The Consumer Financial Protection Bureau issued a proposal on March 3 to delay the mandatory compliance date of the revised General QM Final Rule until Oct. 1, 2022 (nearly 15 months). Per the original publication of the final rule, the rule was effective March 1, 2021, with mandatory compliance by July 1, 2021. If such a proposed rule were finalized, creditors would be able to use either the current General QM loan definition or the revised General QM loan definition for applications received during the period from March 1, 2021, until the delayed mandatory compliance date. Furthermore, the Temporary GSE QM loan definition will remain in effect until the new revised General QM mandatory compliance date, or the exit of the GSEs from conservatorship — whichever occurs first.
The CFPB indicated it is proposing to delay the mandatory compliance date of the General QM Final Rule to help ensure access to responsible, affordable mortgage credit and to preserve flexibility for consumers, particularly those affected by the COVID-19 pandemic. This proposal would not make other changes to the General QM loan definition. The CFPB plans to evaluate the General QM Final Rule’s amendments to the General QM loan definition and will consider at a later date whether to initiate another rulemaking to reconsider other aspects of the General QM Final Rule. The comment period ends April 5, 2021. Read the Proposal.