Here. An excerpt:
In previewing its proposal, which must be released by July 21, the bureau has also said that over the last few months it is considering modifying core mortgage disclosure requirements, such as how the annual percentage rate is calculated. The plan is drawing fire from banks and consumer advocates alike.
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The consumer bureau announced in a Feb. 21 advisory posted on its website that it is considering major changes to the use of the annual percentage rate, the key metric laid down in the Truth in Lending Act for calculating the cost of a mortgage.
The APR takes the interest rate, incorporates other fees associated with a mortgage, and is designed to give the consumer a single metric to assess the cost of a loan. However, the Truth in Lending law excludes some potentially costly fees from the APR calculation, such as charges for title searches and insurance.
The consumer bureau may propose incorporating other fees, including title costs, into the APR calculation, it said in the Feb. 21 advisory. * * *