What is the purpose of the CFPB/TRID rules regarding mortgage disclosures?

The CFPB/TRID rules, established by the Consumer Financial Protection Bureau, aim to ensure that mortgage disclosures are clear and comprehensible for consumers. By combining certain disclosures under the Truth in Lending Act (TILA) and the Real Estate Settlement Procedures Act (RESPA), the rules simplify the process for borrowers. This combination helps streamline the information presented to consumers, making it easier for them to understand the terms, costs, and features of their mortgage loans.

This effective standardization means that borrowers receive a more consolidated view of their loan details, which can aid in comparison shopping and decision-making. By integrating these disclosures, TRID promotes transparency in the lending process, ultimately fostering a more informed consumer base.