points changes because a financial
institution provides a corrected version of the disclosures required under Regulation Z, 12 CFR
1026.19(f), pursuant to 12 CFR 1026.19(f)(2), the financial institution complies with
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§ 1003.4(a)(19) by reporting the corrected amount, provided that the corrected disclosure was
provided to the borrower prior to the end of the reporting period in which closing occurs. For
purposes of §1003.4(a)(19), the date the corrected disclosure was provided to the borrower is
the date disclosed pursuant to Regulation Z, 12 CFR 1026.38(a)(3)(i). For example, in the case
of a financial institution's annual loan/application register submission made pursuant to
§ 1003.5(a)(1), if the financial institution provides a corrected disclosure to the borrower to
reflect a refund made pursuant to Regulation Z, 12 CFR 1026.19(f)(2)(v), the financial institution
reports the corrected amount of discount points only if the corrected disclosure was provided to
the borrower prior to the end of the calendar year in which closing occurs.
Paragraph 4(a)(20)
1. Lender credits—scope of requirement. Section 1003.4(a)(20) does not require financial
institutions to report lender credits for applications, or for transactions not subject to Regulation
Z, 12 CFR 1026.19(f), such as open-end lines of credit, reverse mortgages, or loans or lines of
credit made primarily for business or commercial purposes. In these cases, a financial institution
complies with § 1003.4(a)(20) by reporting that the requirement is not applicable to the
transaction. For partially exempt transactions under § 1003.3(d), an insured depository
institution or insured credit union is not required to report lender credits. See § 1003.3(d) and
related commentary.
2. Purchased loans—applications received prior to the integrated disclosure effective date. For
purchased covered loans subject to this reporting requirement for which applications were
received by the selling entity prior to the effective date of Regulation Z, 12 CFR 1026.19(f), a
financial institution complies with § 1003.4(a)(20) by reporting that the requirement is not
applicable to the transaction.
3. Corrected disclosures. If the amount of lender credits changes because a financial institution
provides a corrected version of the disclosures required under Regulation Z, 12 CFR 1026.19(f),
pursuant to 12 CFR 1026.19(f)(2), the financial institution complies with § 1003.4(a)(20) by
reporting the corrected amount, provided that the corrected disclosure was provided to the
borrower prior to the end of the reporting period in which closing occurs. For purposes of
§ 1003.4(a)(20), the date the corrected disclosure was provided to the borrower is the date
disclosed pursuant to Regulation Z, 12 CFR 1026.38(a)(3)(i). For example, in the case of a
financial institution's annual loan/application register submission made pursuant to
§ 1003.5(a)(1), if the financial institution provides a corrected disclosure to the borrower to
reflect a refund made pursuant to Regulation Z, 12 CFR 1026.19(f)(2)(v), the financial institution
reports the corrected amount of lender credits only if the corrected disclosure was provided to
the borrower prior to the end of the calendar year in which closing occurs.
Paragraph 4(a)(21)
1. Interest rate—disclosures. Except for partially exempt transactions under §1003.3(d), §
1003.4(a)(21) requires a financial institution to identify the interest rate applicable to the
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approved application, or to the covered loan at closing or account opening. For covered loans or
applications subject to the integrated mortgage disclosure requirements of Regulation Z, 12
CFR 1026.19(e) and (f), a financial institution complies with § 1003.4(a)(21) by reporting the
interest rate disclosed on the applicable disclosure. For covered loans or approved applications
for which disclosures were provided pursuant to both the early and the final disclosure
requirements in Regulation Z, 12 CFR 1026.19(e) and (f), a financial institution reports the
interest rate disclosed pursuant to 12 CFR 1026.19(f). A financial institution may rely on the
definitions and commentary to the sections of Regulation Z relevant to the disclosure of the
interest rate pursuant to 12 CFR 1026.19(e) or (f). If a financial institution provides a revised or
corrected version of the disclosures required under Regulation Z, 12 CFR 1026.19(e) or (f),
pursuant to 12 CFR 1026.19(e)(3)(iv) or (f)(2), as applicable, the financial institution complies
with § 1003.4(a)(21) by reporting the interest rate on the revised or corrected disclosure,
provided that the revised or corrected disclosure was provided to the borrower prior to the end
of the reporting period in which final action is taken. For purposes of § 1003.4(a)(21), the date
the revised or corrected disclosure was provided to the borrower is the date disclosed pursuant
to Regulation Z, 12 CFR 1026.37(a)(4) or 1026.38(a)(3)(i), as applicable.
2. Applications. In the case of an application, § 1003.4(a)(21) requires a financial institution to
report the applicable interest rate only if the application has been approved by the financial
institution but not accepted by the borrower. In such cases, a financial institution reports the
interest rate applicable at the time that the application was approved by the financial institution.
A financial institution may report the interest rate appearing on the disclosure provided pursuant
to 12 CFR 1026.19(e) or (f) if such disclosure accurately reflects the interest rate at the time the
application was approved. For applications that have been denied or withdrawn, or files closed
for incompleteness, a financial institution reports that no interest rate was applicable to the
application.
3. Adjustable rate—interest rate unknown. Except as provided in comment 4(a)(21)-1, for
adjustable-rate covered loans or applications, if the interest rate is unknown at the time that the
application was approved, or at closing or account opening, a financial institution reports the
fully-indexed rate based on the index applicable to the covered loan or application. For
purposes of § 1003.4(a)(21), the fully-indexed rate is the index value and margin at the time that
the application was approved, or, for covered loans, at closing or account opening.
Paragraph 4(a)(22)
1. Prepayment penalty term—scope of requirement. Section 1003.4(a)(22) does not require
financial institutions to report the term of any prepayment penalty for transactions not subject to
Regulation Z, 12 CFR part 1026, such as loans or lines of credit made primarily for business or
commercial purposes, or for reverse mortgages or purchased covered loans. In these cases, a
financial institution complies with § 1003.4(a)(22) by reporting that the requirement is not
applicable to the transaction. For partially exempt transactions under § 1003.3(d), an insured

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depository institution or insured credit union is not required to report the term of any prepayment
penalty. See § 1003.3(d) and related commentary.
2. Transactions for which no prepayment penalty exists. For covered loans or applications that
have no prepayment penalty, a financial institution complies with § 1003.4(a)(22) by reporting
that the requirement is not applicable to the transaction. A financial institution may rely on the
definitions and commentary to Regulation Z, 12 CFR 1026.32(b)(6)(i) or (ii) in determining
whether the terms of a transaction contain a prepayment penalty.
Paragraph 4(a)(23)
1. General. For covered loans that are not purchased covered loans and that are not partially
exempt under § 1003.3(d), § 1003.4(a)(23) requires a financial institution to report the ratio of
the applicant's or borrower's total monthly debt to total monthly income (debt-to-income ratio)
relied on in making the credit decision. For example, if a financial institution calculated the
applicant's or borrower's debt-to-income ratio twice—once according to the financial institution's
own requirements and once according to the requirements of a secondary market investor—and
the financial institution relied on the debt-to-income ratio calculated according to the secondary
market investor's requirements in making the credit decision, § 1003.4(a)(23) requires the
financial institution to report the debt-to-income ratio calculated according to the requirements of
the secondary market investor.
2. Transactions for which a debt-to-income ratio was one of multiple factors. A financial
institution relies on the ratio of the applicant's or borrower's total monthly debt to total monthly
income (debt-to-income ratio) in making the credit decision if the debt-to-income ratio was a
factor in the credit decision even if it was not a dispositive factor. For example, if the debt-toincome ratio was one of multiple factors in a financial institution's credit decision, the financial
institution has relied on the debt-to-income ratio and complies with § 1003.4(a)(23) by reporting
the debt-to-income ratio, even if the financial institution denied the application because one or
more underwriting requirements other than the debt-to-income ratio were not satisfied.
3. Transactions for which no credit decision was made. If a file was closed for incompleteness,
or if an application was withdrawn before a credit decision was made, a financial institution
complies with § 1003.4(a)(23) by reporting that the requirement is not applicable, even if the
financial institution had calculated the ratio of the applicant's total monthly debt to total monthly
income (debt-to-income ratio). For example, if a file was closed for incompleteness and was so
reported in accordance with § 1003.4(a)(8), the financial institution complies with
§ 1003.4(a)(23) by reporting that the requirement is not applicable, even if the financial
institution had calculated the applicant's debt-to-income ratio. Similarly, if an application was
withdrawn by the applicant before a credit decision was made, the financial institution complies
with § 1003.4(a)(23) by reporting that the requirement is not applicable, even if the financial
institution had calculated the applicant's debt-to-income ratio.

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4. Transactions for which no debt-to-income ratio was relied on. Section 1003.4(a)(23) does not
require a financial institution to calculate the ratio of an applicant's or borrower's total monthly
debt to total monthly income (debt-to-income ratio), nor does it require a financial institution to
rely on an applicant's or borrower's debt-to-income ratio in making a credit decision. If a
financial institution made a credit decision without relying on the applicant's or borrower's debtto-income ratio, the financial institution complies with § 1003.4(a)(23) by reporting that the
requirement is not applicable since no debt-to-income ratio was relied on in connection with the
credit decision.
5. Non-natural person. A financial institution complies with § 1003.4(a)(23) by reporting that the
requirement is not applicable when the applicant and co-applicant, if applicable, are not natural
persons.
6. Multifamily dwellings. A financial institution complies with § 1003.4(a)(23) by reporting that the
requirement is not applicable for a covered loan secured by, or an application proposed to be
secured by, a multifamily dwelling.
7. Purchased covered loans. A financial institution complies with § 1003.4(a)(23) by reporting
that the requirement is not applicable when reporting a purchased covered loan.
Paragraph 4(a)(24)
1. General. Except for purchased covered loans and partially exempt transactions under
§ 1003.3(d), § 1003.4(a)(24) requires a financial institution to report, except for purchased
covered loans, the ratio of the total amount of debt secured by the property to the value of the
property (combined loan-to-value ratio) relied on in making the credit decision. For example, if a
financial institution calculated a combined loan-to-value ratio twice—once according to the
financial institution's own requirements and once according to the requirements of a secondary
market investor—and the financial institution relied on the combined loan-to-value ratio
calculated according to the secondary market investor's requirements in making the credit
decision, § 1003.4(a)(24) requires the financial institution to report the combined loan-to-value
ratio calculated according to the requirements of the secondary market investor.
2. Transactions for which a combined loan-to-value ratio was one of multiple factors. A financial
institution relies on the ratio of the total amount of debt secured by the property to the value of
the property (combined loan-to-value ratio) in making the credit decision if the combined loan-tovalue ratio was a factor in the credit decision, even if it was not a dispositive factor. For
example, if the combined loan-to-value ratio is one of multiple factors in a financial institution's
credit decision, the financial institution has relied on the combined loan-to-value ratio and
complies with § 1003.4(a)(24) by reporting the combined loan-to-value ratio, even if the financial
institution denies the application because one or more underwriting requirements other than the
combined loan-to-value ratio are not satisfied.

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3. Transactions for which no credit decision was made. If a file was closed for incompleteness,
or if an application was withdrawn before a credit decision was made, a financial institution
complies with § 1003.4(a)(24) by reporting that the requirement is not applicable, even if the
financial institution had calculated the ratio of the total amount of debt secured by the property
to the value of the property (combined loan-to-value ratio). For example, if a file is closed for
incompleteness and is so reported in accordance with § 1003.4(a)(8), the financial institution
complies with § 1003.4(a)(24) by reporting that the requirement is not applicable, even if the
financial institution had calculated a combined loan-to-value ratio. Similarly, if an application was
withdrawn by the applicant before a credit decision was made and is so reported in accordance
with § 1003.4(a)(8), the financial institution complies with § 1003.4(a)(24) by reporting that the
requirement is not applicable, even if the financial institution had calculated a combined loan-tovalue ratio.
4. Transactions for which no combined loan-to-value ratio was relied on. Section 1003.4(a)(24)
does not require a financial institution to calculate the ratio of the total amount of debt secured
by the property to the value of the property (combined loan-to-value ratio), nor does it require a
financial institution to rely on a combined loan-to-value ratio in making a credit decision. If a
financial institution makes a credit decision without relying on a combined loan-to-value ratio,
the financial institution complies with § 1003.4(a)(24) by reporting that the requirement is not
applicable since no combined loan-to-value ratio was relied on in making the credit decision.
5. Purchased covered loan. A financial institution complies with § 1003.4(a)(24) by reporting that
the requirement is not applicable when the covered loan is a purchased covered loan.
6. Property. A financial institution reports the combined loan-to-value ratio relied on in making
the credit decision, regardless of which property or properties it used in the combined loan-tovalue ratio calculation. The property used in the combined loan-to-value ratio calculation does
not need to be the property identified in § 1003.4(a)(9) and may include more than one property
and non-real property. For example, if a financial institution originated a covered loan for the
purchase of a multifamily dwelling, the loan was secured by the multifamily dwelling and by nonreal property, such as securities, and the financial institution used the multifamily dwelling and
the non-real property to calculate the combined loan-to-value ratio that it relied on in making the
credit decision, § 1003.4(a)(24) requires the financial institution to report the relied upon ratio.
Section 1003.4(a)(24) does not require a financial institution to use a particular combined loanto-value ratio calculation method but instead requires financial institutions to report the
combined loan-to-value ratio relied on in making the credit decision.
Paragraph 4(a)(25)
1. Amortization and maturity. For a fully amortizing covered loan, the number of months after
which the legal obligation matures is the number of months in the amortization schedule, ending
with the final payment. Some covered loans do not fully amortize during the maturity term, such
as covered loans with a balloon payment; such loans should still be reported using the maturity

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term rather than the amortization term, even in the case of covered loans that mature before
fully amortizing but have reset options. For example, a 30-year fully amortizing covered loan
would be reported with a term of “360,” while a five year balloon covered loan would be reported
with a loan term of “60.”
2. Non-monthly repayment periods. If a covered loan or application includes a schedule with
repayment periods measured in a unit of time other than months, the financial institution should
report the covered loan or application term using an equivalent number of whole months without
regard for any remainder.
3. Purchased loans. For a covered loan that was purchased, a financial institution reports the
number of months after which the legal obligation matures as measured from the covered loan's
origination.
4. Open-end line of credit. For an open-end line of credit with a definite term, a financial
institution reports the number of months from origination until the account termination date,
including both the draw and repayment period.
5. Loan term—scope of requirement. For a covered loan or application without a definite term,
such as a reverse mortgage, a financial institution complies with § 1003.4(a)(25) by reporting
that the requirement is not applicable. For partially exempt transactions under § 1003.3(d), an
insured depository institution or insured credit union is not required to report the loan term. See
§ 1003.3(d) and related commentary.

Paragraph 4(a)(26)
1. Types of introductory rates. Except for partially exempt transactions under § 1003.3(d),
§ 1003.4(a)(26) requires a financial institution to report the number of months, or proposed
number of months in the case of an application, from closing or account opening until the first
date the interest rate may change. For example, assume an open-end line of credit contains an
introductory or “teaser” interest rate for two months after the date of account opening, after
which the interest rate may adjust. In this example, the financial institution complies with
§ 1003.4(a)(26) by reporting the number of months as “2.” Section 1003.4(a)(26) requires a
financial institution to report the number of months based on when the first interest rate
adjustment may occur, even if an interest rate adjustment is not required to occur at that time
and even if the rates that will apply, or the periods for which they will apply, are not known at
closing or account opening. For example, if a closed-end mortgage loan with a 30-year term has
an adjustable-rate product with an introductory interest rate for the first 60 months, after which
the interest rate is permitted, but not required to vary, according to the terms of an index rate,
the financial institution complies with § 1003.4(a)(26) by reporting the number of months as “60.”
Similarly, if a closed-end mortgage loan with a 30-year term is a step-rate product with an
introductory interest rate for the first 24 months, after which the interest rate will increase to a

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different known interest rate for the next 36 months, the financial institution complies with
§ 1003.4(a)(26) by reporting the number of months as “24.”
2. Preferred rates. Section 1003.4(a)(26) does not require reporting of introductory interest rate
periods based on preferred rates unless the terms of the legal obligation provide that the
preferred rate will expire at a certain defined date. Preferred rates include terms of the legal
obligation that provide that the initial underlying rate is fixed but that it may increase or decrease
upon the occurrence of some future event, such as an employee leaving the employ of the
financial institution, the borrower closing an existing deposit account with the financial institution,
or the borrower revoking an election to make automated payments. In these cases, because it is
not known at the time of closing or account opening whether the future event will occur, and if
so, when it will occur, § 1003.4(a)(26) does not require reporting of an introductory interest rate
period.
3. Loan or application with a fixed rate. A financial institution complies with § 1003.4(a)(26) by
reporting that the requirement is not applicable for a covered loan with a fixed rate or an
application for a covered loan with a fixed rate.
4. Purchased loan. A financial institution complies with § 1003.4(a)(26) by reporting that
requirement is not applicable when the covered loan is a purchased covered loan with a fixed
rate.
5. Non-monthly introductory periods. If a covered loan or application includes an introductory
interest rate period measured in a unit of time other than months, the financial institution
complies with § 1003.4(a)(26) by reporting the introductory interest rate period for the covered
loan or application using an equivalent number of whole months without regard for any
remainder. For example, assume an open-end line of credit contains an introductory interest
rate for 50 days after the date of account opening, after which the interest rate may adjust. In
this example, the financial institution complies with § 1003.4(a)(26) by reporting the number of
months as “1.” The financial institution must report one month for any introductory interest rate
period that totals less than one whole month.
Paragraph 4(a)(27)
1. General. Except for partially exempt transactions under § 1003.3(d), § 1003.4(a)(27) requires
reporting of contractual features that would allow payments other than fully amortizing
payments. Section 1003.4(a)(27) defines the contractual features by reference to Regulation Z,
12 CFR part 1026, but without regard to whether the covered loan is consumer credit, as
defined in § 1026.2(a)(12), is extended by a creditor, as defined in § 1026.2(a)(17), or is
extended to a consumer, as defined in § 1026.2(a)(11), and without regard to whether the
property is a dwelling as defined in § 1026.2(a)(19). For example, assume that a financial
institution originates a business-purpose transaction that is exempt from Regulation Z pursuant
to 12 CFR 1026.3(a)(1), to finance the purchase of a multifamily dwelling, and that there is a

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balloon payment, as defined by Regulation Z, 12 CFR 1026.18(s)(5)(i), at the end of the loan
term. The multifamily dwelling is a dwelling under § 1003.2(f), but not under Regulation Z, 12
CFR 1026.2(a)(19). In this example, the financial institution should report the business-purpose
transaction as having a balloon payment under § 1003.4(a)(27)(i), assuming the other
requirements of this part are met. Aside from these distinctions, financial institutions may rely on
the definitions and related commentary provided in the appropriate sections of Regulation Z
referenced in § 1003.4(a)(27) of this part in determining whether the contractual feature should
be reported.
Paragraph 4(a)(28).
1. General. Except for partially exempt transactions under § 1003.3(d), § 1003.4(a)(28) requires
a financial institution to report the property value relied on in making the credit decision. For
example, if the institution relies on an appraisal or other valuation for the property in calculating
the loan-to-value ratio, it reports that value; if the institution relies on the purchase price of the
property in calculating the loan-to-value ratio, it reports that value.
2. Multiple property values. When a financial institution obtains two or more valuations of the
property securing or proposed to secure the covered loan, the financial institution complies with
§ 1003.4(a)(28) by reporting the value relied on in making the credit decision. For example,
when a financial institution obtains an appraisal, an automated valuation model report, and a
broker price opinion with different values for the property, it reports the value relied on in making
the credit decision. Section § 1003.4(a)(28) does not require a financial institution to use a
particular property valuation method, but instead requires a financial institution to report the
valuation relied on in making the credit decision.
3. Transactions for which no credit decision was made. If a file was closed for incompleteness
or the application was withdrawn before a credit decision was made, the financial institution
complies with § 1003.4(a)(28) by reporting that the requirement is not applicable, even if the
financial institution had obtained a property value. For example, if a file is closed for
incompleteness and is so reported in accordance with § 1003.4(a)(8), the financial institution
complies with § 1003.4(a)(28) by reporting that the requirement is not applicable, even if the
financial institution had obtained a property value. Similarly, if an application was withdrawn by
the applicant before a credit decision was made and is so reported in accordance with
§ 1003.4(a)(8), the financial institution complies with § 1003.4(a)(28) by reporting that the
requirement is not applicable, even if the financial institution had obtained a property value.
4. Transactions for which no property value was relied on. Section 1003.4(a)(28) does not
require a financial institution to obtain a property valuation, nor does it require a financial
institution to rely on a property value in making a credit decision. If a financial institution makes
a credit decision without relying on a property value, the financial institution complies with
§ 1003.4(a)(28) by reporting that the requirement is not applicable since no property value was
relied on in making the credit decision.

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Paragraph 4(a)(29)
1. Classification under State law. A financial institution should report a covered loan that is or
would have been secured only by a manufactured home but not the land on which it is sited as
secured by a manufactured home and not land, even if the manufactured home is considered
real property under applicable State law.
2. Manufactured home community. A manufactured home community that is a multifamily
dwelling is not considered a manufactured home for purposes of § 1003.4(a)(29).
3. Multiple properties. See comment 4(a)(9)-2 regarding transactions involving multiple
properties with more than one property taken as security.
4. Scope of requirement. A financial institution reports that the requirement is not applicable for
a covered loan where the dwelling related to the property identified in § 1003.4(a)(9) is not a
manufactured home. For partially exempt transactions under § 1003.3(d), an insured depository
institution or insured credit union is not required to report the information specified in
§ 1003.4(a)(29). See § 1003.3(d) and related commentary.
Paragraph 4(a)(30)
1. Indirect land ownership. Indirect land ownership can occur when the applicant or borrower is
or will be a member of a resident-owned community structured as a housing cooperative in
which the occupants own an entity that holds the underlying land of the manufactured home
community. In such communities, the applicant or borrower may still have a lease and pay rent
for the lot on which his or her manufactured home is or will be located, but the property interest
type for such an arrangement should be reported as indirect ownership if the applicant is or will
be a member of the cooperative that owns the underlying land of the manufactured home
community. If an applicant resides or will reside in such a community but is not a member, the
property interest type should be reported as a paid leasehold.
2. Leasehold interest. A leasehold interest could be formalized in a lease with a defined term
and specified rent payments, or could arise as a tenancy at will through permission of a land
owner without any written, formal arrangement. For example, assume a borrower will locate the
manufactured home in a manufactured home community, has a written lease for a lot in that
park, and the lease specifies rent payments. In this example, a financial institution complies with
§ 1003.4(a)(30) by reporting a paid leasehold. However, if instead the borrower will locate the
manufactured home on land owned by a family member without a written lease and with no
agreement as to rent payments, a financial institution complies with § 1003.4(a)(30) by reporting
an unpaid leasehold.
3. Multiple properties. See comment 4(a)(9)-2 regarding transactions involving multiple
properties with more than one property taken as security.

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4. Manufactured home community. A manufactured home community that is a multifamily
dwelling is not considered a manufactured home for purposes of § 1003.4(a)(30).
5. Direct ownership. An applicant or borrower has a direct ownership interest in the land on
which the dwelling is or is to be located when it has a more than possessory real property
ownership interest in the land such as fee simple ownership.
6. Scope of requirement. A financial institution reports that the requirement is not applicable for
a covered loan where the dwelling related to the property identified in § 1003.4(a)(9) is not a
manufactured home. For partially exempt transactions under § 1003.3(d), an insured depository
institution or insured credit union is not required to report the information specified in
§ 1003.4(a)(30). See § 1003.3(d) and related commentary.
Paragraph 4(a)(31)
1. Multiple properties. See comment 4(a)(9)-2 regarding transactions involving multiple
properties with more than one property taken as security.
2. Manufactured home community. For an application or covered loan secured by a
manufactured home community, the financial institution should include in the number of
individual dwelling units the total number of manufactured home sites that secure the loan and
are available for occupancy, regardless of whether the sites are currently occupied or have
manufactured homes currently attached. A financial institution may include in the number of
individual dwelling units other units such as recreational vehicle pads, manager apartments,
rental apartments, site-built homes or other rentable space that are ancillary to the operation of
the secured property if it considers such units under its underwriting guidelines or the guidelines
of an investor, or if it tracks the number of such units for its own internal purposes. For a loan
secured by a single manufactured home that is or will be located in a manufactured home
community, the financial institution should report one individual dwelling unit.
3. Condominium and cooperative projects. For a covered loan secured by a condominium or
cooperative property, the financial institution reports the total number of individual dwelling units
securing the covered loan or proposed to secure the covered loan in the case of an application.
For example:
i. Assume that a loan is secured by the entirety of a cooperative property. The financial
institution would report the number of individual dwelling units in the cooperative property.
ii. Assume that a covered loan is secured by 30 individual dwelling units in a condominium
property that contains 100 individual dwelling units and that the loan is not exempt from
Regulation C under § 1003.3(c)(3). The financial institution reports 30 individual dwelling
units.

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4. Best information available. A financial institution may rely on the best information readily
available to the financial institution at the time final action is taken and on the financial
institution's own procedures in reporting the information required by § 1003.4(a)(31). Information
readily available could include, for example, information provided by an applicant that the
financial institution reasonably believes, information contained in a property valuation or
inspection, or information obtained from public records.
Paragraph 4(a)(32)
1. Affordable housing income restrictions. For purposes of § 1003.4(a)(32), affordable housing
income-restricted units are individual dwelling units that have restrictions based on the income
level of occupants pursuant to restrictive covenants encumbering the property. Such income
levels are frequently expressed as a percentage of area median income by household size as
established by the U.S. Department of Housing and Urban Development or another agency
responsible for implementing the applicable affordable housing program. Such restrictions are
frequently part of compliance with programs that provide public funds, special tax treatment, or
density bonuses to encourage development or preservation of affordable housing. Such
restrictions are frequently evidenced by a use agreement, regulatory agreement, land use
restriction agreement, housing assistance payments contract, or similar agreement. Rent control
or rent stabilization laws, and the acceptance by the owner or manager of a multifamily dwelling
of Housing Choice Vouchers (24 CFR part 982) or other similar forms of portable housing
assistance that are tied to an occupant and not an individual dwelling unit, are not affordable
housing income-restricted dwelling units for purposes of § 1003.4(a)(32).
2. Federal affordable housing sources. Examples of Federal programs and funding sources that
may result in individual dwelling units that are reportable under § 1003.4(a)(32) include, but are
not limited to:
i. Affordable housing programs pursuant to Section 8 of the United States Housing Act of
1937 (42 U.S.C. 1437f);
ii. Public housing (42 U.S.C. 1437a(b)(6));
iii. The HOME Investment Partnerships program (24 CFR part 92);
iv. The Community Development Block Grant program (24 CFR part 570);
v. Multifamily tax subsidy project funding through tax-exempt bonds or tax credits (26 U.S.C.
42; 26 U.S.C. 142(d));
vi. Project-based vouchers (24 CFR part 983);
vii. Federal Home Loan Bank affordable housing program funding (12 CFR part 1291); and

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viii. Rural Housing Service multifamily housing loans and grants (7 CFR part 3560).
3. State and local government affordable housing sources. Examples of State and local sources
that may result in individual dwelling units that are reportable under § 1003.4(a)(32) include, but
are not limited to: State or local administration of Federal funds or programs; State or local
funding programs for affordable housing or rental assistance, including programs operated by
independent public authorities; inclusionary zoning laws; and tax abatement or tax increment
financing contingent on affordable housing requirements.
4. Multiple properties. See comment 4(a)(9)-2 regarding transactions involving multiple
properties with more than one property taken as security.
5. Best information available. A financial institution may rely on the best information readily
available to the financial institution at the time final action is taken and on the financial
institution's own procedures in reporting the information required by § 1003.4(a)(32). Information
readily available could include, for example, information provided by an applicant that the
financial institution reasonably believes, information contained in a property valuation or
inspection, or information obtained from public records.
6. Scope of requirement. A financial institution reports that the requirement is not applicable if
the property securing the covered loan or, in the case of an application, proposed to secure the
covered loan is not a multifamily dwelling. For partially exempt transactions under § 1003.3(d),
an insured depository institution or insured credit union is not required to report the information
specified in § 1003.4(a)(32). See § 1003.3(d) and related commentary.
Paragraph 4(a)(33)
1. Agents. If a financial institution is reporting actions taken by its agent consistent with
comment 4(a)-4, the agent is not considered the financial institution for the purposes of
§ 1003.4(a)(33). For example, assume that an applicant submitted an application to Financial
Institution A, and Financial Institution A made the credit decision acting as Financial Institution
B's agent under State law. A covered loan was originated and the obligation arising from a
covered loan was initially payable to Financial Institution A. Financial Institution B purchased the
loan. Financial Institution B reports the origination and not the purchase, and indicates that the
application was not submitted directly to the financial institution and that the transaction was not
initially payable to the financial institution.
Paragraph 4(a)(33)(i)
1. General. Except for partially exempt transactions under § 1003.3(d), § 1003.4(a)(33)(i)
requires a financial institution to indicate whether the applicant or borrower submitted the
application directly to the financial institution that is reporting the covered loan or application.
The following scenarios demonstrate whether an application was submitted directly to the
financial institution that is reporting the covered loan or application.

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i. The application was submitted directly to the financial institution if the mortgage loan
originator identified pursuant to § 1003.4(a)(34) was an employee of the reporting financial
institution when the originator performed the origination activities for the covered loan or
application that is being reported.
ii. The application was also submitted directly to the financial institution reporting the
covered loan or application if the reporting financial institution directed the applicant to a
third-party agent (e.g., a credit union service organization) that performed loan origination
activities on behalf of the financial institution and did not assist the applicant with applying
for covered loans with other institutions.
iii. If an applicant contacted and completed an application with a broker or correspondent
that forwarded the application to a financial institution for approval, an application was not
submitted to the financial institution.
Paragraph 4(a)(33)(ii)
1. General. Except for partially exempt transactions under § 1003.3(d), § 1003.4(a)(33)(ii)
requires financial institutions to report whether the obligation arising from a covered loan was or,
in the case of an application, would have been initially payable to the institution. An obligation is
initially payable to the institution if the obligation is initially payable either on the face of the note
or contract to the financial institution that is reporting the covered loan or application. For
example, if a financial institution reported an origination of a covered loan that it approved prior
to closing, that closed in the name of a third-party, such as a correspondent lender, and that the
financial institution purchased after closing, the covered loan was not initially payable to the
financial institution.
2. Applications. A financial institution complies with § 1003.4(a)(33)(ii) by reporting that the
requirement is not applicable if the institution had not determined whether the covered loan
would have been initially payable to the institution reporting the application when the application
was withdrawn, denied, or closed for incompleteness.
Paragraph 4(a)(34)
1. NMLSR ID. Except for partially exempt transactions under § 1003.3(d), § 1003.4(a)(34)
requires a financial institution to report the Nationwide Mortgage Licensing System and Registry
unique identifier (NMLSR ID) for the mortgage loan originator, as defined in Regulation G, 12
CFR 1007.102, or Regulation H, 12 CFR 1008.23, as applicable. The NMLSR ID is a unique
number or other identifier generally assigned to individuals registered or licensed through
NMLSR to provide loan originating services. For more information, see the Secure and Fair
Enforcement for Mortgage Licensing Act of 2008, title V of the Housing and Economic Recovery
Act of 2008 (S.A.F.E. Act), 12 U.S.C. 5101 et seq., and its implementing regulations (12 CFR
part 1007 and 12 CFR part 1008).

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2. Mortgage loan originator without NMLSR ID. An NMLSR ID for the mortgage loan originator is
not required by § 1003.4(a)(34) to be reported by a financial institution if the mortgage loan
originator is not required to obtain and has not been assigned an NMLSR ID. For example,
certain individual mortgage loan originators may not be required to obtain an NMLSR ID for the
particular transaction being reported by the financial institution, such as a commercial loan.
However, some mortgage loan originators may have obtained an NMLSR ID even if they are not
required to obtain one for that particular transaction. If a mortgage loan originator has been
assigned an NMLSR ID, a financial institution complies with § 1003.4(a)(34) by reporting the
mortgage loan originator's NMLSR ID regardless of whether the mortgage loan originator is
required to obtain an NMLSR ID for the particular transaction being reported by the financial
institution. In the event that the mortgage loan originator is not required to obtain and has not
been assigned an NMLSR ID, a financial institution complies with § 1003.4(a)(34) by reporting
that the requirement is not applicable.
3. Multiple mortgage loan originators. If more than one individual associated with a covered loan
or application meets the definition of a mortgage loan originator, as defined in Regulation G, 12
CFR 1007.102, or Regulation H, 12 CFR 1008.23, a financial institution complies with
§ 1003.4(a)(34) by reporting the NMLSR ID of the individual mortgage loan originator with
primary responsibility for the transaction as of the date of action taken pursuant to
§1003.4(a)(8)(ii). A financial institution that establishes and follows a reasonable, written policy
for determining which individual mortgage loan originator has primary responsibility for the
reported transaction as of the date of action taken complies with § 1003.4(a)(34).
4. Purchased loans. If a financial institution purchases a covered loan that satisfies the
coverage criteria of Regulation Z, 12 CFR 1026.36(g), and that was originated prior to January
10, 2014, the financial institution complies with § 1003.4(a)(34) by reporting that the requirement
is not applicable. In addition, if a financial institution purchases a covered loan that does not
satisfy the coverage criteria of Regulation Z, 12 CFR 1026.36(g), and that was originated prior
to January 1, 2018, the financial institution complies with § 1003.4(a)(34) by reporting that the
requirement is not applicable. Purchasers of both such types of covered loans may report the
NMLSR ID.
Paragraph 4(a)(35)
1. Automated underwriting system data—general. Except for purchased covered loans and
partial exempt transactions under § 1003.3(d), § 1003.4(a)(35) requires a financial institution to
report the name of the automated underwriting system (AUS) used by the financial institution to
evaluate the application and the result generated by that AUS. The following scenarios illustrate
when a financial institution reports the name of the AUS used by the financial institution to
evaluate the application and the result generated by that AUS.
i. A financial institution that uses an AUS, as defined in § 1003.4(a)(35)(ii), to evaluate an
application, must report the name of the AUS used by the financial institution to evaluate the

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application and the result generated by that system, regardless of whether the AUS was
used in its underwriting process. For example, if a financial institution uses an AUS to
evaluate an application prior to submitting the application through its underwriting process,
the financial institution complies with § 1003.4(a)(35) by reporting the name of the AUS it
used to evaluate the application and the result generated by that system.
ii. A financial institution that uses an AUS, as defined in § 1003.4(a)(35)(ii), to evaluate an
application, must report the name of the AUS it used to evaluate the application and the
result generated by that system, regardless of whether the financial institution intends to
hold the covered loan in its portfolio or sell the covered loan. For example, if a financial
institution uses an AUS developed by a securitizer to evaluate an application and intends to
sell the covered loan to that securitizer but ultimately does not sell the covered loan and
instead holds the covered loan in its portfolio, the financial institution complies with
§ 1003.4(a)(35) by reporting the name of the securitizer's AUS that the institution used to
evaluate the application and the result generated by that system. Similarly, if a financial
institution uses an AUS developed by a securitizer to evaluate an application to determine
whether to originate the covered loan but does not intend to sell the covered loan to that
securitizer and instead holds the covered loan in its portfolio, the financial institution
complies with § 1003.4(a)(35) by reporting the name of the securitizer's AUS that the
institution used to evaluate the application and the result generated by that system.
iii. A financial institution that uses an AUS, as defined in § 1003.4(a)(35)(ii), that is
developed by a securitizer to evaluate an application, must report the name of the AUS it
used to evaluate the application and the result generated by that system, regardless of
whether the securitizer intends to hold the covered loan it purchased from the financial
institution in its portfolio or securitize the covered loan. For example, if a financial institution
uses an AUS developed by a securitizer to evaluate an application and the financial
institution sells the covered loan to that securitizer but the securitizer holds the covered loan
it purchased in its portfolio, the financial institution complies with § 1003.4(a)(35) by
reporting the name of the securitizer's AUS that the institution used to evaluate the
application and the result generated by that system.
iv. A financial institution, which is also a securitizer, that uses its own AUS, as defined in
§ 1003.4(a)(35)(ii), to evaluate an application, must report the name of the AUS it used to
evaluate the application and the result generated by that system, regardless of whether the
financial institution intends to hold the covered loan it originates in its portfolio, purchase the
covered loan, or securitize the covered loan. For example, if a financial institution, which is
also a securitizer, has developed its own AUS and uses that AUS to evaluate an application
that it intends to originate and hold in its portfolio and not purchase or securitize the covered
loan, the financial institution complies with § 1003.4(a)(35) by reporting the name of its AUS
that it used to evaluate the application and the result generated by that system.

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2. Definition of automated underwriting system. A financial institution must report the information
required by § 1003.4(a)(35)(i) if the financial institution uses an automated underwriting system
(AUS), as defined in § 1003.4(a)(35)(ii), to evaluate an application. To be covered by the
definition in § 1003.4(a)(35)(ii), a system must be an electronic tool that has been developed by
a securitizer, Federal government insurer, or a Federal government guarantor of closed-end
mortgage loans or open-end lines of credit. A person is a securitizer, Federal government
insurer, or Federal government guarantor of closed-end mortgage loans or open-end lines of
credit, respectively, if it has securitized, provided Federal government insurance, or provided a
Federal government guarantee for a closed-end mortgage loan or open-end line of credit at any
point in time. A person may be a securitizer, Federal government insurer, or Federal
government guarantor of closed-end mortgage loans or open-end lines of credit, respectively,
for purposes of § 1003.4(a)(35) even if it is not actively securitizing, insuring, or guaranteeing
closed-end mortgage loans or open-end lines of credit at the time a financial institution uses the
AUS to evaluate an application. Where the person that developed the electronic tool has never
been a securitizer, Federal government insurer, or Federal government guarantor of closed-end
mortgage loans or open-end lines of credit, respectively, at the time a financial institution uses
the tool to evaluate an application, the financial institution complies with § 1003.4(a)(35) by
reporting that the requirement is not applicable because an AUS was not used to evaluate the
application. If a financial institution has developed its own proprietary system that it uses to
evaluate an application and the financial institution is also a securitizer, then the financial
institution complies with § 1003.4(a)(35) by reporting the name of that system and the result
generated by that system. On the other hand, if a financial institution has developed its own
proprietary system that it uses to evaluate an application and the financial institution is not a
securitizer, then the financial institution is not required by § 1003.4(a)(35) to report the use of
that system and the result generated by that system. In addition, for an AUS to be covered by
the definition in § 1003.4(a)(35)(ii), the system must provide a result regarding both the credit
risk of the applicant and the eligibility of the covered loan to be originated, purchased, insured,
or guaranteed by the securitizer, Federal government insurer, or Federal government guarantor
that developed the system being used to evaluate the application. For example, if a system is
an electronic tool that provides a determination of the eligibility of the covered loan to be
originated, purchased, insured, or guaranteed by the securitizer, Federal government insurer, or
Federal government guarantor that developed the system being used by a financial institution to
evaluate the application, but the system does not also provide an assessment of the
creditworthiness of the applicant—such as an evaluation of the applicant's income, debt, and
credit history—then that system does not qualify as an AUS, as defined in § 1003.4(a)(35)(ii). A
financial institution that uses a system that is not an AUS, as defined in § 1003.4(a)(35)(ii), to
evaluate an application does not report the information required by § 1003.4(a)(35)(i).
3. Reporting automated underwriting system data—multiple results. When a financial institution
uses one or more automated underwriting systems (AUS) to evaluate the application and the
system or systems generate two or more results, the financial institution complies with
§ 1003.4(a)(35) by reporting, except for purchased covered loans, the name of the AUS used by

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the financial institution to evaluate the application and the result generated by that AUS as
determined by the following principles. To determine what AUS (or AUSs) and result (or results)
to report under § 1003.4(a)(35), a financial institution follows each of the principles that is
applicable to the application in question, in the order in which they are set forth below.
i. If a financial institution obtains two or more AUS results and the AUS generating one of
those results corresponds to the loan type reported pursuant to § 1003.4(a)(2), the financial
institution complies with § 1003.4(a)(35) by reporting that AUS name and result. For
example, if a financial institution evaluates an application using the Federal Housing
Administration's (FHA) Technology Open to Approved Lenders (TOTAL) Scorecard and
subsequently evaluates the application with an AUS used to determine eligibility for a nonFHA loan, but ultimately originates an FHA loan, the financial institution complies with
§ 1003.4(a)(35) by reporting TOTAL Scorecard and the result generated by that system. If a
financial institution obtains two or more AUS results and more than one of those AUS results
is generated by a system that corresponds to the loan type reported pursuant to
§ 1003.4(a)(2), the financial institution identifies which AUS result should be reported by
following the principle set forth below in comment 4(a)(35)-3.ii.
ii. If a financial institution obtains two or more AUS results and the AUS generating one of
those results corresponds to the purchaser, insurer, or guarantor, if any, the financial
institution complies with § 1003.4(a)(35) by reporting that AUS name and result. For
example, if a financial institution evaluates an application with the AUS of Securitizer A and
subsequently evaluates the application with the AUS of Securitizer B, but the financial
institution ultimately originates a covered loan that it sells within the same calendar year to
Securitizer A, the financial institution complies with § 1003.4(a)(35) by reporting the name of
Securitizer A's AUS and the result generated by that system. If a financial institution obtains
two or more AUS results and more than one of those AUS results is generated by a system
that corresponds to the purchaser, insurer, or guarantor, if any, the financial institution
identifies which AUS result should be reported by following the principle set forth below in
comment 4(a)(35)-3.iii.
iii. If a financial institution obtains two or more AUS results and none of the systems
generating those results correspond to the purchaser, insurer, or guarantor, if any, or the
financial institution is following this principle because more than one AUS result is generated
by a system that corresponds to either the loan type or the purchaser, insurer, or guarantor,
the financial institution complies with § 1003.4(a)(35) by reporting the AUS result generated
closest in time to the credit decision and the name of the AUS that generated that result. For
example, if a financial institution evaluates an application with the AUS of Securitizer A,
subsequently again evaluates the application with Securitizer A's AUS, the financial
institution complies with § 1003.4(a)(35) by reporting the name of Securitizer A's AUS and
the second AUS result. Similarly, if a financial institution obtains a result from an AUS that
requires the financial institution to underwrite the loan manually, but the financial institution

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subsequently processes the application through a different AUS that also generates a result,
the financial institution complies with § 1003.4(a)(35) by reporting the name of the second
AUS that it used to evaluate the application and the AUS result generated by that system.
iv. If a financial institution obtains two or more AUS results at the same time and the
principles in comment 4(a)(35)-3.i through .iii do not apply, the financial institution complies
with § 1003.4(a)(35) by reporting the name of all of the AUSs used by the financial institution
to evaluate the application and the results generated by each of those systems. For
example, if a financial institution simultaneously evaluates an application with the AUS of
Securitizer A and the AUS of Securitizer B, the financial institution complies with
§1003.4(a)(35) by reporting the name of both Securitizer A's AUS and Securitizer B's AUS
and the results generated by each of those systems. In any event, however, the financial
institution does not report more than five AUSs and five results. If more than five AUSs and
five results meet the criteria in this principle, the financial institution complies with
§ 1003.4(a)(35) by choosing any five among them to report.
4. Transactions for which an automated underwriting system was not used to evaluate the
application. Section 1003.4(a)(35) does not require a financial institution to evaluate an
application using an automated underwriting system (AUS), as defined in § 1003.4(a)(35)(ii).
For example, if a financial institution only manually underwrites an application and does not use
an AUS to evaluate the application, the financial institution complies with § 1003.4(a)(35) by
reporting that the requirement is not applicable since an AUS was not used to evaluate the
application.
5. Purchased covered loan. A financial institution complies with § 1003.4(a)(35) by reporting that
the requirement is not applicable when the covered loan is a purchased covered loan.
6. Non-natural person. When the applicant and co-applicant, if applicable, are not natural
persons, a financial institution complies with § 1003.4(a)(35) by reporting that the requirement is
not applicable.
7. Determination of securitizer, Federal government insurer, or Federal government guarantor.
Section 1003.4(a)(35)(ii) provides that an “automated underwriting system” means an electronic
tool developed by a securitizer, Federal government insurer, or Federal government guarantor
of closed-end mortgage loans or open-end lines of credit that provides a result regarding the
credit risk of the applicant and whether the covered loan is eligible to be originated, purchased,
insured, or guaranteed by that securitizer, Federal government insurer, or Federal government
guarantor. A person is a securitizer, Federal government insurer, or Federal government
guarantor of closed-end mortgage loans or open-end lines of credit, respectively, if it has ever
securitized, insured, or guaranteed a closed-end mortgage loan or open-end line of credit. If a
financial institution knows or reasonably believes that the system it is using to evaluate an
application is an electronic tool that has been developed by a securitizer, Federal government
insurer, or Federal government guarantor of closed-end mortgage loans or open-end lines of
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credit, then the financial institution complies with § 1003.4(a)(35) by reporting the name of that
system and the result generated by that system. Knowledge or reasonable belief could, for
example, be based on a sales agreement or other related documents, the financial institution's
previous transactions or relationship with the developer of the electronic tool, or representations
made by the developer of the electronic tool demonstrating that the developer of the electronic
tool is a securitizer, Federal government insurer, or Federal government guarantor of closedend mortgage loans or open-end lines of credit. If a financial institution does not know or
reasonably believe that the system it is using to evaluate an application is an electronic tool that
has been developed by a securitizer, Federal government insurer, or Federal government
guarantor of closed-end mortgage loans or open-end lines of credit, the financial institution
complies with § 1003.4(a)(35) by reporting that the requirement is not applicable, provided that
the financial institution maintains procedures reasonably adapted to determine whether the
electronic tool it is using to evaluate an application meets the definition in § 1003.4(a)(35)(ii).
Reasonably adapted procedures include attempting to determine with reasonable frequency,
such as annually, whether the developer of the electronic tool is a securitizer, Federal
government insurer, or Federal government guarantor of closed-end mortgage loans or openend lines of credit. For example:
i. In the course of renewing an annual sales agreement the developer of the electronic tool
represents to the financial institution that it has never been a securitizer, Federal
government insurer, or Federal government guarantor of closed-end mortgage loans or
open-end lines of credit. On this basis, the financial institution does not know or reasonably
believe that the system it is using to evaluate an application is an electronic tool that has
been developed by a securitizer, Federal government insurer, or Federal government
guarantor of closed-end mortgage loans or open-end lines of credit and complies with
§ 1003.4(a)(35) by reporting that the requirement is not applicable.
ii. Based on their previous transactions a financial institution is aware that the developer of
the electronic tool it is using to evaluate an application has securitized a closed-end
mortgage loan or open-end line of credit in the past. On this basis, the financial institution
knows or reasonably believes that the developer of the electronic tool is a securitizer and
complies with § 1003.4(a)(35) by reporting the name of that system and the result generated
by that system.
Paragraph 4(a)(37)
1. Open-end line of credit. Except for partially exempt transactions under § 1003.3(d),
§ 1003.4(a)(37) requires a financial institution to identify whether the covered loan or the
application is for an open-end line of credit. See comments 2(o)-1 and -2 for a discussion of
open-end line of credit and extension of credit.

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Paragraph 4(a)(38)
1. Primary purpose. Except for partially exempt transactions under § 1003.3(d),§ 1003.4(a)(38)
requires a financial institution to identify whether the covered loan is, or the application is for a
covered loan that will be, made primarily for a business or commercial purpose. See comment
3(c)(10)-2 for a discussion of how to determine the primary purpose of the transaction and the
standard applicable to a financial institution's determination of the primary purpose of the
transaction. See comments 3(c)(10)-3 and -4 for examples of excluded and reportable
business- or commercial-purpose transactions.
4(F) QUARTERLY RECORDING OF DATA
1. General. Section 1003.4(f) requires a financial institution to record the data collected pursuant
to § 1003.4 on a loan/application register within 30 calendar days after the end of the calendar
quarter in which final action is taken. Section 1003.4(f) does not require a financial institution to
record data on a single loan/application register on a quarterly basis. Rather, for purposes of
§ 1003.4(f), a financial institution may record data on a single loan/application register or
separately for different branches or different loan types (such as home purchase or home
improvement loans, or loans on multifamily dwellings).
2. Agency requirements. Certain State or Federal regulations may require a financial institution
to record its data more frequently than is required under Regulation C.
3. Form of quarterly records. A financial institution may maintain the records required by
§ 1003.4(f) in electronic or any other format, provided the institution can make the information
available to its regulatory agency in a timely manner upon request.
SECTION 1003.5—DISCLOSURE AND REPORTING

5(A) REPORTING TO AGENCY
1. Quarterly reporting—coverage. i. Section 1003.5(a)(1)(ii) requires that, within 60 calendar
days after the end of each calendar quarter except the fourth quarter, a financial institution that
reported for the preceding calendar year at least 60,000 covered loans and applications,
combined, excluding purchased covered loans, must submit its loan/application register
containing all data required to be recorded for that quarter pursuant to § 1003.4(f). For example,
if for calendar year 2019 Financial Institution A reports 60,000 covered loans, excluding
purchased covered loans, it must comply with § 1003.5(a)(1)(ii) in calendar year 2020.
Similarly, if for calendar year 2019 Financial Institution A reports 20,000 applications and 40,000
covered loans, combined, excluding purchased covered loans, it must comply with
§ 1003.5(a)(1)(ii) in calendar year 2020. If for calendar year 2020 Financial Institution A reports
fewer than 60,000 covered loans and applications, combined, excluding purchased covered
loans, it is not required to comply with § 1003.5(a)(1)(ii) in calendar year 2021.

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ii. In the calendar year of a merger or acquisition, the surviving or newly formed financial
institution is required to comply with § 1003.5(a)(1)(ii), effective the date of the merger or
acquisition, if a combined total of at least 60,000 covered loans and applications, combined,
excluding purchased covered loans, is reported for the preceding calendar year by or for the
surviving or newly formed financial institution and each financial institution or branch office
merged or acquired. For example, Financial Institution A and Financial Institution B merge to
form Financial Institution C in 2020. Financial Institution A reports 40,000 covered loans and
applications, combined, excluding purchased covered loans, for 2019. Financial Institution B
reports 21,000 covered loans and applications, combined, excluding purchased covered loans,
for 2019. Financial Institution C is required to comply with § 1003.5(a)(1)(ii) effective the date of
the merger. Similarly, for example, Financial Institution A acquires a branch office of Financial
Institution B in 2020. Financial Institution A reports 58,000 covered loans and applications,
combined, excluding purchased covered loans, for 2019. Financial Institution B reports 3,000
covered loans and applications, combined, excluding purchased covered loans, for 2019 for the
branch office acquired by Financial Institution A. Financial Institution A is required to comply
with § 1003.5(a)(1)(ii) in 2020 effective the date of the branch acquisition.
iii. In the calendar year following a merger or acquisition, the surviving or newly formed financial
institution is required to comply with § 1003.5(a)(1)(ii) if a combined total of at least 60,000
covered loans and applications, combined, excluding purchased covered loans, is reported for
the preceding calendar year by or for the surviving or newly formed financial institution and each
financial institution or branch office merged or acquired. For example, Financial Institution A and
Financial Institution B merge to form Financial Institution C in 2019. Financial Institution C
reports 21,000 covered loans and applications, combined, excluding purchased covered loans,
each for Financial Institution A, B, and C for 2019, for a combined total of 63,000 covered loans
and applications reported, excluding purchased covered loans. Financial Institution C is required
to comply with § 1003.5(a)(1)(ii) in 2020. Similarly, for example, Financial Institution A acquires
a branch office of Financial Institution B in 2019. Financial Institution A reports 58,000 covered
loans and applications, combined, excluding purchased covered loans, for 2019. Financial
Institution A or B reports 3,000 covered loans and applications, combined, excluding purchased
covered loans, for 2019 for the branch office acquired by Financial Institution A. Financial
Institution A is required to comply with § 1003.5(a)(1)(ii) in 2020.
2. Change in appropriate Federal agency. If the appropriate Federal agency for a financial
institution changes (as a consequence of a merger or a change in the institution’s charter, for
example), the institution must identify its new appropriate Federal agency in its annual
submission of data pursuant to § 1003.5(a)(1)(i) for the year of the change. For example, if an
institution’s appropriate Federal agency changes in February 2018, it must identify its new
appropriate Federal agency beginning with the annual submission of its 2018 data by March 1,
2019 pursuant to § 1003.5(a)(1)(i). For an institution required to comply with § 1003.5(a)(1)(ii),
the institution also must identify its new appropriate Federal agency in its quarterly submission
of data pursuant to § 1003.5(a)(1)(ii) beginning with its submission for the quarter of the change,
unless the change occurs during the fourth quarter. For example, if the appropriate Federal
agency for an institution required to comply with § 1003.5(a)(1)(ii) changes during February
2020, the institution must identify its new appropriate Federal agency beginning with its
quarterly submission pursuant to § 1003.5(a)(1)(ii) for the first quarter of 2020. If the appropriate
Federal agency for an institution required to comply with § 1003.5(a)(1)(ii) changes during

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December 2020, the institution must identify its new appropriate Federal agency beginning with
the annual submission of its 2020 data by March 1, 2021 pursuant to § 1003.5(a)(1)(i).
3. Subsidiaries. A financial institution is a subsidiary of a bank or savings association (for
purposes of reporting HMDA data to the same agency as the parent) if the bank or savings
association holds or controls an ownership interest in the institution that is greater than 50
percent.
4. Retention. A financial institution may satisfy the requirement under § 1003.5(a)(1)(i) that it
retain a copy of its submitted annual loan/application register for three years by retaining a copy
of the annual loan/application register in either electronic or paper form.
5. Federal Taxpayer Identification Number. Section 1003.5(a)(3) requires a financial institution
to provide its Federal Taxpayer Identification Number with its data submission. If a financial
institution obtains a new Federal Taxpayer Identification Number, it should provide the new
number in its subsequent data submission. For example, if two financial institutions that
previously reported HMDA data under this part merge and the surviving institution retained its
Legal Entity Identifier but obtained a new Federal Taxpayer Identification Number, then the
surviving institution should report the new Federal Taxpayer Identification Number with its
HMDA data submission.
5(B) DISCLOSURE STATEMENT
1. Business day. For purposes of § 1003.5(b), a business day is any calendar day other than a
Saturday, Sunday, or legal public holiday.
2. Format of notice. A financial institution may make the written notice required under
§ 1003.5(b)(2) available in paper or electronic form.
3. Notice—suggested text. A financial institution may use any text that meets the requirements
of § 1003.5(b)(2). The following language is suggested but is not required:
Home Mortgage Disclosure Act Notice
The HMDA data about our residential mortgage lending are available online for review. The
data show geographic distribution of loans and applications; ethnicity, race, sex, age, and
income of applicants and borrowers; and information about loan approvals and denials.
These data are available online at the Consumer Financial Protection Bureau's Web site
(www.consumerfinance.gov/hmda). HMDA data for many other financial institutions are also
available at this Web site.
4. Combined notice. A financial institution may use the same notice to satisfy the requirements
of both § 1003.5(b)(2) and § 1003.5(c).
5(C) MODIFIED LOAN/APPLICATION REGISTER

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1. Format of notice. A financial institution may make the written notice required under
§ 1003.5(c)(1) available in paper or electronic form.
2. Notice—suggested text. A financial institution may use any text that meets the requirements
of § 1003.5(c)(1). The following language is suggested but is not required:
Home Mortgage Disclosure Act Notice
The HMDA data about our residential mortgage lending are available online for review. The
data show geographic distribution of loans and applications; ethnicity, race, sex, age, and
income of applicants and borrowers; and information about loan approvals and denials.
These data are available online at the Consumer Financial Protection Bureau's Web site
(www.consumerfinance.gov/hmda). HMDA data for many other financial institutions are also
available at this Web site.
3. Combined notice. A financial institution may use the same notice to satisfy the requirements
of both § 1003.5(c) and § 1003.5(b)(2).
5(E) POSTED NOTICE OF AVAILABILITY OF DATA
1. Posted notice—suggested text. A financial institution may post any text that meets the
requirements of § 1003.5(e). The Bureau or other appropriate Federal agency for a financial
institution may provide a notice that the institution can post to inform the public of the availability
of its HMDA data, or an institution may create its own notice. The following language is
suggested but is not required:
Home Mortgage Disclosure Act Notice
The HMDA data about our residential mortgage lending are available online for review. The
data show geographic distribution of loans and applications; ethnicity, race, sex, age, and
income of applicants and borrowers; and information about loan approvals and denials.
HMDA data for many other financial institutions are also available online. For more
information, visit the Consumer Financial Protection Bureau's Web site
(www.consumerfinance.gov/hmda).
SECTION 1003.6—ENFORCEMENT

6(B) BONA FIDE ERRORS
1. Bona fide error—information from third parties. Section 1003.6(b) provides that an error in
compiling or recording data for a covered loan or application is not a violation of the Act or this
part if the error was unintentional and occurred despite the maintenance of procedures
reasonably adapted to avoid such an error. A financial institution that obtains the required data,
such as property-location information, from third parties is responsible for ensuring that the
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information reported pursuant to § 1003.5 is correct. See comment 6(b)-2 concerning obtaining
census tract information from a geocoding tool that the Bureau makes available on its Web site.
2. Information from the Bureau. Section 1003.6(b)(2) provides that an incorrect entry for
census tract number is deemed a bona fide error, and is not a violation of the Act or this part,
provided that the financial institution maintains procedures reasonably adapted to avoid an
error. Obtaining the census tract numbers for covered loans and applications from a geocoding
tool available on the Bureau’s Web site that identifies the census tract of a property using
property addresses entered by users is an example of a procedure reasonably adapted to avoid
errors under § 1003.6(b)(2). Accordingly, a census tract error is not a violation of the Act or this
part if the financial institution obtained the census tract number from the geocoding tool on the
Bureau’s Web site. However, a financial institution’s failure to provide the correct census tract
number for a covered loan or application on its loan/ application register, as required by §
1003.4(a)(9)(ii)(C) or (e), because the geocoding tool on the Bureau’s Web site did not provide
a census tract number for the property address entered by the financial institution is not
excused as a bona fide error. In addition, a census tract error caused by a financial institution
entering an inaccurate property address into the geocoding tool on the Bureau’s Web site is not
excused as a bona fide error.

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Appendix

APPENDIX J: Federal Reporting Agencies

Below is the location of information on submitting data, inquiring about technical

Points Chart

aspects of data submission, and seeking guidance about compliance with HMDA, as

H: Regulation C
I: Official Interpretations
to Regulation C
J: Federal HMDA
Reporting Agencies
K: HMDA Poster

implemented by Regulation C. Additionally, the addresses and telephone numbers for
the Federal HMDA reporting agencies are included.

Submission of Data
The Federal HMDA reporting agencies agreed that, beginning on January 1, 2018, all
HMDA filers will file their HMDA data with the CFPB. The CFPB will process the
HMDA data for the Federal HMDA reporting agencies and the FFIEC, and prepare
and make available data products to the general public on behalf of the FFIEC and
the Federal HMDA reporting agencies.
HMDA Filers will use the HMDA Platform, created by the CFPB, to upload their HMDA
LARs, review edits, certify the accuracy and completeness of the data, and submit
data.
The HMDA Platform is available at: ffiec.cfpb.gov

Questions about Compliance and Technical Questions about
Submission
All institutions may direct technical questions about automated submissions by filling
out the HMDA Inquiry form at hmdahelp.consumerfinance.gov or e-mailing
[email protected].
Institutions may also contact their Federal HMDA reporting agency using the contact
information below.

CFPB HMDA Guidance
For all institutions with total assets of greater than $10 billion and their affiliates.
CFPB HMDA Guidance can be found at: www.consumerfinance.gov/policycompliance/guidance/hmda-implementation/.

Direct compliance questions to the CFPB:
Consumer Financial Protection Bureau
Attn: Office of Regulations
1700 G Street NW
Washington, DC 20552
Or online at:
reginquiries.consumerfinance.gov

Office of the Comptroller of the Currency
For any of the following that are not being handled by the CFPB: national banks and
their subsidiaries and federal branches and federal agencies of foreign banks, and
federal savings associations and their subsidiaries
Direct compliance questions to the OCC:
Office of the Comptroller of the Currency
Constitution Center
400 7th Street SW, Suite 3E-218
Washington, DC 20219

Federal Deposit Insurance Corporation
For any of the following that are not being handled by the CFPB: nonmember insured
banks (except for federal savings banks) and their subsidiaries, insured state
branches of foreign banks that are supervised by the FDIC, and other depository
institutions, state-chartered savings associations and their subsidiaries
Direct compliance questions to the FDIC:
Federal Deposit Insurance Corporation
550 17th Street NW
Washington, DC 20429
Or email: [email protected]

National Credit Union Administration
For credit unions that are not being handled by the CFPB
Direct HMDA questions to the NCUA:
National Credit Union Administration
1775 Duke Street
Alexandria, VA 22314-3428
703.518.1140

Federal Reserve System
For any of the following that are not being handled by the CFPB: state member banks
of the Federal Reserve System, their subsidiaries, subsidiaries of bank holding
companies, branches and agencies of foreign banks (other than federal branches,
federal agencies, and insured state branches of foreign banks), commercial lending
companies owned or controlled by foreign banks, and organizations operating under
section 25 or 25A of the Federal Reserve Act, subsidiaries of savings and loan
holding companies
Direct compliance questions to:
Federal Reserve System
20th Street and Constitution Avenue NW
Washington, DC 20551

U.S. Department of Housing and Urban Development
For other mortgage lending situations:
U.S. Department of Housing and Urban Development
451 7th Street SW
Washington, DC 20410
Telephone: (202) 708-1112

APPENDIX K:

Appendix

HMDA Poster

The following is a copy of the HMDA poster wording suggested, but not required, in

Points Chart

Comment 5(e)-1 of Regulation C.

H: Regulation C

This Appendix is not a substitute for Regulation C. Regulation C and its official
interpretations (also known as the commentary) are the definitive sources of

I: Official Interpretations
to Regulation C
J: Federal HMDA
Reporting Agencies
K: HMDA Poster

information regarding its requirements. Regulation C and its official interpretations
are available in Appendix H and I of this Guide and at ffiec.cfpb.gov.

Regulation C requires a financial institution to post a general notice about the
availability of HMDA data in the lobby of its home ofﬁce and of each branch ofﬁce
physically located in each MSA and each MD. This notice must clearly convey that
the institution's HMDA data are available on the CFPB's Web site at
www.consumerfinance.gov/hmda. Note that HMDA data are also available at
ffiec.cfpb.gov.
Comment 5(e)-1 suggests, but does not require, the wording below. A financial
institution may use an enlarged copy of the notice.

HOME MORTGAGE
DISCLOSURE ACT
NOTICE
The HMDA data about our residential mortgage lending
are available online for review. The data show
geographic distribution of loans and applications;
ethnicity, race, sex, age, and income of applicants and
borrowers; and information about loan approvals and
denials. HMDA data for many other financial institutions
are also available online. For more information, visit the
Consumer Financial Protection Bureau's Web site
(www.consumerfinance.gov/hmda).

File Type	application/pdf
File Modified	2021-11-18
File Created	2021-03-19