The Consumer Financial Protection Bureau has finalized the extension of its Know Before You Owe disclosure rule effective date.
The CFPB announced the finalization of the effective date on Tuesday. The rule, also called the TILA-RESPA Integrated Disclosures rule, will take effect on Oct. 3.
“The Bureau believes that moving the effective date may benefit both the industry and consumers with a smoother transition to the new rule,” the CFPB stated in a press release. “The Bureau further believes that scheduling the effective date on a Saturday may facilitate implementation by giving the industry time over the weekend to launch new systems configurations and to test systems.”
The rule was originally scheduled to take effect Aug. 1. However, both industry groups and Congress pressured the CFPB to extend the effective date – or at least institute a grace period – citing concerns that spotty implementation in the early days of enforcement could lead to problems.