Fed Reduces Mortgage Disclosure Triggers Posted by AVCU on 10:52 AM

The Federal Reserve Board announced that the dollar amount of points and fees that trigger additional disclosures and prohibitions under the Truth in Lending Act for some mortgage loans will be reduced to $579 for 2010. The trigger for 2009 is currently $583. The disclosures and prohibitions will apply when total points and fees on a loan exceed $579 or 8% of the loan amount, whichever is greater. The Fed adjustment becomes effective January 1 and won’t affect mortgage rules for "higher-priced mortgage loans," as adopted by the Fed in 2008.